Optimal Policy for a Reseller When the Supplier Offers a Temporary Reduction in Price*
研究了供应商临时降价时，经销商如何通过前向购买和调整售价来最大化利润，并给出了最优决策方法。
ABSTRACT A common practice in product distribution is the case in which the supplier offers a temporary reduction in price. It is suggested in the literature that in such situations, the reseller may engage in forward buying (i.e., purchasing additional stock at the reduced price offered by the supplier for later sale at the regular selling price). In this paper, a model is formulated of the reseller's response when the supplier offers a temporary reduction in price. It is assumed that the market demand for the product is elastic with respect to the selling price the reseller sets. A procedure for determining the optimal response of the reseller is developed. The model presented in this paper can easily be adapted to the case in which the reseller faces a permanent increase in the price charged by the supplier.