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Chinese Journal of Management Science ›› 2008, Vol. 16 ›› Issue (2): 37-41.

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A Continuous Time Revenue Management Problem with Multi-Channels

WEI Yi-hua1, HU Qi-ying2, XIA Yu-sen3   

  1. 1. College of International Business and Management, Shanghai University, Shanghai 201800, China;
    2. School of Management, Fudan University, Shanghai 200433, China;
    3. Robinson College of Business, Georgia State University, Atlanta, GA 30303, USA
  • Received:2007-05-28 Revised:2008-01-31 Online:2008-04-30 Published:2008-04-30

Abstract: This paper discusses the continuous time yield management problem with multidistribution channels.By use of the control theory,an HJB optimal equation which the maximal expected revenue function satisfied is obtained.We also prove that the maximal expected revenue function is increasing and concave in inventory,and is decreasing and concave in time.And also,a relationship between the optimal price strategy of different distribution channel is obtained.Finally,a simulation is used to discuss the effect of pricing based channel.

Key words: pricing, revenue management, distribution channel, maximal expected revenue, optimal price strategy

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