Quality Deterioration and Quality Investment
Inventory
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Most of the researchers focused on quantitative deterioration but we gave attention on qualitative deterioration. We optimized the quality investment with other decision variables. The demand rate is dependent on quality level with other parameters. The objective of the inventory model is to maximize the total profit per unit time. To provide a better picture of optimal decision variables in relation to demand, promotional effort cost, quality deterioration and investment parameters, the sensitivity analysis for the chapter is also depicted. Numerical examples and sensitivity reveals that the ...
Most of the researchers focused on quantitative deterioration but we gave attention on qualitative deterioration. We optimized the quality investment with other decision variables. The demand rate is dependent on quality level with other parameters. The objective of the inventory model is to maximize the total profit per unit time. To provide a better picture of optimal decision variables in relation to demand, promotional effort cost, quality deterioration and investment parameters, the sensitivity analysis for the chapter is also depicted. Numerical examples and sensitivity reveals that the demand function is much more effective on profit maximization.
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