  Newsvendor problems are an important and much-studied topic in stochastic
inventory control. One strand of the literature on newsvendor problems is
concerned with the fact that practitioners often make judgemental adjustments
to the theoretically "optimal" order quantities. Although judgemental
adjustment is sometimes beneficial, two specific kinds of adjustment are
normally considered to be particularly naive: demand chasing and
pull-to-centre. We discuss how these adjustments work in practice and what they
imply in a variety of settings. We argue that even such naive adjustments can
be useful under certain conditions. This is confirmed by experiments on
simulated data. Finally, we propose a heuristic algorithm for "tuning" the
adjustment parameters in practice.
