Since order quantity has only been decided at a spot selling time in the classical newsboy
problem, both the purchase timing and the time-variant variance of the forecasted demand are neglected
When the buyer purchases seasonal commodity by changing, his pre-planned schedule for more purchase
discount, it is necessary for the buyer to forecast the demand of spot selling time, which may increase the
variance of the demand This paper deals simultaneously with optimal purchase timing, and order quantity
under a specified shortage-level limit in a distribution free newsboy problem Besides, a numerical example is
used to illustrate the largest amount called Expectled Value of Additional Information, which decision-maker
will be willing to pay for the knowledge of the normal distribution. Furthermore, the effects of parameters
and economical meanings are also included. The resultant outcomes could apply to some cases in futures
commodity contracth
關聯:
Journal of the Operational Research Society of Japan 44(4), pp.301-312
