A Comprehensive Analysis of the Newsvendor Model with Unreliable Supply

  title={A Comprehensive Analysis of the Newsvendor Model with Unreliable Supply},
  author={Yacine Rekik and Evren Sahin and Yves Dallery},
A single-period, uncertain demand inventory model is analyzed under the assumption that the quantity ordered (produced) is a random variable. We first conduct a comprehensive analysis of the well known single period production/inventory model with random yield. Then, we extend some of the results existing in literature: our main contribution is to show that earlier results are only valid for a certain range of system parameters. Under the hypothesis that demand and the error in the quantity… CONTINUE READING


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