Operations Research Seminar - " A New Approach to Choice-Based Revenue Management" - Virginie Lurkin, Eindhoven University of Technology
Different approaches of revenue management have been proposed over the years, including protection levels, products assignments, products availability, or pricing thresholds (called bid prices). Recently, there has been a growing interest in modeling customer choice behavior in revenue management problems. In this talk, we introduce a new formulation for Choice-Based Revenue Management in which the nonlinearity of the demand model, which is due to the random nature of the utility function, is circumvented with simulation. Applications of the framework to pricing in the context of airlines and last-mile delivery are shown.
Friday 17 January 2020 (11h00 - 12h00) - Anthropole - 3077