In practice, to reduce default risks, a retailer frequently offers its bad credit customers a partial trade credit, in which the retailer requests its customers to pay a portion of the purchase amount at the time of placing an order as a collateral deposit, and then grants a permissible delay on...

Since the publication of the Goyal model in 1985, research on the modeling of inventory lot-size under trade credits has resulted in a body of literature. In this paper, we present a review of the advances in inventory literature under conditions of permissible delay in payments since 1985. We...

In reality, a seller (e.g., a supplier or a manufacturer) frequently offers his/her buyers trade credit (e.g., permissible delay in payment). Trade credit reduces the buyer's holding cost of inventory and hence attracts new buyers who consider it to be a type of price reduction. On the other...