2020
DOI: 10.1287/mnsc.2019.3449
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Online Demand Fulfillment Under Limited Flexibility

Abstract: We study online demand fulfillment in a class of networks with limited flexibility and arbitrary numbers of resources and request types. We show analytically that such a network is both necessary and sufficient to guarantee a performance gap independent of the market size compared with networks with full flexibility, extending the previous literature from the long chains to more general sparse networks. Inspired by the performance bound, we develop simple inventory allocation rules and guidelines for designing… Show more

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Cited by 18 publications
(9 citation statements)
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“…In the special case of the long chain with identical demand arrival probabilities, the bound by Xu et al. (2019) is O(m2), which is slightly better than the bound by Asadpour et al. (2018) that is O(m2lnm).…”
Section: Models With Dependent Capacity Allocations Across Time Periodsmentioning
confidence: 73%
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“…In the special case of the long chain with identical demand arrival probabilities, the bound by Xu et al. (2019) is O(m2), which is slightly better than the bound by Asadpour et al. (2018) that is O(m2lnm).…”
Section: Models With Dependent Capacity Allocations Across Time Periodsmentioning
confidence: 73%
“…which is a bounded loss independent of the total market size K. The above bound becomes worse as the number of resources m increases, and the bound improves as the slack ξ becomes larger. In the special case of the long chain with identical demand arrival probabilities, the bound by Xu et al (2019) is Oðm 2 Þ, which is slightly better than the bound by Asadpour et al (2018) that is Oðm 2 ln mÞ.…”
Section: Online Resource Allocation: Online Allocations + Lost Demandmentioning
confidence: 93%
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