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This paper presents the Sequential Rationality Hypothesis, which argues that consumers are better able to make utility-maximizing decisions when products appear in sequential pairwise comparisons rather than in simultaneous multi-option…

Theoretical Economics · Economics 2026-01-23 Dipankar Das

We consider a package assignment problem with multiple units of indivisible items. The seller can specify preferences over partitions of their supply between buyers as packaging costs. We propose incremental costs together with a graph that…

Theoretical Economics · Economics 2025-07-08 Simon Finster

Studying competition and market structure at the product level instead of brand level can provide firms with insights on cannibalization and product line optimization. However, it is computationally challenging to analyze product-level…

Machine Learning · Computer Science 2020-05-22 Fanglin Chen , Xiao Liu , Davide Proserpio , Isamar Troncoso , Feiyu Xiong

In this paper, we study the dynamic assortment optimization problem under a finite selling season of length $T$. At each time period, the seller offers an arriving customer an assortment of substitutable products under a cardinality…

Econometrics · Economics 2019-01-21 Xi Chen , Yining Wang , Yuan Zhou

Embedding based product recommendations have gained popularity in recent years due to its ability to easily integrate to large-scale systems and allowing nearest neighbor searches in real-time. The bulk of studies in this area has…

Information Retrieval · Computer Science 2022-11-30 Giorgi Kvernadze , Putu Ayu G. Sudyanti , Nishan Subedi , Mohammad Hajiaghayi

Consider a network design application where we wish to lay down a minimum-cost spanning tree in a given graph; however, we only have stochastic information about the edge costs. To learn the precise cost of any edge, we have to conduct a…

Data Structures and Algorithms · Computer Science 2017-11-02 Sahil Singla

A competitive market is modeled as a game of incomplete information. One player observes some payoff-relevant state and can sell (possibly noisy) messages thereof to the other, whose willingness to pay is contingent on their own beliefs. We…

Computer Science and Game Theory · Computer Science 2025-05-02 Thomas Falconer , Anubhav Ratha , Jalal Kazempour , Pierre Pinson , Maryam Kamgarpour

Information inflow into a computational system is by a sequence of information items. Cognitive computing, i.e. performing transformations along that sequence, requires to represent item information as well as sequential information. Among…

Neural and Evolutionary Computing · Computer Science 2022-02-18 Stefan Reimann

We describe a technique that can be used for the fusion of multiple sources of information as well as for the evaluation and selection of alternatives under multi-criteria. Three important properties contribute to the uniqueness of the…

Artificial Intelligence · Computer Science 2013-03-26 Ronald R. Yager

We study dynamic pricing where a seller repeatedly interacts with a strategic, non-myopic buyer who has a fixed private valuation and discounts future utility. Prior work focused exclusively on posted-price mechanisms, which only extract…

Computer Science and Game Theory · Computer Science 2026-04-28 Shiliang Zuo

We introduce a general model of resource allocation with customer choice. In this model, there are multiple resources that are available over a finite horizon. The resources are non-replenishable and perishable. Each unit of a resource can…

Optimization and Control · Mathematics 2015-11-06 Guillermo Gallego , Anran Li , Van-Anh Truong , Xinshang Wang

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

Predicting the behaviour of shoppers provides valuable information for retailers, such as the expected spend of a shopper or the total turnover of a supermarket. The ability to make predictions on an individual level is useful, as it allows…

Machine Learning · Computer Science 2022-10-19 Yorick Spenrath , Marwan Hassani , Boudewijn F. Van Dongen

We study an online learning problem on dynamic pricing and resource allocation, where we make joint pricing and inventory decisions to maximize the overall net profit. We consider the stochastic dependence of demands on the price, which…

Machine Learning · Computer Science 2025-05-23 Jianyu Xu , Xuan Wang , Yu-Xiang Wang , Jiashuo Jiang

Most literature surrounding optimal bidding strategies for aggregators in European day-ahead market (DAM) considers only hourly orders. While other order types (e.g., block orders) may better represent the temporal characteristics of…

Optimization and Control · Mathematics 2022-08-29 Yogesh Pipada Sunil Kumar , S. Ali Pourmousavi , Markus Wagner , Jon A. R. Liisberg

We study the problem of designing revenue-maximizing auctions for allocating multiple goods to flexible consumers. In our model, each consumer is interested in a subset of goods known as its flexibility set and wants to consume one good…

Computer Science and Game Theory · Computer Science 2018-02-01 Shiva Navabi , Ashutosh Nayyar

Convergence (virtual) bidding is an important part of two-settlement electric power markets as it can effectively reduce discrepancies between the day-ahead and real-time markets. Consequently, there is extensive research into the bidding…

Optimization and Control · Mathematics 2023-02-09 Letif Mones , Sean Lovett

This paper analyzes repeated version of the bilateral trade model where the independent payoff relevant private information of the buyer and the seller is correlated across time. Using this setup it makes the following five contributions.…

Theoretical Economics · Economics 2022-02-10 Rohit Lamba

In financial applications, latency advantages -- the ability to make decisions later than others, even without the ability to see what others have done -- can provide individual participants with an edge by allowing them to gather…

Theoretical Economics · Economics 2026-05-07 Ciamac C. Moallemi , Mallesh M. Pai , Dan Robinson

Complementary item recommendations are a ubiquitous feature of modern e-commerce sites. Such recommendations are highly effective when they are based on collaborative signals like co-purchase statistics. In certain online marketplaces,…

Information Retrieval · Computer Science 2023-03-13 Koby Bibas , Oren Sar Shalom , Dietmar Jannach