Study On The Trade Promotion Of Seasonal Items Based On The Supply Chain

Considering the production-inventory and pricing problem in the supply chain of seasonal items whose demand is sensitive to price, we propose the supplier-retailer's profit-maximizing strategies, namely 1) on the hand of retailer :a)the optimal pricing-ordering strategies under no-discount; b)the optimal response to the discount over an interval or at a specified time offered by supplier— the quantity to purchase under the discount and the discount level to pass through its own customers; 2)the supplier's optimal pricing-production policy versus the retailer's policy : the time to initiate the discounts the time-span over discount and discount level , which incentives the retailer's forward-buying ,decreases stock and increases profit .A recursive algorithm and numerical example are included to illustrate that the supplier and the retailer get more profit with the strategies. Additionally, a method of dynamical pricing policy for supplier is shown in order to stabilize the demand-curve better, decrease stock and increase profit.