Optimal Policies for Dynamic Pricing and Inventory Control with Nonparametric Censored Demands

Published Online:https://doi.org/10.1287/mnsc.2023.4859

References

  • Agrawal S, Jia R (2019) Learning in structured mdps with convex cost functions: Improved regret bounds for inventory management. Karlin A, ed. Proc. ACM Conf. on Econom. and Comput. (ACM, New York), 743–744.Google Scholar
  • Ban G-Y, Keskin NB (2021) Personalized dynamic pricing with machine learning: High dimensional features and heterogeneous elasticity. Management Sci. 67(9):5549–5568.Google Scholar
  • Bernstein F, Li Y, Shang K (2016) A simple heuristic for joint inventory and pricing models with lead time and backorders. Management Sci. 62(8):2358–2373.LinkGoogle Scholar
  • Besbes O, Zeevi A (2009) Dynamic pricing without knowing the demand function: Risk bounds and near-optimal algorithms. Oper. Res. 57(6):1407–1420.LinkGoogle Scholar
  • Besbes O, Zeevi A (2012) Blind network revenue management. Oper. Res. 60(6):1537–1550.LinkGoogle Scholar
  • Broder J, Rusmevichientong P (2012) Dynamic pricing under a general parametric choice model. Oper. Res. 60(4):965–980.LinkGoogle Scholar
  • Burnetas AN, Smith CE (2000) Adaptive ordering and pricing for perishable products. Oper. Res. 48(3):436–443.LinkGoogle Scholar
  • Chen B, Chao X (2020) Dynamic inventory control with stockout substitution and demand learning. Management Sci. 66(11):5108–5127.LinkGoogle Scholar
  • Chen B, Chao X, Ahn H-S (2019a) Coordinating pricing and inventory replenishment with nonparametric demand learning. Oper. Res. 67(4):1035–1052.AbstractGoogle Scholar
  • Chen B, Chao X, Shi C (2021) Nonparametric algorithms for joint pricing and inventory control with lost-sales and censored demand. Math. Oper. Res. 46(2):726–756.LinkGoogle Scholar
  • Chen Q, Jasin S, Duenyas I (2019b) Nonparametric self-adjusting control for joint learning and optimization of multiproduct pricing with finite resource capacity. Math. Oper. Res. 44(2):601–631.LinkGoogle Scholar
  • Chen X, Simchi-Levi D (2004a) Coordinating inventory control and pricing strategies with random demand and fixed ordering cost: The finite horizon case. Oper. Res. 52(6):887–896.LinkGoogle Scholar
  • Chen X, Simchi-Levi D (2004b) Coordinating inventory control and pricing strategies with random demand and fixed ordering cost: The infinite horizon case. Math. Oper. Res. 29(3):698–723.LinkGoogle Scholar
  • Chen X, Simchi-Levi D (2012) Pricing and inventory management. Ozer O, Phillips R, eds. The Oxford Handbook of Pricing Management (Oxford University Press, Oxford, UK), 784–824.Google Scholar
  • Chen X, Pang Z, Pan L (2014) Coordinating inventory control and pricing strategies for perishable products. Oper. Res. 62(2):284–300.LinkGoogle Scholar
  • Chen X, Simchi-Levi D, Wang Y (2022) Privacy-preserving dynamic personalized pricing with demand learning. Management Sci. 68(7):4878–4898.Google Scholar
  • Chen Y, Shi C (2023) Network revenue management with online inverse batch gradient descent method. Production Oper. Management, ePub ahead of print February 4, https://doi.org/10.1111/poms.13960.Google Scholar
  • Chen Y, Ray S, Song Y (2006) Optimal pricing and inventory control policy in periodic-review systems with fixed ordering cost and lost sales. Naval Res. Logist. 53(2):117–136.CrossrefGoogle Scholar
  • den Boer AV, Keskin NB (2020) Discontinuous demand functions: Estimation and pricing. Management Sci. 66(10):4516–4534.LinkGoogle 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.LinkGoogle Scholar
  • Feng Q, Shanthikumar JG (2018) How research in production and operations management may evolve in the era of big data. Production Oper. Management 27(9):1670–1684.CrossrefGoogle Scholar
