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The biggest drawback of online shopping lies in consumers' uncertainty about the product. Before making a purchase decision, consumers receive product information from many sources which helps them infer whether a product meets their preferences. This information constitute a positive or a...
Persistent link: https://www.econbiz.de/10013293857
"Buy-one-get-one" (BOGO) promotions have become very popular among many retailers. With BOGO, the first unit of the product is sold for the regular price and if a consumer buys a second unit, then it is discounted by some percentage or it may be free. We analyze BOGO promotions in a...
Persistent link: https://www.econbiz.de/10012838732
Many models in operations management assume that faced with excess inventory, retailers offer price discounts to increase sales. This discount is assumed to be a certain dollar amount per unit or a certain percent of the regular price. However, many retailers use nonlinear pricing, e.g. "Buy...
Persistent link: https://www.econbiz.de/10012838727
``Buy-One-Get-One" (BOGO) promotions have become popular. With BOGO, the first unit is sold for the regular price, and the second unit is discounted. We analyze BOGO in manufacturer-retailer supply chains. We identify conditions under which BOGO outperforms price reduction (PR) and everyday low...
Persistent link: https://www.econbiz.de/10013288886
Strategic inventory plays a vital role in a manufacturer-retailer dynamic contract. By holding inventories in a period, the retailer curtails the manufacturer’s pricing power in the next period and alleviates double marginalization, significantly increasing the manufacturer’s and...
Persistent link: https://www.econbiz.de/10014080879
Warehouse layout optimization is critical to inventory and logistics management in organizations. In many instances, limited warehouse space is a constraint and a barrier to expanding operations and increasing demand. We present a multi-step solution using mixed integer programming to improve...
Persistent link: https://www.econbiz.de/10015325101
Persistent link: https://www.econbiz.de/10003887089
We examine optimal control decisions regarding pricing, network size and hiring strategy in the context of open source software development. Opening the source code to a software product often implies that consumers would not pay for the software product itself. However, revenues may be...
Persistent link: https://www.econbiz.de/10014047854
Drug shortages have been an ongoing problem in many developed countries well before the COVID-19 global pandemic. The literature suggests many reasons for these shortages. We analyze the drug supply chain (DSC) under a deterministic demand scenario, and then under a random demand scenario using...
Persistent link: https://www.econbiz.de/10014344870
Supply chain coordination has become critical to firms as increased pressure is placed on them to improve performance. We evaluate the performance of Push, Pull, and Advance-purchase-discount (APD) contracts in a manufacturer-retailer supply chain where one or both firms have a satisficing...
Persistent link: https://www.econbiz.de/10014184115