Revenue management, hedonic pricing models and the effects of operational attributes

Cooperative network flow problem with pricing decisions and allocation of benefits: A game theory approach

Several real problems in telecommunication, transportation, and distribution industries can be well analyzed by network flow models. In revenue management, pricing plays a primary role which increases the profit generated from a limited supply of assets. Pricing decision directly affects the amount of service or product demand. Hence, in traditional maximum flow problem, we assume that the dema...

Revenue management and seller pricing decisions in retail industry: An agent-based model

Hedonic Pricing under Uncertainty: A Theoretical Consumer Behavior Model

A model of consumer behavior has been formulated by using an additive utility function and the hedonic pricing approach, in a virtual market. Since, there is a time lag between ordering and purchasing products (goods and services) online and receiving them, it means the consumer makes decision under uncertainty. The level of satisfaction with products with distinctive characteristics is describ...

Boosting the Accuracy of Hedonic Pricing Models

Hedonic pricing models attempt to model a relationship between object attributes and the object’s price. Traditional hedonic pricing models are often parametric models that suffer from misspecification. In this paper we create these models by means of boosted CART models. The method is explained in detail and applied to various datasets. Empirically, we find substantial reduction of errors on o...

A green transportation location-inventory-routing problem by dynamic regional pricing

Non-uniform distribution of customers in a region and variation of their maximum willingness to pay at distinct areas make regional pricing a practical method to maximize the profit of the distribution system. By subtracting the classic objective function, which minimizes operational costs from revenue function, profit maximization is aimed. A distribution network is designed by determining the...