Real-Time Spatial–Intertemporal Pricing and Relocation in a Ride-Hailing Network: Near-Optimal Policies and the Value of Dynamic Pricing

In “Real-Time Spatial–Intertemporal Pricing and Relocation in a Ride-Hailing Network: Near-Optimal Policies The Value of Dynamic Pricing,” Chen, Lei, Jasin consider dynamic pricing problem faced by ride-hailing service provider who manages fixed number servers serves price-sensitive customers within network. Servers serve arriving relocating from the requested origins to destinations certain travel time. authors first propose static policy based on optimal solution deterministic relaxation original stochastic problem. They show that proposed matches best possible asymptotic performance any policy. further adaptively changes prices way reduces impact past demand randomness balance future distributions across achieves significantly better asymptotical performance. policies their guarantees are extended case where firm jointly decides relocation vacant