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International Journal of Mathematical, Engineering and Management Sciences

eISSN: 2455-7749 . Open Access


Impact of Health Awareness and Price Sensitivity on Inventory Decisions for Organic and Non-Organic Products under Preservation Investment

Impact of Health Awareness and Price Sensitivity on Inventory Decisions for Organic and Non-Organic Products under Preservation Investment

K. K. Aggarwal
Department of Operational Research, University of Delhi, Delhi, India.

Indu Yadav
Department of Operational Research, University of Delhi, Delhi, India.

Shuja Ahmed
Vivekananda Institute of Professional Studies-Technical Campus, Guru Gobind Singh Indraprastha University, Delhi, India.

Fehmina Malik
Department of Business Analytics, Institute of Management Technology, Ghaziabad, Delhi-NCR, India.

DOI https://doi.org/10.33889/IJMEMS.2026.11.5.080

Received on March 14, 2026
  ;
Accepted on August 18, 2026

Abstract

Driven by post-COVID-19 health awareness, consumer demand for organic food products has surged. As these products lack chemical preservatives, their rapid deterioration necessitates significant investment in specialized preservation technology. To guide retailers managing this complex environment, this study develops a constrained mathematical inventory model for optimizing policies regarding two substitute products, one of which is organic and the other is non-organic. The model advances current literature by uniquely integrating three critical factors: the price differential between the two products, the dynamic impact of health awareness on price-sensitive demand, and the imposition of budgetary restrictions on preservation technology investment. Sensitivity analysis demonstrates that strategically raising consumer health awareness and optimizing preservation investments are effective methods for enhancing overall retailer profitability.

Keywords- Health awareness, Organic product, Non-organic product, Deterioration, Preservation technology investment, Sensitivity analysis.

Citation

Aggarwal, K. K., Yadav, I., Ahmed, S., & Malik, F. (2026). Impact of Health Awareness and Price Sensitivity on Inventory Decisions for Organic and Non-Organic Products under Preservation Investment. International Journal of Mathematical, Engineering and Management Sciences, 11(5), 2003-2032. https://doi.org/10.33889/IJMEMS.2026.11.5.080.