Disclosing Low Product Availability: An Online Platform’s Strategy for Mitigating Stockout Risk

References

• Allon G, Bassamboo A (2011) Buying from the babbling retailer? The impact of availability information on customer behavior. Management Sci. 57(4):713–726.Link, Google Scholar
• Anderson ET, Fitzsimons GJ, Simester D (2006) Measuring and mitigating the costs of stockouts. Management Sci. 52(11):1751–1763.Link, Google Scholar
• Bitran G, Caldentey R (2003) An overview of pricing models for revenue management. Manufacturing Service Oper. Management 5(3):203–229.Link, Google Scholar
• Boada-Collado P, Martínez-de Albéniz V (2020) Estimating and optimizing the impact of inventory on consumer choices in a fashion retail setting. Manufacturing Service Oper. Management 22(3):582–597.Link, Google Scholar
• Buell RW, Choi MSOO (2025) Improving customer compatibility with tradeoff transparency. Management Sci. 71(2):1335–1355.Link, Google Scholar
• Cachon GP, Fisher M (2000) Supply chain inventory management and the value of shared information. Management Sci. 46(8):1032–1048.Link, Google Scholar
• Cachon GP, Gallino S, Olivares M (2019) Does adding inventory increase sales? Evidence of a scarcity effect in US automobile dealerships. Management Sci. 65(4):1469–1485.Link, Google Scholar
• Calvo E, Cui R, Wagner L (2023) Disclosing product availability in online retail. Manufacturing Service Oper. Management 25(2):427–447.Link, Google Scholar
• Chen F (2003) Information sharing and supply chain coordination. Handbooks in Operations Research and Management Science (Elsevier, Amsterdam), 341–421.Crossref, Google Scholar
• Craig N, DeHoratius N, Raman A (2016) The impact of supplier inventory service level on retailer demand. Manufacturing Service Oper. Management 18(4):461–474.Link, Google Scholar
• Cui R, Zhang DJ, Bassamboo A (2019) Learning from inventory availability information: Evidence from field experiments on amazon. Management Sci. 65(3):1216–1235.Link, Google Scholar
• DeHoratius N, Mersereau AJ, Schrage L (2008) Retail inventory management when records are inaccurate. Manufacturing Service Oper. Management 10(2):257–277.Link, Google Scholar
• Elmaghraby W, Keskinocak P (2003) Dynamic pricing in the presence of inventory considerations: Research overview, current practices, and future directions. Management Sci. 49(10):1287–1309.Link, Google Scholar
• Ettl M, Harsha P, Papush A, Perakis G (2020) A data-driven approach to personalized bundle pricing and recommendation. Manufacturing Service Oper. Management 22(3):461–480.Link, Google Scholar
• Fay S, Xie J (2015) Timing of product allocation: Using probabilistic selling to enhance inventory management. Management Sci. 61(2):474–484.Link, Google Scholar
• Fisher M, Gallino S, Li J (2018) Competition-based dynamic pricing in online retailing: A methodology validated with field experiments. Management Sci. 64(6):2496–2514.Link, Google Scholar
• Gallego G, Van Ryzin G (1994) Optimal dynamic pricing of inventories with stochastic demand over finite horizons. Management Sci. 40(8):999–1020.Link, Google Scholar
• Gallino S, Moreno A (2014) Integration of online and offline channels in retail: The impact of sharing reliable inventory availability information. Management Sci. 60(6):1434–1451.Link, Google Scholar
• Gaur V, Park Y-H (2007) Asymmetric consumer learning and inventory competition. Management Sci. 53(2):227–240.Link, Google Scholar
• Heim GR, Sinha KK (2001) Operational drivers of customer loyalty in electronic retailing: An empirical analysis of electronic food retailers. Manufacturing Service Oper. Management 3(3):264–271.Link, Google Scholar
• Honhon D, Gaur V, Seshadri S (2010) Assortment planning and inventory decisions under stockout-based substitution. Oper. Res. 58(5):1364–1379.Link, Google Scholar
• Jagabathula S, Mitrofanov D, Vulcano G (2022) Personalized retail promotions through a directed acyclic graph–Based representation of customer preferences. Oper. Res. 70(2):641–665.Link, Google Scholar
• Jagabathula S, Mitrofanov D, Vulcano G (2024) Demand estimation under uncertain consideration sets. Oper. Res. 72(1):19–42.Link, Google Scholar
• Kim Y, Knight B, Mitrofanov D, Xu Y (2024) Ai and worker learning: Evidence from a large-scale field experiment. Working paper, Boston College, Boston.Google Scholar
• Knight B, Mitrofanov D, Netessine S (2024) Ai-enabled technology and gig workforce: The role of experience, skill level, and task complexity. Working paper, Boston College, Boston.Google Scholar
• Li L (2002) Information sharing in a supply chain with horizontal competition. Management Sci. 48(9):1196–1212.Link, Google Scholar
• Li L, Zhang H (2008) Confidentiality and information sharing in supply chain coordination. Management Sci. 54(8):1467–1481.Link, Google Scholar
• Liu Q, Van Ryzin GJ (2008) Strategic capacity rationing to induce early purchases. Management Sci. 54(6):1115–1131.Link, Google Scholar
• Mahajan S, Van Ryzin G (2001) Stocking retail assortments under dynamic consumer substitution. Oper. Res. 49(3):334–351.Link, Google Scholar
• Mani V, Thomas DJ, Bansal S (2022) Estimating substitution and basket effects in retail stores: Implications for assortment planning. Management Sci. 68(7):5002–5024.Link, Google Scholar
• Mohan B, Buell RW, John LK (2020) Lifting the veil: The benefits of cost transparency. Marketing Sci. 39(6):1105–1121.Link, Google Scholar
• Netessine S, Rudi N (2003) Centralized and competitive inventory models with demand substitution. Oper. Res. 51(2):329–335.Link, Google Scholar
• Park S, Rabinovich E, Tang CS, Yin R (2020) The impact of disclosing inventory-scarcity messages on sales in online retailing. J. Oper. Management 66(5):534–552.Crossref, Google Scholar
• Stock A, Balachander S (2005) The making of a “hot product”: A signaling explanation of marketers’ scarcity strategy. Management Sci. 51(8):1181–1192.Link, Google Scholar
• Thaler R (1985) Mental accounting and consumer choice. Marketing Sci. 4(3):199–214.Link, Google Scholar
• Villas-Boas JM (2009) Product variety and endogenous pricing with evaluation costs. Management Sci. 55(8):1338–1346.Link, Google Scholar
• Wang R, Sahin O (2018) The impact of consumer search cost on assortment planning and pricing. Management Sci. 64(8):3649–3666.Link, Google Scholar
• Zhang DJ, Dai H, Dong L, Qi F, Zhang N, Liu X, Liu Z, Yang J (2020) The long-term and spillover effects of price promotions on retailing platforms: Evidence from a large randomized experiment on Alibaba. Management Sci. 66(6):2589–2609.Link, Google Scholar