We study a joint implementation of price- and availability-based product substitution to better match demand and constrained supply across vertically differentiated products. Our study is motivated by firms that utilize dynamic pricing as well as customer upgrades, as ex-ante and ex-post...

Bundle promotions have become increasingly popular among online retailers due to their potential in increasing revenue and profit. They take various forms depending on how retailers offer them to customers (e.g., after a purchase incidence, as advertised deals, or as personalized promotions) and...

Many Operations Management (OM) models assume that people act as forward-looking optimizers in dynamic environments. We experimentally examine this assumption. To cover a wide range of settings we look at several common classes of dynamic decision problems, and characterize behavior as either...

We study relationships between parties who have different preferences about how to tailor decisions to changing circumstances. Our model suggests that relational contracts supported by formal contracts may achieve efficient relational adaptation. Our empirics consider revenue-sharing contracts...