| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 1142464 | Operations Research Letters | 2012 | 6 Pages |
Abstract
We investigate the problem of optimal bidding for a firm that in each period procures items to meet a random demand by participating in a finite sequence of auctions. We develop a new model for a firm where its item valuation derives from the sale of the acquired items via their demand distribution, sale price, acquisition cost, salvage value and lost sales. We establish monotonicity properties for the value function and the optimal dynamic bid strategy and we present computations.
Keywords
Related Topics
Physical Sciences and Engineering
Mathematics
Discrete Mathematics and Combinatorics
Authors
Michael N. Katehakis, Kartikeya S. Puranam,