2015 Informs Annual Meeting

WE10

INFORMS Philadelphia – 2015

WE10 10-Room 310, Marriott Marketing in E-Business/Commerce Contributed Session Chair: Pei-hua Chen, National Chiao Tung University, 1001 University Rd, 16C, HsinChu, 300, Taiwan - ROC, peihuamail@gmail.com 1 - Investigation of How Social Relationships Contribute to M-commerce Continuance Intentions Chao Wen, Eastern Illinois University, 600 Lincoln Avenue, Charleston, IL, 61920, United States of America, cwen@eiu.edu The purpose of this study is to provide a better understanding of how social relationships influence mobile commerce continuance intentions. An integrated research model was developed based on the theory and literature review. A questionnaire was designed and distributed through Amazon Mechanical Turk for data collection. Survey data from 298 m-commerce customers allowed testing the research hypotheses, and structural equation modeling allowed validation of the research framework. 2 - Temporally Pricing Low or Spotlighting Your App?: An Empirical Study on Amazon Free App of The Day Kevin Lachaud, Duquesne University, Palumbo-Donahue School This research examines the effect of visibility and pricing, and their interaction effect, on apps’ market performance. In particular, we empirically study Amazon’s Free App of the Day, which puts a single app daily in the spotlight at a zero price. We test how high visibility and temporally free pricing resulted from this promotion strategy affect online user-generated conversations and sales rank on Amazon, which in turn affects apps’ sales and revenues on the Android app market. 3 - The Impact of User-generated Vs Firm-generated Content on Purchase Intention of High/Low Involv. Product Huma Amir, Chairperson Marketing Dept.; Assistant Professor, Institute of Business Administration, 218 Fauji Foundation, University Enclave, Gulshan-e-Iqbal, Karachi, 75400, Pakistan, huma.amir@hotmail.co.uk Effects of user-generated content (UGC) and firm-generated content of Facebook official brand pages on attitudes towards the brands and consumer purchase intentions are examined for low-involvement (LI) and high-involvement products (HI). Findings show positive correlation between attitudes towards HI for both UGC and FGC. FGC showed higher correlation with attitude towards a brand as compared to UGC, and positive impact on attitudes towards HI. LI do not exhibit any significant correlations. 4 - The Effects of Service Convenience, Trust and Perceived Risks on Third-party Payment Usage Intention Pei-Hua Chen, National Chiao Tung University, 1001 University Rd, 16C, HsinChu, 300, Taiwan - ROC, peihuamail@gmail.com, Chia-Yi Chen This study investigated the relationships of service convenience, trust and perceived risks to consumers’ intention to use third-party payment in Taiwan. A web-based questionnaire was created and sent to 300 participants with online shopping experiences. The results showed that service convenience, perceived risk and trust all have positive effects on usage intention for third-party payment. WE11 11-Franklin 1, Marriott Optimization Integer Programming IV Contributed Session Chair: Ayse Bayrak, TUBITAK, Tunus Caddesi No:80, Ankara, Turkey, aysebayrak.tubitak@gmail.com 1 - Integrated Batching and Lot Streaming with Variable Sublots and Sequence-dependent Setup Shasha Wang, Clemson University, Freeman Hall, Clemson, SC, 29634, United States of America, shashaw@g.clemson.edu, Scott Mason, Cole Smith Customers order multiple products belonging to some job family that can be batched together for manufacturing. Each product can be split into several sublots so that overlapping production is possible in a two-stage hybrid flow shop. We model this practically-motivated integrated batching and lot streaming problem with variable sublots and incompatible job families in the presence of sequence- dependent setup times to minimize total weighted completion time and present promising results. of Business, 600 Forbes Avenue, Pittsburgh, PA, 15282, United States of America, lachaudk@duq.edu, Wenqi Zhou

2 - An Integer Programming Approach for Patrol Police Assignment in the Philippines Rhoda Namoco, Mindanao University of Science and Technology,

Lapasan, Cagayan De Oro City, 9000, Philippines, rhodaagdeppanamoco@gmail.com, Eleajen Lago

In this study, an integer programming model is developed to solve the Police Assignment Problem (PAM) which consists of assigning policemen to beat areas to ensure optimum police visibility in the central business district (CBD) of Cagayan de Oro City, Philippines. Results of the study show that the proposed model provides better police visibility than the current police assignment around the CBD of the city. 3 - Branching Rule in the Branch and Bound Algorithm: An Approach Based in Polyhedral Information Ivan Derpich, Doctor, Universidad de Santiago de Chile, Ave. Ecuador 3769 Santiago, Santiago, Chile, ivan.derpich@usach.cl This work presents a new variable branching rule for the B&B algorithm, the hybrid rule. It is based in a combination of the flatness rule and the pseudocosts rule. The result of this work showed that the number of nodes generated using the hybrid rule yielded to these test problems, a 80% less node than the produced when using the pseudocost rule. 4 - Valid Inequalities for Economic Lot-sizing Problems with Remanufacturing: Joint Setups Case Sharifah Aishah Syed Ali, PhD Researcher, Dept. of Management Science, University of Strathclyde, Graham Hills Building, RM 858, 40 George Street, Glasgow, G1 1QE, United Kingdom, sharifah-aishah-binti-syed-ali@strath.ac.uk, Kerem Akartunali, Mahdi Doostmohammadi, Robert Van Der Meer In this talk, we study the polyhedral structure of a mixed integer set arising from the feasible set of economic lot-sizing problems with remanufacturing and joint setups. First, we present the basic properties and some general results about trivial facet-defining inequalities. Then, we derive new families of valid inequalities and identify cases where they define facets. Finally, some preliminary computational results are presented to test the effectiveness of these inequalities. 5 - Pharmaceutical Industry Waste Management Ayse Bayrak, TUBITAK, Tunus Caddesi No:80, Ankara, Turkey, aysebayrak.tubitak@gmail.com, Bahar Ozyoruk The measures taken for Environmental Pollution has made significant efforts in waste management. in this study, in Turkey, the waste of pharmaceutical industry will be discussed. Pharmaceutical waste will appear, the pharmaceutical industry waste management will be modeled. In this context, a mathematical model will be developed for recycling and disposal of waste and solutions related methods will be investigated.

WE13 13-Franklin 3, Marriott Robust/Stochastic Optimization Sponsor: Optimization/Optimization Under Uncertainty Sponsored Session

Chair: Tahir Ekin, Assistant Professor, Texas State University, 601 University Dr. McCoy Hall 411, San Marcos, TX, 78666, United States of America, t_e18@txstate.edu 1 - Simulation Based Approaches for Stochastic Optimization with Endogenous Uncertainty Tahir Ekin, Assistant Professor, Texas State University, 601 University Dr. McCoy Hall 411, San Marcos, TX, 78666, United States of America, t_e18@txstate.edu, Nicholas Polson, Refik Soyer We present two simulation based approaches to solve stochastic programs with decision dependent (endogenous) uncertainty. We develop an augmented probability model where the decision variable is treated as random and sampling from the marginal decision variable results with the optimal decision. Markov chain Monte Carlo simulation and nested sampling algorithms are utilized. We illustrate the methodology on a two stage news-vendor problem with stock- dependent uncertain demand.

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