We study a risk-averse newsvendor problem where demand distribution is unknown. The focal product is new, and only the historical demand information of related products is available. The newsvendor aims to maximize its expected profit subject to a profit risk constraint. We develop a model with...

We consider a periodic-review perishable inventory system with multiple demand classes, each characterized by a different lost-sales cost and a least freshness requirement. Demands of different classes in the same period can be correlated, while demands across periods are independent but not...

Consider a publisher of online display advertising that sells its ad resources in both an upfront market and a spot market. When planning its ad delivery, the publisher needs to make a trade-off between earning a greater short-term profit from the spot market and improving advertising...

Airlines commonly experience the problem that the sum of freight forwarders’ orders exceeds the airline's fixed capacity for hot-selling routes, while the orders are usually 50 percent for underutilized routes. Airlines cannot dynamically change flights to address the imbalance, since they...

We consider the problem of allocating demand that originates from multiple sources among multiple inventory locations. Demand from each source arrives dynamically according to an independent Poisson process. The cost of fulfilling each order depends on both the source of the order and its...