We consider single-item (r, q) and (s, T) inventory systems with integer-valued demand processes. While most of the inventory literature studies continuous approximations of these models and establishes joint convexity properties of the policy parameters in the continuous space, we show that...

This paper studies the group-buying mechanism from a dynamic perspective. We consider a seller that offers a product in the form of group buying (priced low but uncertain) and spot purchasing (priced high but guaranteed). In the case of group buying, the information associated with the number of...

This paper considers a multi-period news-vendor problem with partially observed supply-capacity information which evolves as a Markovian Process. The supply capacity is fully observed by the buyer when the capacity is smaller than the buyer's ordering quantity. Otherwise, the buyer knows that...

Many service providers, such as restaurants, are selling their gift cards through independent retailers. We analyze a supply chain of a service provider who sells products and gift cards at face value at its locations. The service provider also sells its gift cards through a retailer. Consumers...

We study a drop-shipping supply chain in which the retailer receives a customer's order and the supplier fills it. In such a chain, the supplier keeps inventory and bears inventory risks; the retailer focuses on marketing and customer acquisition, and forwards the orders to the supplier. The...

Some manufacturers sponsor “free” retailer gift cards to be given to consumers who purchase their products. These gift cards are paid for by the manufacturer and are redeemable on all products at the retailer. We develop a model of such a supply chain. We analyze cases in which the gift...