Inventory pooling and pricing decisions in multiple markets with strategic customers

This study considers the pricing and inventory decisions for retailer selling in multiple markets with strategic customers. The impact of customer behavior on pooling is examined. equilibrium decisions, which customers tend to purchase early, are subsequently characterized pooled/non-pooled systems. Our results highlight role each market. Compared myopic customers, prone reduce its retailer’s optimal high-profit products lower pooled system than non-pooled system. However, result reversed low-profit products. analytical numerical simultaneously demonstrate that, condition, retailers’ increases correlation coefficient different markets, while profit decreases coefficient. There an opposite relationship condition. When less correlated, owns low but high profit. Moreover, always higher