Consumers' average value for information goods, websites, weather forecasts, music, and news declines with the number consumed. This paper provides simple guidelines to optimal bundling marketing strategies in this case. If consumers' values do not decrease too quickly, we show that bundling is...

In a recent paper [Bowman, V. J., C. S. Colantoni. 1973. Majority rule under transitivity constraints. Management Sci. 19 (9, May) 1029-1041.] Bowman and Colantoni have described an optimization model which they relate to problems of majority voting in the theory of social choice. Their...

The paper presents a new approach to solving a class of combinatorial economic allocation problems. One member of this class is known as the quadratic assignment problem. Besides presenting an algorithm to solve this problem, we will discuss in general terms the techniques for treating...

This paper considers a class of algorithms for solving quadratic programming problems. An attempt is made to rank the various procedures. Computational results are given and a discussion of the results is presented.

Distributed processing has been motivated by many objectives. Among these are a desire to share resources, reduce communications costs (as compared to a centralized processing scheme), increase performance and decrease response time by partitioning tasks and achieve higher system availability...

This paper explores rational decision making for investment in the stock market. The first part is concerned with problems of a methodological nature, mainly dealing with the relationship between normative models and operations research. The major part explores a particular model and the various...

The management of coordination gaps is critical to the effective functioning of a customer support team. To address the managerial challenge of designing Information Technology (IT) to facilitate coordination in customer support teams, this paper develops a framework describing the drivers of...

In this note we investigate extremal optimization over Leontief substitution systems. Such problems arise naturally in discounted Markov decision problems and in problems involving the control of economic systems. We develop both bounds on the objective value of a Leontief substitution system...

There has been an extensive research literature on auctions, but recent developments in technology have resulted in new interest in auction mechanisms as a practical way of allocating resources. This paper presents a new double-auction mechanism to handle resource allocation for public goods...

In this paper, a market-based decomposition method for decomposable linear systems is developed. The solution process iterates between a master problem that solves the market-matching problem, and subproblems that solve the agents' bundle-determination problems. Starting from any initial price...