Inventory management model in a butcher shop

Abstract

This article presents an analytic model for managing inventories in a butchers

shops, considering the costs of obsolescence and stockout. In order to

handle the cost of obsolescence we consider a variety of prices which were

decreased while the product remains in storage. This aim of the model is to

determine the optimal order quantity to maximize the utility in the point

of sale of pork. We present the analysis of obsolescence and the possibility

of supplying pork meat per cut type and also considering to buy the whole

pork.