Note. The Role of Returns Policies in Pricing and Inventory Decisions for Catalogue Goods

Hamilton Emmons and Stephen M. Gilbert
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Hamilton Emmons: Weatherhead School of Management, Case Western Reserve University, Cleveland, Ohio 44106-7235
Stephen M. Gilbert: Weatherhead School of Management, Case Western Reserve University, Cleveland, Ohio 44106-7235

Management Science, 1998, vol. 44, issue 2, 276-283

Abstract: Manufacturers often use returns policies to encourage retailers to stock and price items more aggressively. We focus on the effect that such policies have on both a retailer's and a manufacturer's profits when the retailer must commit prior to the selling season to both a stocking quantity and a price at which to sell an item. Such a commitment is often necessary for retailers who sell primarily through catalogues.

Keywords: Pricing; Returns Policies; Newsboy; Manufacturing/Marketing Interface; Supply Chain (search for similar items in EconPapers)
Date: 1998
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Citations: View citations in EconPapers (167)

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Persistent link: https://EconPapers.repec.org/RePEc:inm:ormnsc:v:44:y:1998:i:2:p:276-283

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