Modern revenue management systems enable firms to make sophisticated pricing decisions over the course of a sales season. Many of these systems operate within what one might refer to as the “estimate, then optimize” paradigm where estimation and optimization are two distinct, interleaved activities. This thesis will discuss two research efforts that explore moving away from such a paradigm. We ...

Companies tend to produce over optimistic forecasts of demand. Psychologists have suggested that optimism, at least in part, results from selective bias in processing information. When high demand is more desirable than low demand information favouring high demand may carry more weight than information that suggests the opposite. To test this, participants in an experiment used a prototypical f...

This investigation examines how consumer durable goods producers can leverage virtual reality for new product development. First, the authors develop a prelaunch sales forecasting approach with two key features: and an extended macro-flow model. To assess its effectiveness, collect data from 631 potential buyers of real-world innovations. The results reveal that yields highly accurate forecasts...

A forecasting model of new product demand has been developed and applied to forecast new vehicle demand in Malaysia. Since the publication of the Bass model in 1969, innovation of new diffusion theory has sparked considerable research among marketing science scholars, operational researchers and mathematicians. This study considers the Bass Model for forecasting the diffusion of new products or...

Natural calamities (e.g., hurricane, excessive ice-fall) may often impede the inventory replenishment during the peak sale season. Due to the extreme situations, sales may not occur and demand may not be recorded. This study focuses on forecasting of intermittent seasonal demand by taking random demand with a proportion of zero values in the peak sale season. Demand pattern for a regular time i...

This paper proposes ameans of using stochastic diffusion processes to model the total consumption of electrical power (including distribution and transport losses) inMorocco, as recorded by the official data for total sales published by Office Nationale de l’Électricité (ONE), the Moroccan electricity authority. Two models of univariate stochastic diffusion were used: the time-homogeneous Gompe...

Purpose – This article examines internet search query data provided by ‘Google Trends’, with respect to its ability to serve as a sentiment indicator and improve commercial real estate forecasting models for transactions and price indices. Methodology – The study uses data from CoStar the largest data providers of US commercial real estate repeat sales indices. We design three groups of models:...

In recent years, with the deepening of China’s electricity sales side reform and electricity market opening up gradually, the forecasting of electricity consumption (FoEC) becomes an extremely important technique for the electricity market. At present, how to forecast the electricity accurately and make an evaluation of results scientifically are still key research topics. In this paper, we pro...

Equity analysts’ target price can be decomposed into two components: the earnings forecast and the price-to-earnings (P/E) ratio forecast, with the former containing shortterm earnings news and the latter containing news about long-term earnings growth and discount rates. Using a large database of target prices from 1997 to 2004, we document that both components are important in driving target ...

In this paper, we consider the demand for multiple successive generations of products and develop a population growth model that allows demand transitions across multiple product generations, and takes into consideration the effect of competition. We propose an iterative descent method for obtaining the parameter estimates and the covariance matrix, and show that the method is theoretically sou...