Abstract
An incorporated production-marketing planning model for a single item in the type of prduction for stock replenishment is proposed. Inthis model, a simultaneous decision for both the production and the marketing departments is made to maximize the total profit based on sales strategy subject to recent managerial circumstances. The model established is of a linear-programming type. The productin levels and the budget for sales promotion are set as to maximize the total profit. Especially, the sales strategy is considered as one of constraints. An example of the decision-maiking process for this model is demonstrated and the effectiveness is verified by numerical experiments.
