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Strategic product placement can have a strong influence on customer purchase behavior in physical stores as well as online platforms. Motivated by this, we consider the problem of optimizing the placement of substitutable products in…

Data Structures and Algorithms · Computer Science 2025-10-06 Omar El Housni , Rajan Udwani

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

We consider an assortment selection and pricing problem in which a seller has $N$ different items available for sale. In each round, the seller observes a $d$-dimensional contextual preference information vector for the user, and offers to…

Machine Learning · Computer Science 2025-03-18 Yigit Efe Erginbas , Thomas A. Courtade , Kannan Ramchandran

The growing need for companies to reduce costs and maximize profits has led to an increased focus on logistics activities. Among these, inventory management plays a crucial role in minimizing organizational expenses by optimizing the…

We study dynamic joint assortment and pricing where a seller updates decisions at regular accounting/operating intervals to maximize the cumulative per-period revenue over a horizon $T$. In many settings, assortment and prices affect not…

Machine Learning · Statistics 2026-02-20 Junhui Cai , Ran Chen , Qitao Huang , Linda Zhao , Wu Zhu

Options on baskets (linear combinations) of assets are notoriously challenging to price using even the simplest log-normal continuous-time stochastic models for the individual assets. The paper [5] gives a closed form approximation formula…

Pricing of Securities · Quantitative Finance 2023-02-20 Dongdong Hu , Hasanjan Sayit , Frederi Viens

We study the fundamental problem of offline assortment optimization under the Multinomial Logit (MNL) model, where sellers must determine the optimal subset of the products to offer based solely on historical customer choice data. While…

Machine Learning · Statistics 2025-08-26 Yuxuan Han , Han Zhong , Miao Lu , Jose Blanchet , Zhengyuan Zhou

This paper derives polynomial-time approximation schemes for several NP-hard stochastic optimization problems from the algorithmic mechanism design and operations research literatures. The problems we consider involve a principal or seller…

Computer Science and Game Theory · Computer Science 2025-09-18 Robin Bowers , Marius Garbea , Emmanouil Pountourakis , Samuel Taggart

We consider a dynamic assortment selection problem, where in every round the retailer offers a subset (assortment) of $N$ substitutable products to a consumer, who selects one of these products according to a multinomial logit (MNL) choice…

Machine Learning · Computer Science 2018-07-03 Shipra Agrawal , Vashist Avadhanula , Vineet Goyal , Assaf Zeevi

In this paper, we explore the challenge of assortment planning in the context of quick-commerce, a rapidly-growing business model that aims to deliver time-sensitive products. In order to achieve quick delivery to satisfy the immediate…

Optimization and Control · Mathematics 2025-08-06 Yajing Chen , Taotao He , Ying Rong , Yunlong Wang

We introduce and study a class of optimization problems we coin replenishment problems with fixed turnover times: a very natural model that has received little attention in the literature. Nodes with capacity for storing a certain commodity…

Data Structures and Algorithms · Computer Science 2017-12-15 Thomas Bosman , Martijn van Ee , Yang Jiao , Alberto Marchetti-Spaccamela , R. Ravi , Leen Stougie

Motivated by the dynamic assortment offerings and item pricings occurring in e-commerce, we study a general problem of allocating finite inventories to heterogeneous customers arriving sequentially. We analyze this problem under the…

Data Structures and Algorithms · Computer Science 2019-05-14 Will Ma , David Simchi-Levi

We consider a sequential assortment selection problem where the user choice is given by a multinomial logit (MNL) choice model whose parameters are unknown. In each period, the learning agent observes a $d$-dimensional contextual…

Machine Learning · Statistics 2021-03-26 Min-hwan Oh , Garud Iyengar

Modern parcel logistic networks are designed to ship demand between given origin, destination pairs of nodes in an underlying directed network. Efficiency dictates that volume needs to be consolidated at intermediate nodes in typical…

Discrete Mathematics · Computer Science 2023-11-10 Madison Van Dyk , Kim Klause , Jochen Koenemann , Nicole Megow

There is a growing body of work on sorting and selection in models other than the unit-cost comparison model. This work is the first treatment of a natural stochastic variant of the problem where the cost of comparing two elements is a…

Data Structures and Algorithms · Computer Science 2007-10-02 Stanislav Angelov , Keshav Kunal , Andrew McGregor

One innovative solution to the last-mile delivery problem is the self-service locker system. Motivated by a real case in Singapore, we consider a POP-Locker Alliance who operates a set of POP-stations and wishes to improve the last-mile…

Optimization and Control · Mathematics 2020-02-25 Yun Hui Lin , Dongdong He , Yuan Wang , Loo Hay Lee

In this paper, we study a retailer price optimization problem which includes the practical constraints: maximum number of price changes and minimum amount of price change (if a change is recommended). We provide a closed-form formula for…

Optimization and Control · Mathematics 2021-04-21 Xiaojie Wang , Hsin-Chan Huang , Lanshan Han , Alvin Lim

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

This paper considers the vehicle routing problem with stochastic demands (VRPSD) under optimal restocking. We develop an exact algorithm that is effective for solving instances with many vehicles and few customers per route. In our…

Optimization and Control · Mathematics 2018-06-25 Alexandre Florio , Richard Hartl , Stefan Minner

We study the problem of dynamic assortment personalization with large, heterogeneous populations and wide arrays of products, and demonstrate the importance of structural priors for effective, efficient large-scale personalization.…

Machine Learning · Statistics 2019-05-03 Nathan Kallus , Madeleine Udell