We propose a new class of knapsack problems by assiuning that the sizes of the items to be put into a knapsack are known to be elements 0f a given subset S of the positive integers Z'^. The set S is treated as a parameter. We show that the family of knapsack problems obtained by varying the...

We explore buyback contracts in a supplier-retailer supply chain where the retailer faces a price-dependent downward-sloping demand curve subject to uncertainty. We formulate the problem as a supplier-led Stackelberg game and derive explicitly the equilibrium contract parameters along with the...

Bandit products have captured significant market shares in China and have started to expand throughout the world. A striking feature of supply chains for bandit products is decentralization, where the upstream firm determines the product quality and the downstream firms compete on prices. We...

A commonly observed two-stage pricing strategy for a custom-made product involves a prepurchase entry fee for a potential consumer and a purchase price if he decides to buy the product. We solve and compare two settings: In the first, the firm does not commit in advance to the second-stage price...

We study a supply chain in which a consumer goods manufacturer sells its product through a retailer. The retailer undertakes promotional expenditures, uch as advertising, to increase sales and to compete against other retailer(s). The manufacturer supports the retailer’s promotional...

Fixed costs of ordering items or setting up a process arise in many real-life scenarios. In their presence, the most widely used ordering policy in the stochastic inventory literature is the (s, S) policy. Optimality of (s, S) policies and (s, S)-type policies have been investigated for various...

We consider a cooperative advertising channel consisting of a manufacturer selling its product through a retailer in competition with another independent retailer. The manufacturer subsidizes its retailer's advertising only when a certain threshold is positive. Moreover, the manufacturer's...

Cooperative advertising is an incentive offered by a manufacturer to influence retailers' promotional decisions. We study a dynamic durable goods duopoly with a manufacturer and two independent and competing retailers. The manufacturer as a Stackelberg leader announces his wholesale prices and...

We compare site-to-store and store-to-site strategies for dual-channel integration. The site-to-store (resp., store-to-site) strategy can ll unmet orders in the physical channel (resp., online channel) with the inventory in the online channel (resp., physical channel). With one (physical) retail...

The models we present in this chapter are related to two classical inventory models: The EOQ model of Harris (1913) and the dynamic lot size model of Wagner and Whitin (1958). In relation to the EOQ model, our models depart in three different ways: (1) the EOQ model assumes that the problem...