A Re-solving Heuristic for Dynamic Assortment Optimization with Knapsack Constraints
A Re-solving Heuristic for Dynamic Assortment Optimization with Knapsack Constraints
The paper titled "A Re-solving Heuristic for Dynamic Assortment Optimization with Knapsack Constraints," published on arXiv in November 2025, addresses the challenge of dynamic assortment optimization within the retail sector. It employs multinomial choice modeling to guide retailers in making assortment decisions over time, aiming to maximize profits despite the inherent computational complexity of finding exact optimal solutions. The study explores the effectiveness of dynamic assortment optimization methods, highlighting their potential benefits for retailers. By focusing on knapsack constraints, the research acknowledges practical limitations retailers face when selecting assortments. The authors claim that their approach can positively impact retailer profit maximization, suggesting a promising direction for operational decision-making. Overall, the paper contributes to the understanding of how heuristic methods can navigate complex optimization problems in dynamic retail environments.
