Optimal Robust Ordering Quantity for a New Product Under Environmental Constraints
CH Yang, X Ma, S Talluri, W Ho
IEEE Transactions on Engineering Management | Institute of Electrical and Electronics Engineers | Published : 2019
Rapid new product introduction is an effective method for firms to capture market share. Considering the growing concerns of environmental threats, firms are under intense pressure to measure their impacts on the environment. Before launching a new product, a firm should make the appropriate decision regarding the order quantity with incomplete information to achieve the goals of both profit maximization and environmental threat minimization simultaneously. In this paper, distribution-free news vendor models with the environmental constraints are proposed to obtain efficient order decisions. The models are formulated based on the absolute minimax regret criterion. Based on the moment bound p..View full abstract
Awarded by Ministry of Education in China Project of Humanities and Social Sciences
Awarded by Fujian Provincial Social Science Foundation
Awarded by Major Project Funding for Social Science Research Base in Fujian Province Social Science Planning
This work was supported in part by the Ministry of Education in China Project of Humanities and Social Sciences under Grant 17YJC630194, in part by the Fujian Provincial Social Science Foundation under Grant FJ2016B059 and FJ2016C056, and in part by Major Project Funding for Social Science Research Base in Fujian Province Social Science Planning under Grant FJ2016JDZ049. Review of this manuscript as arranged by Department Editor J. Sarkis.