Two Echelon Partial Trade Credit Financing in a Supply Chain Derived Algebraically
Yugoslav journal of operations research, Tome 22 (2012) no. 2, p. 163
Cet article a éte moissonné depuis la source eLibrary of Mathematical Institute of the Serbian Academy of Sciences and Arts
Trade credit financing has become a powerful tool to improve sales profit in
an industry. In general, a supplier/retailer frequently offers trade credit to its credit risk
downstream member in order to stimulate their respective sales. This trade credit may
either be full or partial depending upon the past profile of the downstream member.
Partial trade credit may be offered by the supplier/retailer to their credit risk downstream
member who must pay a portion of the purchase amount at the time of placing an order
and then receives a permissible delay on the rest of the outstanding amount to avoid non-
payment risks. The present study investigates the retailer’s inventory problem under
partial trade credit financing for two echelon supply chain where the supplier, as well as
the retailer, offers partial trade credit to the subsequent downstream member. An
algebraic approach has been applied for finding the retailer’s optimal ordering policy
under minimizing the annual total relevant cost. Results have been validated with the
help of examples followed by comprehensive sensitivity analysis.
Classification :
90B05
Keywords: EOQ, inventory, supply chain, partial trade credit, algebraic method.
Keywords: EOQ, inventory, supply chain, partial trade credit, algebraic method.
@article{YJOR_2012_22_2_a1,
author = {Chandra K. Jaggi and Mona Verma},
title = {Two {Echelon} {Partial} {Trade} {Credit} {Financing} in a {Supply} {Chain} {Derived} {Algebraically}},
journal = {Yugoslav journal of operations research},
pages = {163 },
year = {2012},
volume = {22},
number = {2},
language = {en},
url = {http://geodesic.mathdoc.fr/item/YJOR_2012_22_2_a1/}
}
TY - JOUR AU - Chandra K. Jaggi AU - Mona Verma TI - Two Echelon Partial Trade Credit Financing in a Supply Chain Derived Algebraically JO - Yugoslav journal of operations research PY - 2012 SP - 163 VL - 22 IS - 2 UR - http://geodesic.mathdoc.fr/item/YJOR_2012_22_2_a1/ LA - en ID - YJOR_2012_22_2_a1 ER -
Chandra K. Jaggi; Mona Verma. Two Echelon Partial Trade Credit Financing in a Supply Chain Derived Algebraically. Yugoslav journal of operations research, Tome 22 (2012) no. 2, p. 163 . http://geodesic.mathdoc.fr/item/YJOR_2012_22_2_a1/