This paper describes an autonomous agent conceived for automating the decision making process for pricing products. Product pricing involves the interaction of decision makers with different possibly conflicting points of view. Our approach allows for applying individual pricing policies to each product by taking into account different points of view expressed through different arguments and th...

Bundling is the sale of two or more products in combination as a package. In this paper we consider the bundling and pricing of a complex durable product with the after-sales repair and maintenance services. The product and service are two different, but related markets for this scenario. The problem of bundling and pricing are considered for two product market structures: monopoly and duopoly....

This paper investigates an optimal sequencing and dynamic pricing problem for a two-class queueing system. Using a Markov Decision Process based model, we obtain structural characterizations of optimal policies. In particular, it is shown that the optimal pricing policy depends on the entire queue length vector but some monotonicity results prevail as the composition of this vector changes. A n...

As options models move from financial markets to corporate decision making, it is fitting to question the simple domain extension of option pricing theory by considering behavioral decision-making biases. We suggest, however, that, given the negative evolutionary consequences of ignoring optionlike investments, organizations invent heuristic rules to counter these biases. We propose the idea of...

The competitors in the airline industry often rely on pricing strategy to capture more sales as a main mean of competition. Thus, dynamic pricing is often utilized to maximize profit while allowing better pricing against competition at the same time. In order for dynamic pricing to be effective, airline company has to take in consideration both internal and external information. Tactical pricin...

Future communication networks are envisioned to be based upon a new communication paradigm which is user centric, i.e., users have freedom to choose a service provider to maximize their utilities. Pricing schemes adopted by service providers will impact the decision of users in selecting networks. In this paper, we formulate the problem as a Markov Decision Process (MDP) framework and apply Q-l...