The objective of the paper is to study how wholesale price and revenue sharing contracts affect operations and marketing decisions in a supply chain under different dynamic informational structures. We suggest a differential game model of a supply chain consisting of a manufacturer and a single retailer that agree on the contract parameters at the outset of the game. The model includes key oper...

Quality of Service (QoS) management is an important issue in today’s high-speed distributed systems supporting multimedia applications. Most existing QoS management schemes usually just cope with technical issues of resource reservations and QoS guarantees, often completely neglecting revenue issues which are especially important for service providers in order to maximize their profit. The reve...

In this paper, we propose a randomized linear program to obtain bid prices for the network revenue management problem with customer choice behavior. Our development proceeds in two stages. We first formulate a mixed integer program that can be viewed as a deterministic approximation to the network revenue management problem. We then use the optimal solution to the mixed integer program to formu...

Andris Moïler is a research fellow at the Institute of Mathematics of the Humboldt-University Berlin. Before that, he was a research fellow at the Weierstrass Institute for Applied Analysis and Stochastics in Berlin and the Humboldt-University Berlin. His research interests include unit commitment in power production planning, optimal control of destillation processes with probabilistic constra...

In this paper, we propose a new dynamic programming decomposition method for the network revenue management problem with customer choice behavior. The fundamental idea behind our dynamic programming decomposition method is to allocate the revenue associated with an itinerary among the different flight legs and to solve a single-leg revenue management problem for each flight leg in the airline n...

Abstract We consider a real discrete pricing problem in network revenue management for FlixBus. improve the company's current policy by an intermediate optimization step using booking limits from standard deterministic linear programs. pay special attention to computational efficiency. FlixBus' strategic decision allow low-cost refunds might encourage large group bookings early process. In this...