The Dynamic Inventory Problem with Unknown Demand Distribution
AbstractIn this paper we consider the dynamic inventory problem in which the demand distribution possesses a density belonging to either the exponential or range family of densities and having an unknown parameter. An a priori density is chosen for the unknown parameter. Using a Bayesian estimation scheme, inequalities are obtained for the optimal purchase policies as the amount of demand information varies. In addition, asymptotic expansions for the optimal policies are found as the number of observations of the demand becomes large. This paper extends the results of Scarf, .
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by INFORMS in its journal Management Science.
Volume (Year): 10 (1964)
Issue (Month): 3 (April)
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Erik W. Larson & Sunil Sharma & Lars J. Olson, 2000.
"Optimal Inventory Policies When the Demand Distribution is Not Known,"
IMF Working Papers
00/183, International Monetary Fund.
- Larson, C. Erik & Olson, Lars J. & Sharma, Sunil, 2001. "Optimal Inventory Policies when the Demand Distribution Is Not Known," Journal of Economic Theory, Elsevier, vol. 101(1), pages 281-300, November.
- Larson, C.E. & Olson, L.J. & Sharma, S., 1992. "Optimal Inventory Policies when the Demand Distribution is not Known," The A. Gary Anderson Graduate School of Management 92-12, The A. Gary Anderson Graduate School of Management. University of California Riverside.
- C. Erik Larson Lars J. Olson** and Sunil Sharma***, 1991. "Optimal Inventory Policies When The Demand Distribution Is Not Known#," UCLA Economics Working Papers 631, UCLA Department of Economics.
- Halkos, George & Kevork, Ilias, 2012. "Evaluating alternative frequentist inferential approaches for optimal order quantities in the newsvendor model under exponential demand," MPRA Paper 39650, University Library of Munich, Germany.
- Bitran, Gabriel R. & Wadhwa, Hitendra K. S. (Hitendra Kumar Singh), 1996. "A methodology for demand learning with an application to the optimal pricing of seasonal products," Working papers 3898-96., Massachusetts Institute of Technology (MIT), Sloan School of Management.
- Bulinskaya, E. V., 2004. "Stochastic orders and inventory problems," International Journal of Production Economics, Elsevier, vol. 88(2), pages 125-135, March.
- Glenn, David & Bisi, Arnab & Puterman, Martin L., 2004. "The Bayesian Newsvendors in Supply Chains with Unobserved Lost Sales," Working Papers 04-0110, University of Illinois at Urbana-Champaign, College of Business.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mirko Janc).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.