Research on an optimization scheme for automated pricing and replenishment decisions for vegetable commodities

Abstract

With the increasing competition in the fresh food market and the emergence of fresh food superstores, a reasonable pricing strategy has become crucial to the operation of superstores. This paper focuses on the relationship between sales volume and pricing as well as the impact of total replenishment and pricing strategy on vegetable sales. By analysing the sales data of the chilli category, a certain positive correlation between sales volume and pricing was found, which was quantitatively analysed using a polynomial regression model. The total replenishment and pricing strategy was analysed using the chilli category as an example, and a cost-plus pricing strategy was used to optimise the total replenishment and pricing, resulting in the total replenishment and pricing strategy for the week ahead. A linear regression model was developed and optimally solved using a simulated annealing algorithm to obtain the daily replenishment quantity and pricing strategy for each vegetable, considering the replenishment category and minimum weight constraints. Ultimately, the optimal replenishment quantity and pricing strategy for each vegetable item were obtained, providing a reference basis for vegetable sales.