While every firm in a supply chain bears supply risk (the cost of insufficient supply), some firms may, even with wholesale price contracts, completely avoid inventory risk (the cost of unsold inventory). With a push contract there is a single wholesale price and the retailer, by ordering his...

We present an example of risk neutral bid-taker and bidders in which the bid-taker obtains a greater expected revenue from auctioning an inefficient contract than from auctioning an efficient contract. This occurs because in going from the efficient contract to an inefficient (but almost...

Many research universities engage in efforts to license inventions developed by university-affiliated inventors. However, no systematic explanation of the conditions under which university inventions will be licensed or commercialized has been provided. Drawing on transaction cost economics, I...

We study the fuel procurement problem for electrical utilities under uncertain demand and market price. Long-term contractual supply commitments are made at a set price with fuel suppliers at the beginning of each year. Each month the procurement planner can use fuel from these contracts or...