.png){kind=icon}
.png){kind=icon}
Return
Joint dynamic pricing and lot-sizing under competition
.png){kind=icon}
PRE
AI
DOI：10.1016/j.ejor.2017.10.026.png)
.png){kind=icon}
Original request for help.png){kind=icon}
Share.png){kind=icon}
Save
Abstract
En 中文
We study the joint dynamic pricing and lot-sizing problem when firms operate in a competitive environment. Bearing in mind that a dynamic pricing strategy is successful when customers understand it, we assume each firm selects prices from a discrete set. The problem corresponds to a Bertrand model, so the pricing strategies of the firms should constitute a Nash Equilibrium. Given the combinatorial nature of the decisions, computing the equilibrium in a tractable time may not be feasible for larger instances. In order to compute the equilibrium efficiently, we propose a framework consisting of solving iteratively Mixed Integer Programming formulations. The framework reduces the complexity of the problem by using the fact that pricing and inventory planning remain stable to marginal variations in competitors' prices. (C) 2017 Elsevier B.V. All rights reserved.
Keywords:
Production
Dynamic pricing
Competition
Lot-sizing
Joint production/marketing decisions
AI Summary
Key information extracted from the uploaded paper, including a brief overview, abstract, background, key highlights, visual analysis, and future outlook.
Journal
IF:
6
Papers:
2.2W
Citations:
6.4W