The Quanto option is a cash-settled, cross-currency derivative in which the underlying asset has a payoff in one country, but the payoff is converted to another currency in which the option is settled. Thus, the correlation between the underlying asset and currency exchange rate plays an important role on pricing such options. Market observations give clear evidence that financial quantities ar...

Unfair pricing policies have been shown to be one of the most negative perceptions customers can have concerning pricing, and may result in long-term losses for a company. Despite the fact that dynamic pricing models help companies maximize revenue, fairness and equality should be taken into account in order to avoid unfair price differences between groups of customers. This paper shows how to ...

We introduce, in continuous time, an axiomatic approach to assign to any financial position a dynamic ask (resp. bid) price process. Taking into account both transaction costs and liquidity risk this leads to the convexity (resp. concavity) of the ask (resp. bid) price. Time consistency is a crucial property for dynamic pricing. Generalizing the result of Jouini and Kallal, we prove that the No...

the scarcity of water resources and supply resources limitation, have caused an increasing gap between water supply and demand specially in recent decades in almost all regions of the globe. one of the best known solutions proposed by the economists is using the different water pricing approaches thereby obtaining the optimal allocation and social justice. to this purpose, this paper uses the p...

This paper proposes a model for dynamic pricing that combines knowledge of production capacity and existing commitments, reasoning about uncertainty and learning of market conditions in an attempt to optimise expected profits. In particular, the changing market conditions are represented as a set of probabilities over the success rate of product prices. The dynamic pricing model is integrated i...

Locational marginal pricing (LMP) is a widely employed method for pricing electricity in the wholesale electricity market. Although it is well known that the LMP mechanism is vulnerable to market manipulation, there is little literature providing a systematic analysis of this phenomenon. In the first part of this paper, we investigate the economic dispatch outcomes of the LMP mechanism with str...

The Cloud resource procurement of cloud resources is an interesting and yet unexplored area in cloud computing. cloud vendors choose a fixed pricing strategy for pricing their resources and do not provide any incentive to their users. That’s why to choose only automates the selection of an appropriate cloud vendor and also to implement the dynamic pricing. A cloud broker which can implement the...