Pricing of perishable complementary production in onlineshopping with return policy and degree of complementarity

This paper studies the pricing of perishable complementary production in online shopping with thereturn policy and degree of complementarity. The amount of returned product depends on the refundof returned product. Also the demand function depends on selling price, the sum and amount ofreturned items of first and second products, and degree of complementary products. The aim is tofind the optimal selling price of products and the optimal sum of the returned items of products insuch a way that the total profit is maximized. The rest of paper is organized as follows. Section ۱introduces a literature review of problem. Section ۲ gives a definition of problem of along withassumptions, decision variables and mathematical model. Section ۳ deals with a numerical example.Finally section ۴ is devoted to conclusion and recommendation.

Keywords:

Pricing , Perishable , Complementary , Return policy , Degree of complementary