Asymptotic Optimal Solutions for Airline Revenue Management with Cancelation and No-shows

摘要：

In this paper, we study the asymptotical optimal solutions for the general airline revenue management problem, considering both customer cancelations and no-shows. We study a simple case where there is only one fare-class; the management controls the opening and closing of the fare-class, with the objective of maximizing the total revenue. We first develop a fluid control problem, where the customer arrival and cancelation processes are treated as deterministic, whereas the no. of no-shows is random. The optimal fluid solution is shown to have a simple structure of accepting up to a single time point t and rejecting afterwards. We show that this policy acts as an upper bound for the MDP problem. Applying the optimal fluid solution to the stochastic environment, we show that this policy is asymptotically optimal on the fluid scaling.

关键词： Revenue Management Cancelations No-shows Asymptotically Optimal Solutions

作者: Yongbo Xiao

作者单位: Research Center for Contemporary Management,Key Research Institute of Humanities and Social Sciences at Universities,Department of Management Science and Engineering,School of Economics and Management,Tsinghua University,Beijing 100084,China

会议类型: 国际会议

会议名称: 2009 6th International Conference on Service Systems and Service Management( 2009 第六届服务系统与服务管理国际会议)

会议地点: 厦门

会议语种:英文

页码: 916-920

在线出版日期: 2009-06-08（万方平台首次上网日期，不代表论文的发表时间）