A fuzzy EOQ model with demand-dependent unit cost under limited storage capacity

Abstract A fuzzy EOQ model is developed with limited storage capacity where demand is related to the unit price and the setup cost varies with the quantity produced/purchased. Here fuzziness is introduced in both objective function and storage area. It is solved by both fuzzy nonlinear and geometric programming techniques for linear membership functions. The model is illustrated with a numerical example and a sensivity analysis is made. Generalisation to a multi-item problem is also presented and its numerical results are compared with those of the crisp model.