Lot Sizing and Dynamic Pricing with Random Yield and Different Qualities

Guo Li, Tao Gao, Zhao-Hua Wang () and Shihua Ma
Additional contact information
Guo Li: School of Management and Economics, Beijing Institute of Technology, Beijing, China
Tao Gao: North China Electric Power University, China
Shihua Ma: School of Management, Huazhong University of Science and Technology, Wuhan, China

International Journal of Advanced Pervasive and Ubiquitous Computing (IJAPUC), 2012, vol. 4, issue 3, 91-101

Abstract: The literature under random component yield has focused on coordination of supply chain at the determined price, where decision maker chooses its optimal production quantities. The authors consider a centralized system when the price is not determined under both random yield and demand. Type A with perfect quality and type B with imperfect quality are produced due to the random yield. They prove the unique concavity of expected profit in centralized system at determined price. Then dynamic pricing is considered and algorithm is put forward for dynamic pricing. Errors can be sufficiently small as long as some parameters can be set suitably. Apart from lot sizing and dynamic pricing, the authors also provide qualitative insights based on numerical illustration of centralized and decentralized solutions.

Date: 2012
References: Add references at CitEc
Citations:

Downloads: (external link)
http://services.igi-global.com/resolvedoi/resolve. ... 018/japuc.2012070106 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:igg:japuc0:v:4:y:2012:i:3:p:91-101

Access Statistics for this article

International Journal of Advanced Pervasive and Ubiquitous Computing (IJAPUC) is currently edited by Tao Gao

More articles in International Journal of Advanced Pervasive and Ubiquitous Computing (IJAPUC) from IGI Global
Bibliographic data for series maintained by Journal Editor ().