Transactions on Data Analysis in Social Science 2821-1936 4 1 2022 03 01 Inventory Model and Pricing in the Supply Chain Approach VMI Considering Incremental Discount 33 38 154749 10.47176/TDASS/2022.33 EN Sh. Gheydari Industrial Engineering Group، Abhar Branch، Islamic Azad University، Abhar، Iran L. Nazari Industrial Engineering Group، Abhar Branch، Islamic Azad University، Abhar، Iran 0000-0002-9289-6128 Journal Article 2022 01 24 Given the globalization of competition and the presence of numerous rivals in today’s markets, optimizing the supply chain has become a critical concern for both practitioners and researchers. One of the central challenges in supply chain optimization is achieving a balance between cost reduction and profitability enhancement. Since inventories constitute a significant portion of supply chain costs, determining the optimal inventory level plays a decisive role in minimizing expenses while ensuring responsiveness to demand. Beyond cost management, the ability to capture a larger share of the market is essential for sustaining profitability. Pricing, as a key competitive factor, directly influences customer purchasing behavior and market demand. While price discounts can serve as an effective incentive for increasing sales, they simultaneously lead to higher inventory holding and replenishment costs, thereby creating a trade-off for supply chain managers. This article addresses the joint problem of pricing and inventory control within a bi-level supply chain structure. Specifically, it examines optimal purchasing policies under incremental discount schemes and investigates how pricing strategies can be aligned with inventory decisions to maximize overall performance. To validate the proposed approach, a mathematical model is developed and solved using illustrative numerical examples, demonstrating the practical implications of integrated pricing and inventory optimization. https://www.transoscience.ir/article_154749_43c90c778a45acd4f19daea02907bde7.pdf