基于需求更新的民航收入管理动态存量控制模型

Abstract

Abstract: Based upon analysis of the deficiency of EMSR(Expected Marginal Seat Revenue)model,the milestone of airline revenue management,the paper puts forward a new dynamic revenue management inventory control model,which is more general and more sensitive to the market.The paper,at the first place,combines the prior distributions of demand with the latest marketing information acquired in the selling process,then renews the distributions of demand with Bayesian model which obeying bivariate normal distribution,and takes into consideration such factors as the newest demand forecast,No-Show and order canceling,to draw out a fresh demand restriction,which then is compared with the total seats to achieve the final model.

Key words: revenue management, EMSR model, demand updating, dynamic inventory control model

CLC Number:

C931

LUO Li, WANG Nian-xing. The Dynamic Revenue Management Inventory Control Model with Demand Updating[J]. Chinese Journal of Management Science, 2005, (4): 33-39.

References

[1] Littlewood K. Forecasting and Control of Passengers [J].12th AGIFORS Symposium Proceedings, 1972,103-10.
[2] Glover F., R. Glover, J. Lorenzo, C. McMillan. The passenger mix problem in the scheduled airlines[J]. Interfaces,1982,12:73-79.
[3] Belobaba, P.P., Airline Yield Management: An Overview of Seat Inventory Control [J].Transportation Science,1987(21) :63-73.
[4] Belobaba, P.P., Application of a Probabilistic Decision Model to Airline Seat Inventory Control [J]. Operations Research, 1989,37:183-197.
[5] Curry, R. Optimal Seat Allocation with Fare Classes Nested by Origins and Destinations [J].Transportation Science1990,24:193-204.
[6] Robinson,L. W. Optimal and Approximate Control Policies for Airline Booking with Sequential Fare Classes [J]. Operations Research, 1995,43:252-263.
[7] Wollmer, R.D.An Airline Seat Management Model for a Single Leg Route when Lower Fare Classes Book First[J].Operations Research, 1992,40: 26-37.
[8] Brumelle, S. L. and J. I. McGill. Allocation of Airline Seats between Stochastically Dependent Demand[J]. Transportation Science, 1993,24:183-192.
[9] Lee T. C. and M. Hersh. A Model for Dynamic Airline Seat Inventory Control with Multiple Seat Bookings[J]. Transportation Science, 1993,27: 252-265.
[10] Liang, Y. Solution to the Continuous Time Dynamic Yield Management Model [J]. Transportation Science, 1999,33:117-123.
[11] Feng, Y. and B. Xiao. A Dynamic Airline Seat Inventory Control Model and Its Optimal Policy[J]. Operations Research, 2001,49:938-949.
[12] Zhao,W.and Y.S.Zheng. A Dynamic Model for Airline Seat Allocation with Passenger Diversion and No-Shows[J]. Transportation Science,2001,35: 80-98.
[13] Dvoretzky, A, J. Keifer, J, Wolfowitz. The inventory problem:Ⅱ. Case of unknown distributions of demand[J]. Econometrica, 1952,20: 450-466.
[14] Scarf, H.Bayes solutions of the statistical inventory problem[J]. Naval logist. Res. Quart, 1960,7: 591-596.
[15] B.S. Miller. A compariosn of the optimal levels of Bayesian and non-Bayesian inventory models [J]. Management Science, 1984,30: 993-1003.
[16] Azuory, K. S. Bayes solution to dynamic inventory models under unknown demand distributions [J]. Management Science, 1985,31:1150-1160.
[17] Johnson, O, H, Thompson. Optomality of Myopic inventory policies for certain depended processes[J]. Management Science, 1975,21:1303-1307.
[18] Lovejoy, W.Myopic policies for some inventory models with uncertain demand distributions[J]. Management Sci,1990,36:724-738.
[19] Miller, L, M. Scarf's state reduction method, flexibility,and a dependent demand inventory model [J]. Operations Research, 1989,34:83-90.
[20] Hausman, W. H. Sequential decision problems: A model to exploit existing forecasts[J]. Management Science, 1969,16:93-111.
[21] Heath, D, P, Jackson. Modeling the evolution of demand forecasts with application to safety stock analysis in production/distributions systems[J]. ⅡE Thans, 1994,26:17-30.
[22] Bhatia, A.V., and S.C. Parekh. Optimal Allocation of Seats by Fare[A].Presentation by Trans World Airlines to AGIFORS Reservations Study Group[C]. 1973.
[23] Richter, H.The Differential Revenue Method to Determine Optimal Seat Allocations by Fare Type [J]. AGIFORS Symp. Proc., 1982: 339-362.
[24] McGill ,J. I. Op timization and Estimation Problems in Airline Yield Management. Ph. D. thesis, [D]. Faculty of Commerce and Business Administration, University of British Columbia, Vancouver, BC. 1989.
[25] G.J. Van Ryzin,J. I. McGill. Revenue Management Without Forecasting or Optimization:An Adaptive Algorithm for Determining Airline Seat Protection Levels[J]. Management Science, 2000,46: 760-775.
[26] Brown, A, H. L LEE. Optimal pay to delay capacity reservation with application to the semiconductor industry[C].Working paper Stanford university, Stanford, CA.
[27] Beger,Jams. O, Statistical Decision Theory and Bayesian Analysis[M]. Second Ed, Springer-Verlag, New York,1985.
[28] Bickel, P. K. Doksum Mathematical Statistics[M]. Holden Day Publisher,San Francisco, CA. 1977.
[29] 张菊亮,陈剑.销售商的努力影响需求变化的供应链的合约[J].中国管理科学,2004,12(4):50-56.
[30] 陈金亮,徐渝,贾涛.对称信息下具有需求预测更新的供应链协调模型分析[J].中国管理科学,2005,13(1):37-41.

