Consumers are less likely to purchase perishable goods when their expiry dates are near. For this reason, retailers frequently implement a discount pricing policy when the products have reached closer to their expiry dates. This paper introduces a simple methodology for helping the managers in their discount pricing decisions. Based on the expected value approach, the suggested method utilizes the probability values obtained from the past experiences and calculates an expected profit value for each alternative discount policy. Decision maker then selects the discount policy with the highest expected profit.
Sezen, B. (2004), "Expected profit approach used in discount pricing decisions for perishable products", International Journal of Retail & Distribution Management, Vol. 32 No. 4, pp. 223-229. https://doi.org/10.1108/09590550410528999Download as .RIS
Emerald Group Publishing Limited
Copyright © 2004, Emerald Group Publishing Limited