Olivares, Marcelo; Terwiesch, Christian; Cassorla, Lydia - In: Management Science 54 (2008) 1, pp. 41-55
The newsvendor model captures the trade-off faced by a decision maker that needs to place a firm bet prior to the occurrence of a random event. Previous research in operations management has mostly focused on deriving the decision that minimizes the expected mismatch costs. In contrast, we...