Multiple-period inventory strategy under fluctuated purchasing price and demand

• Main Authors: Wen-jie Chen, 陳文傑
• Other Authors: Ying-chieh Yeh
• Format: Others
• Language: en_US
• Published: 2009
• Online Access: http://ndltd.ncl.edu.tw/handle/f9k47f

碩士 === 國立中央大學 === 工業管理研究所 === 97 === In this study, we combine fluctuated purchasing price into stochastic inventory model and discuss the inventory strategy which retailers should select for obtaining maximum profit in multiple periods. Unlike previous stochastic inventory literatures, we use time series model ARMA(p,q) and simple linear price-demand function as our purchasing price model and demand function to construct a multiple-period inventory model. When we are in one single period, we calculate expected customer demand of next period and the mark-up probability of next period. Also, we propose some purchasing strategies. After comparing, we find out the strategy made referring the mark-up probability of next period has better profit in most conditions. We confirm the optimum of that strategy and do sensitive and numerical analysis about model’s parameters using simulation data. Finally, we give suggestions to retailers.