We study dynamic pricing and inventory control of substitute products for a retailer who faces a long supply lead time and a short selling season. Within a multinomial logit model of consumer choice over substitutes, we develop a stochastic dynamic programming formulation and derive the optimal...

Discretionary commonality is a form of operational flexibility used in multi-product manufacturing environments. Consider a case where a firm produces and sells two products. Without discretionary commonality, each product is made through a unique combination of input and production capacity....