Strategic Capacity Rationing to Induce Early Purchases

Article OPEN
Qian Liu; Garrett J. van Ryzin;
  • Journal: Management Science, volume 54, issue 6 June, pages 1,115-1,131
  • Identifiers: doi: 10.1287/mnsc.1070.0832
  • Subject: dynamic pricing, capacity rationing, customer behavior, revenue management
    acm: TheoryofComputation_MISCELLANEOUS

Dynamic pricing offers the potential to increase revenues. At the same time, it creates an incentive for customers to strategize over the timing of their purchases. A firm should ideally account for this behavior when making its pricing and stocking decisions. In partic... View more
Share - Bookmark