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Worst-Case Benefit of Restocking for the Vehicle Routing Problem With Stochastic Demands

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Abstract: The extant literature on the vehicle routing problem with stochastic demands indicates that restocking yields moderate percentage expected cost reductions relative to the a priori approach, but lacks theoretical support for this improvement. We conduct a worst-case analysis that corroborates the observed restocking benefits and enhances our understanding of a foundational model in logistics under uncertainty.

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