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Dynamic booking rules for flights with an intermediate stop

Author

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  • Ladany, SP
  • Bedi, DN

Abstract

A feasible model has been developed to find the optimal decision rule for allocating seats to passengers seeking to fly on the long or short span of a flight with an intermediate stop from which no boarding rights exist to take passengers to the terminal stop. The model is feasible from the point of view of estimating the data and of computer calculation and memory capacity and is implementable under real life conditions. A computer program was written and a short sample problem was calculated to show the differences in computation time and memory requirements vs the loss of revenue in comparison with a complicated and thus unfeasible higher order model.

Suggested Citation

  • Ladany, SP & Bedi, DN, 1977. "Dynamic booking rules for flights with an intermediate stop," Omega, Elsevier, vol. 5(6), pages 721-730.
    • Handle: RePEc:eee:jomega:v:5:y:1977:i:6:p:721-730
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    Cited by:

    1. Dai, Yue & Chao, Xiuli & Fang, Shu-Cherng & Nuttle, Henry L.W., 2005. "Pricing in revenue management for multiple firms competing for customers," International Journal of Production Economics, Elsevier, vol. 98(1), pages 1-16, October.
    2. Jeffrey I. McGill & Garrett J. van Ryzin, 1999. "Revenue Management: Research Overview and Prospects," Transportation Science, INFORMS, vol. 33(2), pages 233-256, May.
    3. Wen Zhao & Yu-Sheng Zheng, 2001. "A Dynamic Model for Airline Seat Allocation with Passenger Diversion and No-Shows," Transportation Science, INFORMS, vol. 35(1), pages 80-98, February.
    4. Yue Dai & Xiuli Chao & Shu‐Cherng Fang & Henry L.W. Nuttle, 2006. "Capacity allocation with traditional and Internet channels," Naval Research Logistics (NRL), John Wiley & Sons, vol. 53(8), pages 772-787, December.
    5. Ladany, S. P., 1996. "Optimal market segmentation of hotel rooms--the non-linear case," Omega, Elsevier, vol. 24(1), pages 29-36, February.
    6. E. Andrew Boyd & Ioana C. Bilegan, 2003. "Revenue Management and E-Commerce," Management Science, INFORMS, vol. 49(10), pages 1363-1386, October.

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