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As e-commerce expands, delivering real-time personalized recommendations from vast catalogs poses a critical challenge for retail platforms. Maximizing revenue requires careful consideration of both individual customer characteristics and…

Information Retrieval · Computer Science 2026-02-16 Seong Jin Lee , Will Wei Sun , Yufeng Liu

We study the revenue-maximizing mechanism when a buyer's value evolves endogenously because of learning-by-consuming. A seller sells one unit of a divisible good, while the buyer relies on his private, rough valuation to choose his…

Theoretical Economics · Economics 2022-09-07 Huiyi Guo , Wei He , Bin Liu

This paper studies an online selection problem, where a seller seeks to sequentially sell multiple copies of an item to arriving buyers. We consider an adversarial setting, making no modeling assumptions about buyers' valuations for the…

Computer Science and Game Theory · Computer Science 2024-10-11 Bo Sun , Hossein Nekouyan Jazi , Xiaoqi Tan , Raouf Boutaba

We consider the problem of supply and demand balancing that is stated as a minimization problem for the total expected revenue function describing the behavior of both consumers and suppliers. In the considered market model we assume that…

Optimization and Control · Mathematics 2021-06-29 Dmitry Pasechnyuk , Pavel Dvurechensky , Sergey Omelchenko , Alexander Gasnikov

As a firm varies the price of a product, consumers exhibit reference effects, making purchase decisions based not only on the prevailing price but also the product's price history. We consider the problem of learning such behavioral…

Computer Science and Game Theory · Computer Science 2017-08-31 Abbas Kazerouni , Benjamin Van Roy

We study a class of robust assortment optimization problems that was proposed by Farias, Jagabathula, and Shah (2013). The goal in these problems is to find an assortment that maximizes a firm's worst-case expected revenue under all…

Optimization and Control · Mathematics 2024-02-28 Bradley Sturt

Many of the observations we make are biased by our decisions. For instance, the demand of items is impacted by the prices set, and online checkout choices are influenced by the assortments presented. The challenge in decision-making under…

Machine Learning · Computer Science 2025-07-02 Rares Cristian , Pavithra Harsha , Georgia Perakis , Brian Quanz

Two-sided matching platforms provide users with menus of match recommendations. To maximize the number of realized matches between the two sides (referred here as customers and suppliers), the platform must balance the inherent tension…

Computer Science and Game Theory · Computer Science 2020-07-29 Itai Ashlagi , Anilesh K. Krishnaswamy , Rahul Makhijani , Daniela Saban , Kirankumar Shiragur

Product assortment selection is a critical challenge facing physical retailers. Effectively aligning inventory with the preferences of shoppers can increase sales and decrease out-of-stocks. However, in real-world settings the problem is…

Machine Learning · Computer Science 2024-06-14 Porter Jenkins , Michael Selander , J. Stockton Jenkins , Andrew Merrill , Kyle Armstrong

Capacity restrictions in stores, maintained by mechanisms like spacing customer intake, became familiar features of retailing in the time of the pandemic. Shopping rates in a crowded store under a social distance regime is prone to…

Computational Engineering, Finance, and Science · Computer Science 2023-10-31 Haitian Zhong , David Sankoff

We consider the optimal pricing problem for a model of the rich media advertisement market, as well as other related applications. In this market, there are multiple buyers (advertisers), and items (slots) that are arranged in a line such…

Computer Science and Game Theory · Computer Science 2013-08-07 Xiaotie Deng , Paul Goldberg , Yang Sun , Bo Tang , Jinshan Zhang

We address the challenging problem of dynamically pricing complementary items that are sequentially displayed to customers. An illustrative example is the online sale of flight tickets, where customers navigate through multiple web pages.…

This paper studies a composite problem involving the decision making of the optimal entry time and dynamic consumption afterwards. In stage-1, the investor has access to full market information subjecting to some information costs and needs…

Optimization and Control · Mathematics 2021-07-05 Yue Yang , Xiang Yu

We introduce the refined assortment optimization problem where a firm may decide to make some of its products harder to get instead of making them unavailable as in the traditional assortment optimization problem. Airlines, for example,…

Theoretical Economics · Economics 2021-02-08 Gerardo Berbeglia , Alvaro Flores , Guillermo Gallego

In today's global business market place, individual firms no longer compete as independent entities with unique brand names but as integral part of supply chain links. Key to success of any business is satisfying customer's demands on time…

Optimization and Control · Mathematics 2014-08-05 Nelson Christopher Dzupire , Yaw Nkansah-Gyekye

The mixed logit model is a flexible and widely used demand model in pricing and revenue management. However, existing work on mixed-logit pricing largely focuses on unconstrained settings, limiting its applicability in practice where prices…

Optimization and Control · Mathematics 2026-02-10 Hoang Giang Pham , Tien Mai

Predicting future consumer behaviour is one of the most challenging problems for large scale retail firms. Accurate prediction of consumer purchase pattern enables better inventory planning and efficient personalized marketing strategies.…

Machine Learning · Computer Science 2020-10-15 Ankur Verma

We study the identification and estimation of a multidimensional screening model, where a monopolist sells a multi-attribute product to consumers with private information about their multidimensional preferences. Under optimal screening,…

General Economics · Economics 2024-10-18 Gaurab Aryal , Federico Zincenko

We study online assortment optimization under stochastic choice when a decision maker simultaneously values cumulative revenue performance and the quality of post-hoc inference on revenue contrasts. We analyze a forced-exploration…

Machine Learning · Statistics 2026-04-27 Jierui Zuo , Hanzhang Qin

Combining two or more items and selling them as one good, a practice called bundling, can be a very effective strategy for reducing the costs of producing, marketing, and selling goods. In this paper, we consider a form of multi-issue…

Multiagent Systems · Computer Science 2007-05-23 Koye Somefun , Tomas Klos , Han La Poutré