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The work gives a presentation and the critical consideration of postulate applicability of new optimization models of consumer choice. The research includes the analysis and illustration of maximization of feasible usefulness of consumers on the so-called Lancaster model of goods characteristics, analysis of postulates and the model of consumer choice in the conditions of uncertainty, analysis of...
Advance-selling (AS) is a commonly observed industrial practice in which a retailer allows consumers to prebook the fashionable product before the real selling season starts. Motivated by this practice, this paper studies AS strategy for a retailer who sells a newsvendor-type of fashionable product in light of potential consumer opportunistic returns. In our model, the consumers face valuation uncertainty...
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