Risk control for cost uncertainty in dynamic oligopolistic competition
This article presents a robust optimization formulation for dealing with raw materials price uncertainty in an oligopolistic competition market scenario. Participants in the market face equilibrium selling price and uncertain production cost, at the same time. We show that the robust optimization formulation, based on a nominal problem, may be articulated as a variational inequality invoking control and state variables. This convenient approach may be exploited for computation of optimal solutions, which can help manufactories dramatically and rapidly alter production and distribution schedules, in order to compete in the market successfully.
robust optimization DVI price uncertainty
Wang Ming K.K.Lai L.Liang
Management School, University of Science and Technology of China, Hefei, China Department of Managem Department of Management Sciences University of Hong Kong, Hong Kong Management School, University of Science and Technology of China, Hefei, China
国际会议
北京
英文
524-528
2009-07-24（万方平台首次上网日期，不代表论文的发表时间）