Joint pricing and inventory control modelling for obsolescent products: a case study of the telecom industry
by Mohammad Reza Sadeghi Moghadam; Isa Nakhai Kamalabadi; Bahareh Karbasian
International Journal of Applied Decision Sciences (IJADS), Vol. 12, No. 4, 2019

Abstract: The current pricing context calls for better, faster and more precise pricing decision makings than ever before. These in turn, oblige companies to take a new stance with respect to the role of pricing in today's overwhelming and complex marketing context. Similarly, decisions related to inventory control and types of goods are strongly linked to pricing as well. The aim of this paper is to present a mathematical programming model for joint inventory control and pricing for the bundling of obsolescent items. To this end, a mathematical programming model was developed following a comprehensive review of the literature in this area. The validity of the proposed model was then tested in the telecommunications industry as a case study. According to the obtained results, the proposed model had a fairly good validity.

Online publication date: Mon, 30-Sep-2019

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