Optimal ordering and pricing policies for deteriorating items in one-vendor multi-retailer supply chain

This study deals with the emerging problem of jointly determining the optimal retail price, the replenishment cycle, and the number of shipments for exponentially deteriorating items under conditions of channel coordination, joint replenishment program, and pricing policy. In a one-manufacturer and multi-retailer channel setting, it is assumed that the retailers' demands are price-dependent and can be influenced by time. Two profit-maximization models including the non-integrated policy and the integrated policy were formulated with the aim of maximizing the channel-wide profit. In addition, this study demonstrated the optimal properties of the models, developed a search algorithm to obtain the optimal solutions, and offered structured and quantitative insights into the interplay between the proposed models through a numerical study.