The Integrated Size and Price Optimization Problem
  We present the Integrated Size and Price Optimization Problem (ISPO) for a fashion discounter with many branches. Based on a two-stage stochastic programming model with recourse, we develop an exact algorithm and a production-compliant heuristic that produces small optimality gaps. In a field study we show that a distribution of supply over branches and sizes based on ISPO solutions is significantly better than a one-stage optimization of the distribution ignoring the possibility of optimal pricing. 
Miriam Kie{\ss}ling, Sascha Kurz, and J\"org Rambau
math.OC q-fin.GN