The Study on the Inventory Model with Substitution(Ⅰ): Optimization Solution
Lian Qiao CAI (1), Jian CHEN(1), Hou Min YAN(2)
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(1) School of Economics and Management, Tsinghua University, Beijing 100084, China; (2 Department of System Engineering and Engineering Management,the Chinese University of H.K,CHina
In this paper we develop a general profit maximization model for single-period two-product substitution problem, and show that it is concave and submodular. Then we obtain the optimal condition for order quantity, which is similar to the solution
Lian Qiao CAI
, Jian CHEN
, Hou Min YAN. , {{custom_author.name_en}}.
The Study on the Inventory Model with Substitution(Ⅰ): Optimization Solution. Systems Engineering - Theory & Practice, 2003, 23(6): 63-68 https://doi.org/10.12011/1000-6788(2003)6-63