A Two-Period Newsvendor Setting with Product Extension and Shifting Demand Concerns

TWO-PRICE POLICY FOR A NEWSVENDOR PRODUCT SUPPLY CHAIN WITH TIME AND PRICE SENSITIVE DEMAND by

Single period, single product newsvendor model with random supply shock

In order to investigate the efficiency of policies made by the industrial administration office (IAO for short) so as to keep market order, the authors propose a shocked inventory model of one product with both genuine and counterfeit qualities. The checking policies made by the IAO are considered to be a random shock for the inventory model by examination of the qualities of the products, whic...

The Censored Newsvendor Problem with Newsvendor Demand Distributions

We study the dynamic newsvendor problem with censored demand for both perishable and storable inventory models. We focus on the cases when demand is represented by a member of the newsvendor family of distributions. We show that the Weibull density is the only member of newsvendor distributions for which the optimal solution can be expressed in scalable form. Consequently, scalability yields su...

Optimal inventory control in a multi-period newsvendor problem with non-stationary demand

The optimal control of inventory in supply chains plays a key role in the competiveness of a corporation. The inventory cost can account for half of company’s logistics cost. The classical inventory models, e.g., newsvendor and EOQ models, assume either a single or infinite planning periods. However, these models may not be applied to perishable products which usually have a certain shelf life....

Sourcing with random yields and stochastic demand: A newsvendor approach

We studied a supplier selection problem, where a buyer, while facing random demand, is to decide ordering quantities from a set of suppliers with different yields and prices.We provided themathematical formulation for the buyer’s profitmaximization problem and proposed a solution method based on a combination of the active set method and the Newton search procedure. Our computational study show...