Comment on Modified Fare Ratio in a Two-Class Static Revenue Management Model with Buy-up Behavior

2021 ◽  
Author(s):  
Hideaki Takagi
Keyword(s):  
Simple Model ◽  
Revenue Management ◽  
Management Model ◽  
Probabilistic Interpretation ◽  
Numerical Examples ◽  
Expected Revenue

We review the optimal booking limit in the two-class static revenue management model with customers’ buy-up behavior. This is when a deterministic fraction of the low-fare customer class that cannot book early are willing to book the higher fare later. This simple model with dependent demands is difficult to analyze. Some well-known publications, such as Talluri and van Ryzin ( 2004 ) and Phillips ( 2005 ), treat this model incorrectly. In this note, we correct an erroneous formula for the modified fare ratio with the proper probabilistic interpretation. The correction was established previously by Brumelle et al. ( 1990 ). Numerical examples reveal that the corrected modified fare ratio provides a lower optimal booking limit, resulting in a higher expected revenue than those obtained by using the incorrect modified fare ratio.

A Monopolistic and Oligopolistic Stochastic Flow Revenue Management Model

2006 ◽  
Vol 54 (6) ◽  
pp. 1098-1109 ◽  
Author(s):  
Xiaowei Xu ◽  
Wallace J. Hopp
Keyword(s):  
Revenue Management ◽  
Management Model ◽  
Stochastic Flow

scholarly journals A Robust Optimization of Capacity Allocation Policies in the Third-Party Warehouse

2015 ◽  
Vol 2015 ◽  
pp. 1-10 ◽  
Author(s):  
Xu Xian-hao ◽  
Dong Wei-hong ◽  
Peng Hongxia
Keyword(s):  
Robust Optimization ◽  
Revenue Management ◽  
Optimization Technique ◽  
Capacity Allocation ◽  
Third Party ◽  
Management Problem ◽  
Robust Methods ◽  
Numerical Examples ◽  
The Third ◽  
Management Perspective

We study the capacity allocation policies of a third-party warehouse center, which supplies several different level services on different prices with fixed capacity, on revenue management perspective. For the single period situation, we use three different robust methods, absolute robust, deviation robust, and relative robust method, to maximize the whole revenue. Then we give some numerical examples to verify the practical applicability. For the multiperiod situation, as the demand is uncertain, we propose a stochastic model for the multiperiod revenue management problem of the warehouse. A novel robust optimization technique is applied in this model to maximize the whole revenue. Then we give some numerical examples to verify the practical applicability of our method.

Long waves on oceanic ridges

1969 ◽  
Vol 308 (1494) ◽  
pp. 343-354 ◽  
Keyword(s):  
Simple Model ◽  
Infinite Number ◽  
Numerical Solutions ◽  
Dispersion Curves ◽  
Long Waves ◽  
Earth’S Rotation ◽  
Variational Technique ◽  
General Shape ◽  
Numerical Examples ◽  
Mid Atlantic Ridge

A ridge in an ocean of uniform depth acts as a waveguide for long waves. A uniform rectangular ridge is used as a simple model, and it is shown that in this case an infinite number of modes of propagation along the ridge are possible. Actual dispersion curves are given for numerical examples based on the Mid-Atlantic Ridge. In the case of a ridge of general shape, a simple variational technique is suggested as a means of achieving numerical solutions. Two numerical examples of these techniques are given. The effect of the Earth’s rotation is considered at the end of the paper, and it is shown that in the numerical examples in this paper, this effect is very small.

scholarly journals On the Kumaraswamy-Dagum-Log-Logistic sigmoid functions with applications to population dynamics

2018 ◽  
Vol 5 (1) ◽  
Author(s):  
Nikolay Pavlov ◽  
Angel Golev ◽  
Anton Iliev ◽  
Asen Rahnev ◽  
Nikolay V. Kyurkchiev
Keyword(s):  
Population Dynamics ◽  
Distribution Function ◽  
Simple Model ◽  
Cumulative Distribution Function ◽  
Cumulative Distribution ◽  
Heaviside Function ◽  
Numerical Examples ◽  
Dagum Distribution ◽  
Hausdorff Approximation ◽  
Sigmoid Functions

he Kumaraswamy-Dagum distribution is a flexible and simple model with applications to income and lifetime data.We prove upper and lower estimates for the Hausdorff approximation of the shifted Heaviside function by a class of Kumaraswamy-Dagum-Log-Logistic cumulative distribution function - (KD-CDF). Numerical examples, illustrating our results are given.

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