Questions tagged [newsvendor]
For questions related to the newsvendor problem, which optimizes the inventory action in a single period under stochastic demand in order to balance the tradeoff between ordering too much (and having excess inventory) and ordering too little (and experiencing stockouts).
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Is a "multistep" or "multiphase" Newsvendor model possible?
I'm trying to address the question of how many times should I order a product from my supplier, assuming highly stochastic demand.
In my mind there would be something like the Newsvendor model, but ...
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Three newsvendor functions, three optimal solutions—which is correct?
Here is a typical setup for the newsvendor problem:
The newsvendor buys newspapers for $c$ each, sells them for $r$ each, and salvages unsold newspapers for $v$ each. The demand distribution has ...
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