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Chinese Journal of Management Science ›› 2022, Vol. 30 ›› Issue (3): 189-198.doi: 10.16381/j.cnki.issn1003-207x.2020.2248

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Pricing and Ordering Decisions for Fresh Produce Based on Different Fresh-keeping Methods

TANG Yue-wu1,2, FAN Ti-jun1, CHENG Yong-wei1   

  1. 1. School of Business, East China University of Science and Technology, Shanghai 200237, China;2. School of Business, Taizhou University, Taizhou 318000,China
  • Received:2020-08-31 Revised:2020-12-11 Online:2022-03-19 Published:2022-03-19
  • Contact: 范体军 E-mail:tjfan@ecust.edu.cn

Abstract: Fresh produce is perishable and needs to be kept fresh. In most cases, there are different fresh-keeping methods to preserve fresh produce. For example, Seafood can be chilled or frozen to keep fresh. Fresh produce with different fresh-keeping methods have different deterioration rates, and their product demands have a mutual substitution effect. In addition, due to the limitation of the special fresh-keeping area and equipment in fresh produce retail stores, the inventory constraints of fresh produce order quantity are generated. Therefore, the pricing and ordering decision making environment of fresh produce with different fresh-keeping methods for the retailer are very complex. In sales practice, fresh produce with different fresh-keeping methods often lose the balance of supply and demand, which leads to the coexistence of unsalable and out of stock. Thus, it is challenging and valuable to study the pricing and ordering decisions of fresh produce under different fresh-keeping methods, and discuss the influence of fresh deterioration rate, demand substitution rate and inventory constraints on these decisions.

Key words: fresh-keeping method;inventory constraint; demand substitution; pricing and ordering

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