An inventory model with preservation technology investments and stock-varying demand under advanced payment scheme

In traditional EOQ models, retailers pay suppliers the purchase price of an order as soon as it arrives. But in today competitive market, however, suppliers may offer retailers the option to pay all or a portion of the product value in advance in return for specific incentives, such as an immediate price discount and other perks. In this article, an EOQ inventory model for retailers with deteriorating commodities employing preservation technologies and a partially advanced payment method has been established. The product’s demand is in stock dependent. We proved optimality both analytically and visually, and we offered one theorem to demonstrate optimality theoretically. Two numerical examples are offered to prove the validity of present inventory model. We used MATLAB to create 3D graphs to evaluate the numerical results of the suggested model. Finally, we conducted a sensitivity analysis by altering a single parameter while leaving the others unchanged.