An adaptive method for generating demand inputs to airline seat inventory control models

Jovan Popovic and Dusan Teodorovic

Transportation Research Part B: Methodological, 1997, vol. 31, issue 2, 159-175

Abstract: In order to increase the passenger load factor and total profit, most airlines offer several different fares to passengers on the same flight. Seat inventory control is the process of assigning the available number of seats to different fare classes. During the last three decades, various aspects of this problem have been considered in the literature. The basic input data for the existing airline seat inventory models are the demand distributions for seats in particular fare classes. Statistical data as a base for forecasting future passenger demand are very often not available (opening a new route, significant changes in fares, the appearance of competitive carriers, etc.). The current models are not able to handle cases where no prior historical data is available. This paper attempts to develop an approach to deal with this problem. The adaptive airline seat inventory control, which is proposed, is based on the Bayesian approach. The model developed is illustrated by numerical examples.

Date: 1997
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0191-2615(96)00011-2
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:transb:v:31:y:1997:i:2:p:159-175

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/supportfaq.cws_home/regional
https://shop.elsevie ... _01_ooc_1&version=01

Access Statistics for this article

Transportation Research Part B: Methodological is currently edited by Fred Mannering

More articles in Transportation Research Part B: Methodological from Elsevier
Bibliographic data for series maintained by Catherine Liu ().