Sustainable Green Fuzzy Inventory Model with Price and Advertisement Frequency Induced Demand

Abstract

Human influence on climatic transformation is undeniable, with lots of analysis confirming its crisis that led to a push for sustainable development, incorporating green technology aimed at reducing carbon emissions while promoting economic growth. Deteriorating items adversely affect the environment, demand, profit, and influence purchasing decisions. In this paper realistic business demand sensitive to advertisement and price is considered. To reduce carbon footprints, carbon tax, and green technological investment are proposed. To manage inherent business uncertainties, Cost parameters are represented as Pentagonal fuzzy numbers and the sign distance method is used for defuzzification. The model is proposed for profit gain by adjusting the inventory cycle length, item selling price, and green technology investment. Model finding shows that a 20% increase in the frequency of advertisement results in a hike of 15.77% in total profit. A numerical verification and sensitivity study was conducted to examine the impact of these modifications on the ideal inventory strategy.