We consider optimal nonlinear pricing when there is information ambiguity in a monopolist’s prior belief about the distribution of the buyers. The monopolist’s prior information cannot be described by a probabilistic distribution; rather, it is described by an ϵ-contaminated capacity. We...

How to deal with information asymmetry is an important issue under various scenarios in operations management. In supply chain competition, asymmetric information usually exists either between chains horizontally or within chains vertically, or both. This paper studies the incentives for...