A revenue management model for products with two capacity dimensions |
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| Authors: | Baichun Xiao Wei Yang |
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| Institution: | School of Business, Long Island University at C.W. Post, Brookville, NY 11548, USA |
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| Abstract: | Many perishable products and services have multiple capacity attributes. Shipping capacity of container liners, for example, is measured by both volume and weight. Containers with different size consume various capacities in the two dimensions. Restaurant revenue management aims to maximize the revenue per available seat-hour that captures both the number of dining tables and service manpower. Similar issues arise in the air cargo, trucking and health care industries. |
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| Keywords: | Network revenue management Multi-dimensional capacity Dynamic pricing Monotonicity |
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