The impact of customer returns on pricing and order decisions |
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| Authors: | Jing Chen Peter C Bell |
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| Institution: | Richard Ivey School of Business, The University of Western Ontario, London, Canada N6H 4A9 |
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| Abstract: | In this paper, we address the simultaneous determination of price and inventory replenishment when customers return product to the firm. We examine cases when the quantity of returned product is a function of both the quantity sold and the price, in single and multi-period problems, with and without uncertainty in demand. |
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| Keywords: | Pricing Revenue management Customer returns Newsvendor problem with price effects Market segmentation |
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