Digitalization is the core driving force of the fourth industrial revolution. This new era will result in paradigm shift in production and in marketing of products and services. The smarter production can make value creation easier with reducing the cost of manufacturing and with producing...

To influence demand, some online retailers post messages (e.g., “5 units or less left in stock”) on their product pages to signal impending stockouts. These “scarcity” messages provide consumers “partial” inventory information, revealing only an upper bound on the number of units...

While green purchasing policies have the potential to significantly reduce carbon impacts across the globe, most U.S. cities have either struggled to implement them or do not have one at all. Consequently, these policies have not reached their potential to help local governments mitigate their...

We study a monopolistic firm which introduces two product versions sequentially in two periods. We analyze and compare the firm's decisions on the innovation level of the new version, the production quantities and prices of both versions, and the associated profit in four settings: when the...

Problem Definition: We analyze a firm that sells repeatedly to a customer population over multiple periods. While this setting has been studied extensively in the context of dynamic pricing—selling the same product in each period at a dynamically varying price—we consider a different...

This paper examines how strategic customer behavior impacts e-tailers' inventory storage location, pricing and inventory level decisions. We build a stylized model where an e-tailer either has only a central warehouse, or add a local warehouse and thus has both warehouses for inventory storage....

In this work, we seek to quantify the price premium a consumer is willing to pay to share the expenses that firms incur when they take a stand for a socially justified cause, such as child labor or forced labor free supply chains. We find that consumers were willing to pay a 17% price premium...

It is commonly assumed in private label literature that store brands are of lower quality than competing national brands. In this paper, we contest this notion by studying quality competition between a national- brand manufacturer and a store-brand retailer. The manufacturer sells its...

In this paper, we quantify the effects that product stock-outs led consumer dissatisfactions have on consumer behavior. The study yields a practical solution that retailers could use to determine how a representative consumer is likely to respond to a stock-out situation and hence be proactive...

Online retailers are on a consistent drive to increase on-time delivery and reduce customer lead-time. However, in reality, an increasing share of consumers place orders early. Such Advance Demand Information can be deployed strategically to reduce costs and improve the customer service...