We analyze a price-setting news-vendor problem with an additive – multiplicative demand. We show that the uni-modality of the news-vendor profit function holds when the underlying random term has an increasing failure rate and the demand functions satisfy certain concavity conditions....

Managing product availability in a cost effective way has always been a major challenge faced by inventory managers. We study the problem of a firm selling a perishable product with short-term demand patterns and a long-term service target using the newsvendor framework. The newsvendor...