An EOQ Model for Varying Items with Weibull Distribution Deterioration and Price-dependent Demand

Abstract

In this paper, we have developed an instantaneous replenishment policy for deteriorating items with price-dependent demand. The demand and deterioration rates are continuous and differentiable function of price and time respectively. A variable proportion of the items will deteriorate per time, where shortages are permissible and completely backordered. We have developed a policy with price-dependent demand under profit maximization. The net profit per unit time is a concave function. Further, it is illustrated with the help of a numerical example. Keywords: Price-dependent; Weibull distribution; Varying rate of deterioration. © 2010 JSR Publications. ISSN: 2070-0237 (Print); 2070-0245 (Online). All rights reserved. DOI: 10.3329/jsr.v2i1.2764                 J. Sci. Res. 2 (1), 24-36 (2010)