New results on the newsvendor model and the multi-period inventory model with backordering

Ganesh Janakiraman, Seung Jae Park, Sridhar Seshadri, Qi Wu

Research output: Contribution to journalArticle

8 Citations (Scopus)

Abstract

We analyze the newsvendor model and the multi-period inventory model, and provide some new results. For the newsvendor model, the best case newsvendor cost over all demand distributions with a given demand mean and variance is zero. In addition, under symmetric demand distributions, the newsvendor's costs remain the same when the holding and shortage costs are switched. For the multi-period inventory model with stochastic lead times, a dilation ordering of lead times implies an ordering of optimal costs.

Original languageEnglish
Pages (from-to)373-376
Number of pages4
JournalOperations Research Letters
Volume41
Issue number4
DOIs
Publication statusPublished - 2013 May 15

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Inventory Model
Costs
Shortage
Dilation
Model
Imply
Newsvendor model
Inventory model
Zero
Demand
Lead time
Newsvendor

All Science Journal Classification (ASJC) codes

  • Software
  • Management Science and Operations Research
  • Industrial and Manufacturing Engineering
  • Applied Mathematics

Cite this

Janakiraman, Ganesh ; Park, Seung Jae ; Seshadri, Sridhar ; Wu, Qi. / New results on the newsvendor model and the multi-period inventory model with backordering. In: Operations Research Letters. 2013 ; Vol. 41, No. 4. pp. 373-376.
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New results on the newsvendor model and the multi-period inventory model with backordering. / Janakiraman, Ganesh; Park, Seung Jae; Seshadri, Sridhar; Wu, Qi.

In: Operations Research Letters, Vol. 41, No. 4, 15.05.2013, p. 373-376.

Research output: Contribution to journalArticle

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