Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

Dynamic Pricing in the Presence of Inventory Considerations: Research Overview, Current Practices, and Future Directions

Dynamic Pricing in the Presence of Inventory Considerations: Research Overview, Current... The benefits of dynamic pricing methods have long been known in industries, such as airlines, hotels, and electric utilities, where the capacity is fixed in the short-term and perishable. In recent years, there has been an increasing adoption of dynamic pricing policies in retail and other industries, where the sellers have the ability to store inventory. Three factors contributed to this phenomenon: (1) the increased availability of demand data, (2) the ease of changing prices due to new technologies, and (3) the availability of decision-support tools for analyzing demand data and for dynamic pricing. This paper constitutes a review of the literature and current practices in dynamic pricing. Given its applicability in most markets and its increasing adoption in practice, our focus is on dynamic (intertemporal) pricing in the presence of inventory considerations. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Management Science INFORMS

Dynamic Pricing in the Presence of Inventory Considerations: Research Overview, Current Practices, and Future Directions

Management Science , Volume 49 (10): 23 – Oct 1, 2003
23 pages

Loading next page...
 
/lp/informs/dynamic-pricing-in-the-presence-of-inventory-considerations-research-Qz8xwpzxK3

References (89)

Publisher
INFORMS
Copyright
Copyright © INFORMS
Subject
Research Article - Special Issue on E-Business and Management Science, Part 1 of 2
ISSN
0025-1909
eISSN
1526-5501
DOI
10.1287/mnsc.49.10.1287.17315
Publisher site
See Article on Publisher Site

Abstract

The benefits of dynamic pricing methods have long been known in industries, such as airlines, hotels, and electric utilities, where the capacity is fixed in the short-term and perishable. In recent years, there has been an increasing adoption of dynamic pricing policies in retail and other industries, where the sellers have the ability to store inventory. Three factors contributed to this phenomenon: (1) the increased availability of demand data, (2) the ease of changing prices due to new technologies, and (3) the availability of decision-support tools for analyzing demand data and for dynamic pricing. This paper constitutes a review of the literature and current practices in dynamic pricing. Given its applicability in most markets and its increasing adoption in practice, our focus is on dynamic (intertemporal) pricing in the presence of inventory considerations.

Journal

Management ScienceINFORMS

Published: Oct 1, 2003

Keywords: Keywords : Dynamic Pricing; ; E-Commerce; ; Revenue Management; ; Inventory

There are no references for this article.