TY  - BOOK
AU  - Lisa Gimpl-Heersink
PY  - 2018
CY  - Berlin, Germany
PB  - Peter Lang Verlag
SN  - 1613-3056
SN  - 9783631753804
TI  - Joint Pricing and Inventory Control under Reference Price Effects
DO  - 10.3726/b13901
UR  - https://www.peterlang.com/document/1068458
N2  - In this work, we address the problem of simultaneously determining a pricing and inventory replenishment strategy under reference price effects. This reference price effect models the fact that consumers not only react sensitively to the current price, but also to deviations from a reference price formed on the basis of past purchases. Immediate effects of price reductions on profits have to be weighted against the resulting losses in future periods. By providing an analytical analysis and numerical simulations we study how the additional dynamics of the consumers’ willingness to pay affect an optimal pricing and inventory control model and whether a simple policy such as a base-stock-list-price policy holds in such a setting.
KW  - Analytical Analysis, Dynamic Programming, Stochastic Demand Models, Integrated Pricing and Inventory Models
LA  - English
ER  -