Dynamic pricing with constant demand elasticity

• 成果类型: Article
• 署名作者: McAfee, R. Preston; te Velde, Vera
• 署名单位: California Institute of Technology
• 刊物名称: PRODUCTION AND OPERATIONS MANAGEMENT
• ISSN/ISSBN: 1059-1478
• DOI: 10.3401/poms.1080.0041
• 发表日期: 2008
• 页码: 432-438
• 关键词: revenue management; yield management; Dynamic pricing; efficient pricing

摘要

The celebrated model of Gallego and van Ryzin is specialized to the case of constant elasticity of demand. A closed form is developed, which has an even simpler form than that arising with exponential demand and which possesses an excellent approximation. In this environment, monopoly is efficient, which means that all the behavior usually attributed to monopoly pricing is actually a consequence of efficient pricing and would arise even in a perfectly competitive environment. If the initial supply is not too large, consumers have no incentive to delay their purchases to get a lower price at the average inventory prevailing at any time.