Different from the previous articles on multi-echelon deteriorating inventory, this paper explains economic implications of Weibull parameters for cold chain inventory rather than restricting to mathematical sense. A case study shows that DC warehousing activities and total throughput scale factor has a significant effect profit compared with storage technology environment shape factor. The imp...

The textile and clothing industry generates much pollution and consumes a large amount of resources. Improper uses and disposal of clothing products make the problems much more severe. Fast fashion products shorten the valid lifecycle and generate more waste than regular clothing products. Considering the features of fashion products, a system of a rent-based closed-loop supply chain is develop...

Investments in technology create a large amount of capital investments by major companies. Assessing such investment projects is identified as critical to the efficient assignment of resources. Viewing investment projects as real options, this paper expands a method for assessing technology investment decisions in the linkage existence of uncertainty and competition. It combines the game-theore...

We explore the asset pricing implications of an investment-based model that features a stochastic technology frontier and costly technology adoption. Firms adopt the latest technology embodied in new capital to reach a stochastic technology frontier, but this decision entails an adoption cost. The model predicts that old capital firms are more risky and hence offer a higher returns than young c...

inventory models play an important role in determining the optimal ordering and pricing policies. much work has been reported in literature regarding inventory models with finite or infinite replenishment. but in many practical situations the replenishment is governed by random factors like procurement, transportation, environmental condition, availability of raw material etc., hence, it is nee...

A standard assumption of structural models of default is that firms assets evolve exogenously. In this paper, we document the importance of accounting for investment options in models of credit risk. In the presence of financing and investment frictions, firm-level variables which proxy for asset composition carry explanatory power for credit spreads beyond leverage. As a result, cross-sectiona...

This paper analyses the requirements for rail infrastructure charging, laid down in directive 2001/14/EC. It calls for marginal cost pricing and allows for mark-ups. Four standard pricing principles are analyzed on their suitability for track charging. It is found that no charging system proves superior and that the EC legislation is in line with economic theory. Scrutinizing the tariff systems...

The goals of transmission pricing are brieey reviewed and discussed. We focus on the goals of short-term operational ee-ciency and of long-term incentives for investment in transmission capital equipment, and on the potential connict between these goals. We ignore the issues of allocation of xed costs and stranded investment. Some of the counter-intuitive aspects of optimal short-term pricing (...

BACKGROUND In recent years, there has been rapid growth in pharmaceutical spending in China. In addition, the country faces many challenges with regards to the quality, pricing and affordability of drugs. Pricing and reimbursement are important aspects of pharmaceutical policy that must be prioritised in order to address the many challenges. METHODS This review draws on multiple sources of in...

We use the recently proposed concept of time-consistent coherent and Markov risk measure on the study of a risk-averse firm’s inventory and price control activities. In our shock-driven setting which is different from the state-driven setting where the measure is first introduced, we show the suitability of dynamic programming formulations. On this basis, we examine pure inventory and joint inv...