Price Optimization in Revenue Managemet

The well-known instruments used by airlines such as price differentiation, capacity control and overbooking cannot be applied to all sectors which use revenue management. Thus, price determination as a means of achieving revenue maximization becomes the central instrument in such sectors. On the basis of various approaches to show purchase behaviour and thus preference structures of demanders, this project aims to develop optimization models to determine optimal prices. In a first approach the consumer surplus for demanders is determined, while further approaches are based on customer choice models.