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A toy retailer plans to order a new product from an untested supplier for the winter holiday season. This exercise provides an opportunity for students to construct a model to determine optimal order quantity when demand is not known. Profits are calculated based on wholesale pricing, revenue-sharing, profit-sharing, and buyback contracts.
Copyright © 2011 by the University of Virginia Darden School Foundation, Charlottesville, VA. All rights reserved.
2011
University of Virginia Darden School Foundation
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