Capacity Investment Timing by Start-ups and Established Firms in New Markets

Published Research

We analyze the competitive capacity investment timing decisions of both established firms and start-ups entering new markets which are characterized by a high degree of demand uncertainty. Firms may invest in capacity early (when the market is highly uncertain) or late (when market uncertainty has been resolved), possibly at different costs.Read More

Revenue Management with Strategic Customers: Last-Minute Selling and Opaque Selling

Published Research

Companies in a variety of industries (e.g., airlines, hotels, theaters) often use last-minute sales to dispose of unsold capacity. Although this may generate incremental revenues in the short term, the long-term consequences of such a strategy are not immediately obvious.Read More