Question: For a buyer ordering a single product, it is optimal to order the minimum of the available capacity and the optimal order quantity. However, when
For a buyer ordering a single product, it is optimal to order the minimum of the available capacity and the optimal order quantity. However, when ordering multiple products, the buyer
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must consider tradeoffs between ordering more of one product than another.
should treat each product as a unique purchase and optimize each on an individual basis.
should average the cost, procurement, and holding parameters and create a basket product that consists of equal ratios of all items.
should construct a weighted average based on all individual item demands and optimize this quantity.
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