题目：Joint Pricing and Inventory Decisions for Substitutable Products
时间：11月23日10:00～11:30
地点：商学院武东路校区108
演讲者：Dr. Sang Jo KIM
摘要：
We are concerned with a seller who offers substitutable products over a finite selling horizon by procuring inventories before the season and may dynamically control the prices to maximize expected profits. This problem is known to be challenging because of the stockout-based dynamic demand substitution. We propose efficient, scalable and easy-to-implement heuristics that are asymptotically optimal as the demand grows larger. Static and dynamic pricing heuristics are provided, and inventory levels are determined by the sample average approximation method based on the Markov chain choice model that exactly approximates most of well-known choice models. Our inventory heuristic outperforms the traditional newsvendor solution that does not consider the dynamic substitution. The performance gap is significantly larger in case that the seller charges exogenously determined suboptimal prices, where the optimal assortment selection by our heuristic makes a huge difference.
演讲者简介：
Sang Jo KIM is a visiting professor at College of Business, Shanghai University of Finance and Economics, prior to which he worked with Prof. Guillermo Gallego as a postdoctoral fellow at Hong Kong University of Science and Technology. He has several years of industry experience as a business consultant in supply chain innovation at IBM Global Business Services and i2 Technologies. He has obtained a PhD in logistics and supply chain management from MIT-Zaragoza International Logistics Program and holds bachelor’s and master’s degrees in industrial engineering from Seoul National University.
