Open AccessTwo-echelon Inventory Deploy In Advance Selling
Author(s) -
Ya Ru Dong,
Qi Zhao
Publication year - 2019
Publication title -
journal of physics. conference series
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.21
H-Index - 85
eISSN - 1742-6596
pISSN - 1742-6588
DOI - 10.1088/1742-6596/1325/1/012003
Subject(s) - regret , business , order (exchange) , inventory theory , marketing , inventory management , economic order quantity , perpetual inventory , operations research , supply chain , computer science , operations management , economics , engineering , finance , machine learning
Advance selling has been chosen and accepted by more and more e-commerce companies and consumers, but it’s common for consumers to cancel orders in advance. Compared to spot sales, advance selling owns a longer order delivery time. The purpose of inventory allocation is to meet the economic needs and time preferences of consumers in different situations, to maximize profits and enhance the competitiveness of e-commerce companies. This dissertation dissects the consumer demand in terms of consumer utility and Regret Theory, and it dives into consumer time satisfaction in combination with the delivery time of orders and the expected delivery time of consumers. The dissertation builds a two-echelon inventory allocation model for inventory distribution. By analyzing the model and the example, the following conclusions can be drawn: inventory downward of e-commerce enterprise can significantly improve consumer time satisfaction. The greater inventory-sink of each terminal distribution station, the more satisfied consumers are. Meanwhile, inventory downward cannot be improved by continuing to increase its amount when the time satisfaction reaches a certain level. E-commerce enterprises should adopt different inventory allocation schemes according to diverse purposes.