In this paper, we analyze demand postponement as a strategy to handle potential demand surges. Under demand postponement, a fraction of the demands from the "regular" period are postponed and satisfied during a "postponement" period. This permits capacity to be procured to satisfy the postponed...

This paper develops and analyzes a principal-agent model for product specification and production motivated by Ücore buyingÝ decisions at an automobile manufacturer. The model focuses on two important elements of the ÜcoreÝ buyer's responsibility: (1) assessing the supplier's capability, and...