Schweitzer, Maurice E.; Cachon, Gérard P. - In: Management Science 46 (2000) 3, pp. 404-420
In the newsvendor problem a decision maker orders inventory before a one period selling season with stochastic demand. If too much is ordered, stock is left over at the end of the period, whereas if too little is ordered, sales are lost. The expected profit-maximizing order quantity is well...