Name
Abstract | ||
|---|---|---|
We consider an airline seat inventory control problem with multiple origins, one hub, and one destination. Passengers from the origins fly to the destination via the hub. Seat capacity of the hub-destination flight is fixed. Demands at origins are assumed to obey the Poisson process. To maximize the expected revenue, management faces decisions on allocating seats among competing origin-destination routes. This study presents a stochastic control model and develops optimal control rules. The basic model is subsequently distended to consider multiple fares on each route, time-dependent demands, and booking control on an extended network. A numerical example shows that optimal seat control is simple and efficient. |
Year | DOI | Venue |
|---|---|---|
2001 | 10.1287/opre.49.6.938.10026 | Operations Research |
Keywords | Field | DocType |
dynamic airline seat inventory,multiple origin,expected revenue,airline seat inventory control,seat capacity,optimal policy,poisson process,optimal control rule,basic model,control model,optimal seat control,multiple fare,stochastic control model,inventory control | Revenue,Mathematical optimization,Optimal control,Inventory theory,Inventory control problem,Yield management,Inventory control,Poisson process,Mathematics,Operations management,Stochastic control | Journal |
Volume | Issue | ISSN |
49 | 6 | 0030-364X |
Citations | PageRank | References |
12 | 1.23 | 14 |
Authors | ||
2 | ||
Name | Order | Citations | PageRank |
|---|---|---|---|
| Youyi Feng | 1 | 162 | 16.40 |
| Baichun Xiao | 2 | 217 | 38.49 |