Dynamic Pricing Policy Using Preservation Technology with Stock and Price Sensitive Demand

Uttam Kumar Khedlekar, Priyanka Singh, Neelesh Gupta

Abstract


This paper aims to develop a dynamic pricing policy for deteriorating items with price and stock dependent demand. In declining market demand of items decreases with respect to time and also after a duration items get outdated. In this situation it needs a pricing policy to sale the items before end season. The proposed dynamic pricing policy is applicable for a limited period to clease the stock. Policy decision regarding the selling price could aggressively attracts the costumers. Objectives are to maximize the prot/revenue, pricing strategy and economic order level for such a stock dependent and price sensitive items. We are giving numerical example and simulation to illustrate the proposed model.


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References


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DOI: https://doi.org/10.22342/jims.26.3.781.266-274

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