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  1. 1 Multiple Criteria Decision Making

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  1. 1 Bieniek M.

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  1. 1 2018

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Goal Setting in the Newsvendor Problem with Uniformly Distributed Demand

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Bieniek M.
Multiple Criteria Decision Making
|
2018
|
vol. 13
91-102
EN
In the paper we introduce the newsvendor problem with a satisficing-level objective, which is defined as maximization of the probability of exceeding the moving target. This target is defined as the expected profit, multiplied by a positive constant. The constant is chosen by the management and it indicates whether the low or the high goal should be achieved. We obtain closed form solutions of this newsvendor model with uniformly distributed demand. Additionally, we consider a bicriteria problem with the satisficing- -level and the classical objective.
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