Research on Pricing and Dynamic Replenishment Planning Strategies for Perishable Vegetables Based on the RF-GWO Model

This paper addresses the challenges of automated pricing and replenishment strategies for perishable products with time-varying deterioration rates, aiming to assist wholesalers and retailers in optimizing their production, transportation, and sales processes to meet market demand while minimizing inventory backlog and losses. The study utilizes an improved convolutional neural network–long short-term memory (CNN-LSTM) hybrid model, autoregressive moving average (ARIMA) model, and random forest–grey wolf optimization (RF-GWO) algorithm. Using fresh vegetables as an example, the cost relationship is analyzed through linear regression, sales volume is predicted using the LSTM recurrent neural network, and pricing is forecasted with a time series analysis. The RF-GWO algorithm is then employed to solve the profit maximization problem, identifying the optimal replenishment quantity, type, and most effective pricing strategy, which involves dynamically adjusting prices based on predicted sales and market conditions. The experimental results indicate a 5.4% reduction in inventory losses and a 6.15% increase in sales profits, confirming the model’s effectiveness. The proposed mathematical model offers a novel approach to automated pricing and replenishment in managing perishable goods, providing valuable insights for dynamic inventory control and profit optimization.

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Publication Details

Journal
Symmetry
Published
2024-09-22
DOI
https://doi.org/10.3390/sym16091245
Primary Topic
Supply Chain and Inventory Management
Type
article
Field-Weighted Citation Impact
0.00
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article

Research on Pricing and Dynamic Replenishment Planning Strategies for Perishable Vegetables Based on the RF-GWO Model

Zhonglin Huang, Q. Zhang, Junjie Wang, Yongjun Pu
Symmetry
Supply Chain and Inventory Management
article

Research on Pricing and Dynamic Replenishment Planning Strategies for Perishable Vegetables Based on the RF-GWO Model

Zhonglin Huang, Q. Zhang, Junjie Wang, Yongjun Pu
article en

Abstract

This paper addresses the challenges of automated pricing and replenishment strategies for perishable products with time-varying deterioration rates, aiming to assist wholesalers and retailers in optimizing their production, transportation, and sales processes to meet market demand while minimizing inventory backlog and losses. The study utilizes an improved convolutional neural network–long short-term memory (CNN-LSTM) hybrid model, autoregressive moving average (ARIMA) model, and random forest–grey wolf optimization (RF-GWO) algorithm. Using fresh vegetables as an example, the cost relationship is analyzed through linear regression, sales volume is predicted using the LSTM recurrent neural network, and pricing is forecasted with a time series analysis. The RF-GWO algorithm is then employed to solve the profit maximization problem, identifying the optimal replenishment quantity, type, and most effective pricing strategy, which involves dynamically adjusting prices based on predicted sales and market conditions. The experimental results indicate a 5.4% reduction in inventory losses and a 6.15% increase in sales profits, confirming the model’s effectiveness. The proposed mathematical model offers a novel approach to automated pricing and replenishment in managing perishable goods, providing valuable insights for dynamic inventory control and profit optimization.

SymmetryVol. 16(9)
Chengdu Technological University, Qingdao University of Technology (CN)
Openalex Percentile: Top 76%
Supply Chain and Inventory Management
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