We investigate the dynamic lot-size problem under stochastic and non-stationary demand over the planning horizon. The problem is tackled by using three popular heuristic methods from the fields of evolutionary computation and swarm intelligence, namely particle swarm optimization, differential evolution and harmony search. To the best of the authors’ knowledge, this is the first investigation o...

Good marketing decisions require managers’ understanding of the response function relating performance measures to variations in the marketing mix. We use unit-root techniques to address market response in evolving markets, with a focus on their response to price promotions. We distinguish between evolution at the primary-demand vs. selective-demand level, and examine four consumer product cate...

We consider a single-item continuous-review (r, q) inventory system with a renewal demand process and i.i.d. stochastic leadtimes. Using a stationary marked point process technique and a heavy traffic limit, we prove a previous conjecture that inventory position and inventory on-order are asymptotically independent. We also establish closed-form expressions for the optimal policy parameters and...

TIn this paper, the Chilean tourism demand experienced during period 2000?2018 has been modelled using a linear regression model with dichotomous variables (MRL) and an ARIMA seasonal component (SARIMA). The results show that SARIMA approach is more effective in replicating non?stationary, non?linear behaviour presence of seasonality series, forecasts obtained from presenting low rate error, ca...

A bottleneck situation in one-lane traffic flow is typically modelled with a constant demand of entering cars. However, in practice this demand may depend on the density of cars in the bottleneck. The present paper studies a simple bimodal realization of this mechanism to which we refer to as density-feedback control (DFC): If the actual density in the bottleneck is above a certain threshold, t...

Building upon a continuous-time model of search with Nash bargaining in a stationary environment, we analyze the effect of changes in minimum wages on labor market outcomes and welfare. While minimum wage increases may or may not lead to increases in unemployment in our model, they can be welfare-improving to labor market participants on both the supply and demand sides of the labor market. We ...

With increasing efficiency standards and higher energy costs, the demand for reversible air-conditioning/heat pump systems is increasing throughout the stationary market. The heat exchangers in such reversible systems must perform reliably as both evaporator and condenser. The outdoor coil, specifically, is subject to very large changes in both operational pressures and temperatures. With this ...

This paper develops a game theory model of a service-oriented Internet in which profit-maximizing service providers provide substitutable (but not identical) services and compete with the quantities of services in a Cournot-Nash manner, whereas the network transport providers, which transport the services to the users at the demand markets, and are also profit-maximizers, compete with prices in...

Cloud computing has revolutionized the information technology industry by enabling elastic on demand provisioning of computing resources. Cloud data centers consume enormous amounts of electrical energy resulting in high operating costs and carbon dioxide emissions. The goal is to improve the utilization of computing resources and reduce energy consumption under workload independent quality of ...

Abstract. Modeling several competitive leaders and followers acting in an electricity market leads to coupled systems of mathematical programs with equilibrium constraints, called equilibrium problems with equilibrium constraints (EPECs). We consider a simplified model for competition in electricity markets under uncertainty of demand in an electricity network as a (stochastic) multi-leader-fol...