The Dynamic Revenue Management Inventory Control Model with Demand Updating

PDF (PC)

Knowledge

Cited

Abstract

Cite this article

share this article

References

Related Articles 15

Metrics

Comments

Recommended 0

[1]	Baomei Ma,Sifeng Liu,Jian Liu. Service Mechanism and Pricing Based on Fairness Preference of Regular Customers for Non-Monopoly System [J]. Chinese Journal of Management Science, 2024, 32(2): 141-151.
[2]	Jian LIU,Rong-rong YIN,Jie CHEN,Xin-yue SUN,Si-feng LIU. Inventory Research for Omni-Channel Retailers Based on Customer Channel Preference [J]. Chinese Journal of Management Science, 2023, 31(11): 184-194.
[3]	Meng-xi CHEN,Peng TIAN,Xiang-yong LI. Dynamic Pricing Model for Multi-class Problem Considering Air Passengers' Choice Behavior [J]. Chinese Journal of Management Science, 2023, 31(11): 312-320.
[4]	LIU Jian, ZHANG Xun, CHEN Jie, LIU Si-feng. Research on Return Modes and Pricing for Omnichannel Retailers [J]. Chinese Journal of Management Science, 2022, 30(4): 252-263.
[5]	LIU Jian, XU Yong, ZHANG Xun, SHEN Ming-lei, LIU Si-feng. Priority Pricing Based on the Expected Waiting Time for Heterogeneous Customers [J]. Chinese Journal of Management Science, 2022, 30(1): 275-286.
[6]	ZHAO Li-xiang, XIE Zi-yi, YANG Yong-zhi, GAO Zhen-di, JI Ming-jun. A Model of Cruise Cabin Allocation and Pricing Based on Revenue Management [J]. Chinese Journal of Management Science, 2022, 30(1): 196-205.
[7]	XIONG Hao, YAN Hui-li. An Intertemporal Pricing Optimization Model of the Airline Ticket based on Revenue Management [J]. Chinese Journal of Management Science, 2019, 27(8): 172-180.
[8]	LIN Ya-qin, GUO Qiang, ZHANG Zhi-wen, ZHAO Da. Study on the Cooperation Model Decisions for Hotels and OTAs in the Off-season [J]. Chinese Journal of Management Science, 2018, 26(5): 187-196.
[9]	XU Shu-jun. Based On the Double Product Hotelling Model Flexible Product Pricing Strategy Research Of Online Advertising [J]. Chinese Journal of Management Science, 2017, 25(12): 117-125.
[10]	LAN Bo-xiong, WANG Tong-shu. Optimization Model and Algorithms for Large-scale Rail Passenger Transport Network Operation [J]. Chinese Journal of Management Science, 2016, 24(6): 159-170.
[11]	JIN Lei, CHEN Bo-cheng, XIAO Yong-bo. The Study on Inventory and Pricing Strategy between On-line and Physical Channels [J]. Chinese Journal of Management Science, 2013, 21(3): 104-112.
[12]	LUO Li, XIAO Bai-chun. The Dynamic Pricing Model for Airline Parallel Flights [J]. Chinese Journal of Management Science, 2012, (3): 104-111.
[13]	LI Hao, XIONG Zhong-kai, PENG Zhi-qiang. Optimal Dynamic Pricing for Perishable Assets in Competitive Markets with Strategic Consumers [J]. Chinese Journal of Management Science, 2011, 19(2): 88-98.
[14]	LAN Bo-xiong, ZHANG Li. Revenue Management Model for High-Speed Passenger Railway [J]. Chinese Journal of Management Science, 2009, 17(4): 53-59.
[15]	WEI Yi-hua, HU Qi-ying, XIA Yu-sen. A Continuous Time Revenue Management Problem with Multi-Channels [J]. Chinese Journal of Management Science, 2008, 16(2): 37-41.