Bilevel programming approaches to production planning for multiple products with short life cycles

We provide decision-making models for a manufacturer which plans to produce multiple short life cycle products with the one-shot decision theory. The obtained optimal production quantities are based on the most appropriate scenarios for the manufacturer. Since the models are the bilevel programming problems with the max-min or min-max operator in the lower levels, we propose two approaches to translate them into general single-level optimization problems such that they can be solved via the commonly used optimization methods. The effectiveness of our approaches is examined from the theoretical and computational aspects.