Journal of Business Economics

, Volume 84, Issue 7, pp 983–997

Centralized inventory in a farming community

  • M. G. Fiestras-Janeiro
  • I. García-Jurado
  • A. Meca
  • M. A. Mosquera
Original Paper

DOI: 10.1007/s11573-014-0710-z

Cite this article as:
Fiestras-Janeiro, M.G., García-Jurado, I., Meca, A. et al. J Bus Econ (2014) 84: 983. doi:10.1007/s11573-014-0710-z

Abstract

A centralized inventory problem is a situation in which several agents face individual inventory problems and make an agreement to coordinate their orders with the objective of reducing costs. In this paper we identify a centralized inventory problem arising in a farming community in northwestern Spain, model the problem using two alternative approaches, find the optimal inventory policies for both models, and propose allocation rules for sharing the optimal costs in this context.

Keywords

Centralized inventory Cooperative games EOQ models Shapley value Core 

JEL

C71 C44 

Copyright information

© Springer-Verlag Berlin Heidelberg 2014

Authors and Affiliations

  • M. G. Fiestras-Janeiro
    • 1
  • I. García-Jurado
    • 2
  • A. Meca
    • 3
  • M. A. Mosquera
    • 1
  1. 1.Departamento de Estatística e Investigación OperativaUniversidade de VigoVigoSpain
  2. 2.Departamento de MatemáticasUniversidade da CoruñaA CoruñaSpain
  3. 3.Centro de Investigación OperativaUniversidad Miguel Hernández de ElcheElcheSpain