Integrating Pricing and Inventory Control: Is it Worth the Effort? View Full Text


Ontology type: schema:ScholarlyArticle      Open Access: True


Article Info

DATE

2008-05

AUTHORS

Lisa Gimpl-Heersink, Christian Rudloff, Moritz Fleischmann, Alfred Taudes

ABSTRACT

In this paper we first show that the gains achievable by integrating pricing and inventory control are usually small for classical demand functions. We then introduce reference price models and demonstrate that for this class of demand functions the benefits of integration with inventory control are substantially increased due to the price dynamics. We also provide some analytical results for this more complex model. We thus conclude that integrated pricing/inventory models could repeat the success of revenue management in practice if reference price effects are included in the demand model and the properties of this new model are better understood. More... »

PAGES

106-123

References to SciGraph publications

Identifiers

URI

http://scigraph.springernature.com/pub.10.1007/bf03342705

DOI

http://dx.doi.org/10.1007/bf03342705

DIMENSIONS

https://app.dimensions.ai/details/publication/pub.1007062106


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