Innovation Diffusion-Based Adoption Behavior of New Products and Its Inventory Policies

Abstract

Adoption of new products among social system is largely dependent upon the promotional effort imparted. The promotional effort in the form of advertising plays a pivotal role in the diffusion of products among the social systems. It has been observed that demand of the products and moreover new products largely depends upon the different kinds of advertising effects. Also, it is experienced that demand of new products is highly dynamic. Therefore, to keep pace with the dynamic behavior of demand of new products it becomes important to make strategy over the level of advertising expenditure. The paper describes an inventory model for new products where demand of the products varies with time under the external influence of dynamic advertising effects. The objective of the paper is to develop an optimal schedule of the inventory model for effective supply chain. To encounter with the uncertain environment a fuzzy technique has also been used wherein few parameters have been taken as fuzzy variables.

Dynamic Pricing Dependent Demand under Fuzzy Criterion for an Economic Order Quantity Model

“…Chanda and Kumar (2019b) has developed an economic order quantity model for new products under multi-stage adoption process. Kumar (2022) In this paper an economic order quantity model has been developed for dynamic pricing advertising condition under fuzzy environment where price of the product increases with respect to time. In this case median rule of defuzzification method has been used.…”