Optimal Inventory Policies for Fresh Perishable Products with Preservation Operations and Greening Efforts under Inflationary Environment

The business of perishable products depends on their shelf life and greening level.To maintain the freshness level and extend the shelf life of the product by reducing the deterioration rate, the product needs proper preservation operations.Inflation is a key economic factor that needs to be considered for inventory management.Inflation is typically correlated with the rapidly rising selling price of products.Demand is depends on selling price and greening efforts.The objective of this study is to ascertain the optimum selling price, the optimum time for replenishment, and the optimum cost of green initiatives simultaneously while considering the maximisation of retailers' total profit under inflation and the controllable deterioration rate for fresh perishable products.To represent realworld scenarios, a mathematical formulation of the inventory system has been developed and verified using numerical analysis.Optimum value of decision variables determined using the classical optimisation method.The concavity of the objective function was verified theoretically, numerically and graphically.Results derived from sensitivity analysis and the model validated through sensitivity analysis.Our results show that the higher inflation rate reduces the total profit but investment in greening efforts and preservation operations helpful to extend product shelf life and hence increases the average profit.After presenting several important managerial perspectives, the article discusses the future direction of relevant research in its conclusion.