With a posterior price matching (PM) policy, a seller guarantees to reimburse the price difference to a consumer who buys a product before the seller marks it down. Such a policy has been widely adopted by retailers. We examine the impact of a posterior PM policy on consumers' purchasing...

On <related-article related-article-type="corrected-article" vol="12" issue="1" page="33" xlink:href="simple">page 37 of the article "Buy Now and Match Later: Impact of Posterior Price Matching on Profit with Strategic Consumers" by Guoming Lai, Laurens Debo, and Katia Sycara Manufacturing & Service Operations Management, Winter 2010, Vol. 12, No. 1, 33-55)</related-article>, to the beginning of §3.4 Purchasing...

A supply chain may operate under either preorder mode, consignment mode or the combination of these two modes. Under preorder, the retailer procures before the sale and takes full inventory risk during the sale, while under consignment, the retailer sells the product for the supplier with the...