  • Hillier FS, Lieberman GJ (2010) Introduction to Operations Research (McGraw-Hill, New York).Google Scholar
  • Huh WT, Rusmevichientong P (2009) A nonparametric asymptotic analysis of inventory planning with censored demand. Math. Oper. Res. 34(1):103–123.LinkGoogle Scholar
  • Huh WT, Janakiraman G, John A Muckstadt PR (2009) An adaptive algorithm for finding the optimal base-stock policy in lost sales inventory systems with censored demand. Math. Oper. Res. 34(2):397–416.LinkGoogle Scholar
  • Katehakis MN, Yang J, Zhou T (2020) Dynamic inventory and price controls involving unknown demand on discrete nonperishable items. Oper. Res. 68(5):1335–1355.LinkGoogle Scholar
  • Keskin NB, Zeevi A (2014) Dynamic pricing with an unknown demand model: Asymptotically optimal semi-myopic policies. Oper. Res. 62(5):1142–1167.LinkGoogle Scholar
  • Keskin, NB, Zeevi A (2017) Chasing demand: Learning and earning in a changing environment. Math. Oper. Res. 42(2):277–307.LinkGoogle Scholar
  • Keskin NB, Zeevi A (2018) On incomplete learning and certainty-equivalence control. Oper. Res. 66(4):1136–1167.LinkGoogle Scholar
  • Keskin NB, Li Y, Song JSJ (2022) Data-driven dynamic pricing and ordering with perishable inventory in a changing environment. Management Sci. 68(3):1938–1958.LinkGoogle Scholar
  • Keskin NB, Li Y, Sunar N (2020) Data-driven clustering and feature-based retail electricity pricing with smart meters. Preprint, submitted October 22, https://dx.doi.org/10.2139/ssrn.Google Scholar
  • Kocabiyikoğlu A, Popescu I (2011) An elasticity approach to the newsvendor with price-sensitive demand. Oper. Res. 59(2):301–312.LinkGoogle Scholar
  • Lei YM, Jasin S, Sinha A (2014) Near-optimal bisection search for nonparametric dynamic pricing with inventory constraint. Working paper, Ross School of Business, Ann Arbor, MI.Google Scholar
  • Petruzzi NC, Dada M (1999) Pricing and the newsvendor problem: A review with extensions. Oper. Res. 47(2):183–194.LinkGoogle Scholar
  • Slivkins A (2014) Contextual bandits with similarity information. J. Mach. Learn. Res. 15(1):2533–2568.Google Scholar
  • Sobel MJ (1981) Myopic solutions of Markov decision processes and stochastic games. Oper. Res. 29(5):995–1009.LinkGoogle Scholar
  • Song Y, Ray S, Boyaci T (2009) Optimal dynamic joint inventory-pricing control for multiplicative demand with fixed order costs and lost sales. Oper. Res. 57(1):245–250.LinkGoogle Scholar
  • Wang Y, Wang H (2022) Constant regret re-solving heuristics for price-based revenue management. Oper. Res. 70(6):3538–3557.Google Scholar
  • Wang Y, Chen B, Simchi-Levi D (2021) Multi-modal dynamic pricing. Management Sci. 67(10):6136–6152.Google Scholar
  • Wang Z, Deng S, Ye Y (2014) Close the gaps: A learning-while-doing algorithm for single-product revenue management problems. Oper. Res. 62(2):318–331.LinkGoogle Scholar
  • Whitin TM (1955) Inventory control and price theory. Management Sci. 2(1):61–68.LinkGoogle Scholar
  • Yano CA, Gilbert SM (2003) Coordinated pricing and production/procurement decisions: A review. Chakravarty A, Eliashberg J, eds. Managing Business Interfaces (Kluwer Academic Publishers, Boston), 65–103.Google Scholar
  • Yuan H, Luo Q, Shi C (2021) Marrying stochastic gradient descent with bandits: Learning algorithms for inventory systems with fixed costs. Management Sci. 67(10):6089–6115.LinkGoogle Scholar
  • Zhang H, Chao X, Shi C (2018) Perishable inventory systems: Convexity results for base-stock policies and learning algorithms under censored demand. Oper. Res. 66(5):1276–1286.LinkGoogle Scholar
  • Zhang H, Chao X, Shi C (2020) Closing the gap: A learning algorithm for lost-sales inventory systems with lead times. Management Sci. 66(5):1962–1980.LinkGoogle Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.