(An) EOQ model with backlogging under varying marketing policies and conditions

Abstract

This study deals with an EOQ model taking into account the effect of varying marketing policies and conditions on the demand and a random damage fraction of the items, where backlogging is allowed. The demand is a function of selling price which depends on a pricing policy and an order quantity. Quantity premium is described and incorporated into marketing conditions. Special cases of interest are considered wherein analytical solution for the EOQ can be obtained.