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Dynamic pricing and production control for perishable products under uncertain environment
Fuzzy Optimization and Decision Making ( IF 4.7 ) Pub Date : 2022-07-22 , DOI: 10.1007/s10700-022-09396-x
Ruishu Shi , Cuilian You

In actual dynamic system, uncertainty is absolute and certainty is relative. This paper presents the optimal dynamic pricing and production control strategy for perishable products in finite horizon. The influence of external environmental disturbance on the system is considered by means of a special uncertain process (Liu process). Then based on uncertainty theory and Hurwicz criterion, the optimization model is built, where control variables are restricted to an admissible control set. In addition, uncertain differential equation is used to describe the changes of inventory. By applying the optimality equation, we determine the optimal price and production strategy to maximize profit. Besides, both the optimal price and production rate are linearly decreasing with inventory. Afterwards, two numerical examples are given, the results reveal that reducing the uncertain disturbance of inventory and expanding the potential market size are beneficial to improving the optimal profit. Moreover, risk-loving decision makers can gain more profits while facing large risks.



中文翻译:

不确定环境下易腐烂产品的动态定价与生产控制

在实际的动态系统中,不确定性是绝对的,确定性是相对的。本文提出了有限范围内易腐烂产品的最优动态定价和生产控制策略。外部环境扰动对系统的影响是通过一个特殊的不确定过程(刘过程)来考虑的。然后基于不确定性理论和Hurwicz准则建立了优化模型,其中控制变量被限制在一个可接受的控制集中。此外,不确定微分方程用于描述库存的变化。通过应用最优方程,我们确定最优价格和生产策略以实现利润最大化。此外,最优价格和生产率都随着库存呈线性递减。然后给出两个数值例子,结果表明,减少库存的不确定性扰动,扩大潜在市场规模,有利于提高最优利润。此外,爱好风险的决策者在面临巨大风险的同时可以获得更多的利润。

更新日期:2022-07-22
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