Optimization of Retail Inventory Systems Through Promotional Efforts and Preservation Technology Within a Green Investment Framework

Abstract

In today’s competitive and dynamic market, retail management must strike a balance between environmental responsibility and operational efficiency. This study creates a framework for sustainable retail inventory that combines environmental cost considerations with conventional decision-making elements like pricing, customer demand, and inventory control. The model includes savings from resource optimization and energy efficiency as well as costs associated with carbon taxes, emission penalties, and regulatory compliance. Potential revenue streams from carbon credit mechanisms are also taken into consideration. Cycle length and investment in preservation technologies are two important decision factors that are examined. Finding the best values that minimize overall costs per cycle while preserving product quality and lessening the impact on the environment is the goal. The findings show that the ideal cycle time and investment levels vary slightly, with total costs per cycle ranging from USD 48,000 to USD 49,000. There is potential for long-term cost savings and enhanced sustainability performance with increased investment in preservation technology. The results demonstrate how environmentally friendly retail practices can be profitable. This integrated strategy helps decision-makers achieve profitability while supporting sustainability objectives.