A newsvendor model with probabilistic recourse

摘要

A probabilistic recourse model of newsvendor problem is researched in this paper. The classical newsvendor problem pursues only expected profit maximization or expected cost minimization, while ignoring the risk factors of this problem to a certain extent. Therefore, a probability recourse model is introduced in which minimizing the probability of uncertain cost over a certain threshold value. By using this model, a satisfying level for profit can be attained, and the risk of this profit is realized as small as possible.