Internet-based visualization of newsvendor problem using Java applet

Newsvendor problem is a famous and basic problem in stochastic programming, and has been profitably applied in many fields, such as economic management, optimization control, supply chain. Newsvendor problem modeling is studied in this paper, and Internet-based experiment is developed using Java applet. User can study the principle and algorithm of newsvendor problem, and understand essential character of the classical stochastic programming through the experiment system. Two types of the random demands with continuous and discrete probability distribution are respectively selected by user to demonstrate the mechanism of newsvendor problem modeling. The developed system can display optimal results with text as well as graphics, and provides a visual platform with interaction for users.