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Recently, there is growing interest and need for dynamic pricing algorithms, especially, in the field of online marketplaces by offering smart pricing options for big online stores. We present an approach to adjust prices based on the…

Optimization and Control · Mathematics 2021-01-13 David Müller , Yurii Nesterov , Vladimir Shikhman

We consider the distributed version of the Multiple Knapsack Problem (MKP), where $m$ items are to be distributed amongst $n$ processors, each with a knapsack. We propose different distributed approximation algorithms with a tradeoff…

Data Structures and Algorithms · Computer Science 2017-02-06 Ananth Murthy , Chandan Yeshwanth , Shrisha Rao

Pricing decisions are often made when market information is still poor. In turn, existing theoretical models often reason about the response of optimal prices to changing market characteristics without exploiting all available information…

Optimization and Control · Mathematics 2021-07-19 Stefanos Leonardos , Costis Melolidakis , Constandina Koki

We consider assortment and inventory planning problems with dynamic stockout-based substitution effects, and without replenishment, in two different settings: (1) Customers can see all available products when they arrive, a typical scenario…

Optimization and Control · Mathematics 2025-01-09 Shuo Sun , Rajan Udwani , Zuo-Jun Max Shen

We apply Reinforcement Learning algorithms to solve the classic quantitative finance Market Making problem, in which an agent provides liquidity to the market by placing buy and sell orders while maximizing a utility function. The optimal…

Machine Learning · Computer Science 2021-04-12 Matias Selser , Javier Kreiner , Manuel Maurette

Stochastic matching is the stochastic version of the well-known matching problem, which consists in maximizing the rewards of a matching under a set of probability distributions associated with the nodes and edges. In most stochastic…

Optimization and Control · Mathematics 2024-05-01 Yuya Hikima , Yasunori Akagi , Hideaki Kim

We consider a monopolist seller with $n$ heterogeneous items, facing a single buyer. The buyer has a value for each item drawn independently according to (non-identical) distributions, and her value for a set of items is additive. The…

Computer Science and Game Theory · Computer Science 2020-08-03 Moshe Babaioff , Nicole Immorlica , Brendan Lucier , S. Matthew Weinberg

One of the problems faced by a firm that sells certain commodities is to determine the number of products that it must supply in order to maximize its profit. In this article, the authors give an answer to this problem of economic interest.…

General Finance · Quantitative Finance 2016-05-10 Dragos-Patru Covei

We study an assortment optimization problem under a multi-purchase choice model in which customers choose a bundle of up to one product from each of two product categories. Different bundles have different utilities and the bundle price is…

Data Structures and Algorithms · Computer Science 2022-10-12 Xin Chen , Jiachun Li , Menglong Li , Tiancheng Zhao , Yuan Zhou

We consider the distributed optimization problem, where a group of agents work together to optimize a common objective by communicating with neighboring agents and performing local computations. For a given algorithm, we use tools from…

Optimization and Control · Mathematics 2020-09-11 Bryan Van Scoy , Laurent Lessard

We consider the Item Pricing problem for revenue maximization in the limited supply setting, where a single seller with $n$ items caters to $m$ buyers with unknown subadditive valuation functions who arrive in a sequence. The seller sets…

Computer Science and Game Theory · Computer Science 2009-05-21 Tanmoy Chakraborty , Zhiyi Huang , Sanjeev Khanna

In display advertising, a small group of sellers and bidders face each other in up to 10 12 auctions a day. In this context, revenue maximisation via monopoly price learning is a high-value problem for sellers. By nature, these auctions are…

Machine Learning · Computer Science 2020-10-21 Lorenzo Croissant , Marc Abeille , Clément Calauzènes

Finding the optimal (revenue-maximizing) mechanism to sell multiple items has been a prominent and notoriously difficult open problem. Existing work has mainly focused on deriving analytical results tailored to a particular class of…

Theoretical Economics · Economics 2026-01-09 Kento Hashimoto , Keita Kuwahara , Reo Nonaka

This paper studies optimal pricing and rebalancing policies for Autonomous Mobility-on-Demand (AMoD) systems. We take a macroscopic planning perspective to tackle a profit maximization problem while ensuring that the system is…

Optimization and Control · Mathematics 2020-03-31 Salomón Wollenstein-Betech , Ioannis Ch. Paschalidis , Christos G. Cassandras

Often one has a preference order among the different systems that satisfy a given specification. Under a probabilistic assumption about the possible inputs, such a preference order is naturally expressed by a weighted automaton, which…

Logic in Computer Science · Computer Science 2011-04-15 Krishnendu Chatterjee , Thomas A. Henzinger , Barbara Jobstmann , Rohit Singh

When designing a motion planner for autonomous robots there are usually multiple objectives to be considered. However, a cost function that yields the desired trade-off between objectives is not easily obtainable. A common technique across…

Robotics · Computer Science 2023-12-13 Nils Wilde , Stephen L. Smith , Javier Alonso-Mora

An opaque product is a product for which only partial information is disclosed to the buyer at the time of purchase. Opaque products are common in sectors such as travel and online retail, where the car type or product color is hidden in…

Optimization and Control · Mathematics 2025-02-13 Omar El Housni , Adam N. Elmachtoub , Harsh Sheth , Jiaqi Shi

The problem of determining the European-style option price in the incomplete market has been examined within the framework of stochastic optimization. An analytic method based on the discrete dynamic programming equation (Bellman equation)…

Statistical Mechanics · Physics 2016-08-31 Sergei Fedotov , Sergei Mikhailov

We study a demand response problem from utility (also referred to as operator)'s perspective with realistic settings, in which the utility faces uncertainty and limited communication. Specifically, the utility does not know the cost…

Optimization and Control · Mathematics 2017-08-11 Pan Li , Hao Wang , Baosen Zhang

We give a quantum algorithm to exactly solve certain problems in combinatorial optimization, including weighted MAX-2-SAT as well as problems where the objective function is a weighted sum of products of Ising variables, all terms of the…

Quantum Physics · Physics 2018-07-20 M. B. Hastings