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When sales of a product are affected by randomness in demand, retailers can use dynamic pricing strategies to maximise their profits. In this article the pricing problem is formulated as a stochastic optimal control problem, where the…

Optimization and Control · Mathematics 2017-10-17 Asbjørn N. Riseth , Jeff N. Dewynne , Chris L. Farmer

Ridesharing platforms match drivers and riders to trips, using dynamic prices to balance supply and demand. A challenge is to set prices that are appropriately smooth in space and time, so that drivers with the flexibility to decide how to…

Computer Science and Game Theory · Computer Science 2021-09-20 Hongyao Ma , Fei Fang , David C. Parkes

Following [21, 23], the present work investigates a new relative entropy-regularized algorithm for solving the optimal transport on a graph problem within the randomized shortest paths formalism. More precisely, a unit flow is injected into…

Machine Learning · Computer Science 2021-09-21 Sylvain Courtain , Guillaume Guex , Ilkka Kivimaki , Marco Saerens

We study the online stochastic bipartite matching problem, in a form motivated by display ad allocation on the Internet. In the online, but adversarial case, the celebrated result of Karp, Vazirani and Vazirani gives an approximation ratio…

Data Structures and Algorithms · Computer Science 2009-05-27 Jon Feldman , Aranyak Mehta , Vahab Mirrokni , S. Muthukrishnan

Matching demand (riders) to supply (drivers) efficiently is a fundamental problem for ride-sharing platforms who need to match the riders (almost) as soon as the request arrives with only partial knowledge about future ride requests. A…

Optimization and Control · Mathematics 2025-08-07 Omar El Housni , Vineet Goyal , Oussama Hanguir , Clifford Stein

In this paper, we propose a stochastic model to describe how search service providers charge client companies based on users' queries for the keywords related to these companies' ads by using certain advertisement assignment strategies. We…

Data Structures and Algorithms · Computer Science 2012-09-10 Bo Tan , R. Srikant

The minimum cost flow problem is one of the most studied network optimization problems and appears in numerous applications. Some efficient algorithms exist for this problem, which are freely available in the form of libraries or software…

Machine Learning · Computer Science 2022-10-06 Philipp Herrmann , Anna Meyer , Stefan Ruzika , Luca E. Schäfer , Fabian von der Warth

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 vehicle routing problem which seeks to minimize cost subject to service level constraints on several groups of deliveries. This problem captures some essential challenges faced by a logistics provider which operates…

Optimization and Control · Mathematics 2017-06-13 Teobaldo Bulhões , Minh Hoàng Hà , Rafael Martinelli , Thibaut Vidal

The stable allocation problem is one of the broadest extensions of the well-known stable marriage problem. In an allocation problem, edges of a bipartite graph have capacities and vertices have quotas to fill. Here we investigate the case…

Discrete Mathematics · Computer Science 2014-07-14 Agnes Cseh , Martin Skutella

Pricing decisions of companies require an understanding of the causal effect of a price change on the demand. When real-life pricing experiments are infeasible, data-driven decision-making must be based on alternative data sources such as…

Applications · Statistics 2024-07-03 Lauri Valkonen , Santtu Tikka , Jouni Helske , Juha Karvanen

We consider the situation where multiple transportation service providers cooperate to offer an integrated multi-modal platform to enhance the convenience to the passengers through ease in multi-modal journey planning, payment, and first…

Systems and Control · Electrical Eng. & Systems 2022-06-29 Yuntian Deng , Shiping Shao , Archak Mittal , Richard Twumasi-Boakye , James Fishelson , Abhishek Gupta , Ness B. Shroff

We propose a real-time nodal pricing mechanism for cost minimization and voltage control in a distribution network with autonomous distributed energy resources and analyze the resulting market using stochastic game theory. Unlike existing…

Systems and Control · Electrical Eng. & Systems 2025-09-04 Eli Brock , Jingqi Li , Javad Lavaei , Somayeh Sojoudi

We consider the maximum bipartite matching problem in stochastic settings, namely the query-commit and price-of-information models. In the query-commit model, an edge e independently exists with probability $p_e$. We can query whether an…

Data Structures and Algorithms · Computer Science 2019-10-15 Buddhima Gamlath , Sagar Kale , Ola Svensson

We study problems with stochastic uncertainty information on intervals for which the precise value can be queried by paying a cost. The goal is to devise an adaptive decision tree to find a correct solution to the problem in consideration…

Data Structures and Algorithms · Computer Science 2021-09-27 Steven Chaplick , Magnús M. Halldórsson , Murilo S. de Lima , Tigran Tonoyan

Consider the following toy problem. There are $m$ rectangles and $n$ points on the plane. Each rectangle $R$ is a consumer with budget $B_R$, who is interested in purchasing the cheapest item (point) inside R, given that she has enough…

Computer Science and Game Theory · Computer Science 2012-07-25 Parinya Chalermsook , Khaled Elbassioni , Danupon Nanongkai , He Sun

Two general algorithms based on opportunity costs are given for approximating a revenue-maximizing set of bids an auctioneer should accept, in a combinatorial auction in which each bidder offers a price for some subset of the available…

Computational Engineering, Finance, and Science · Computer Science 2007-05-23 Karhan Akcoglu , James Aspnes , Bhaskar DasGupta , Ming-Yang Kao

We study optimization algorithms for the finite sum problems frequently arising in machine learning applications. First, we propose novel variants of stochastic gradient descent with a variance reduction property that enables linear…

Machine Learning · Computer Science 2017-07-06 Jakub Konečný

The relationship between demand and prices of a set of products can be modeled as a linear mapping from logarithmic price changes to logarithmic changes in demand. We consider the problem of estimating the coefficient matrix of this…

Optimization and Control · Mathematics 2026-04-15 Maximilian Schaller , Stephen Boyd

Same-day delivery for e-commerce has become a popular service. Companies usually offer several time delivery options with the earliest one being next hour delivery. Due to tight delivery deadlines and thin margins, companies often find it…

Optimization and Control · Mathematics 2019-12-09 Anatolii Prokhorchuk , Justin Dauwels , Patrick Jaillet
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