About this Journal Submit a Manuscript Table of Contents
Discrete Dynamics in Nature and Society
Volume 2013 (2013), Article ID 162563, 10 pages
http://dx.doi.org/10.1155/2013/162563
Research Article

Pricing and Allotment in a Sea-Cargo Supply Chain with Reference Effect: A Dynamic Game Approach

1School of Management, Tianjin University of Technology, 391 Binshui Xidao, Xiqing District, Tianjin 300384, China
2Department of Business and Economics, University of Southern, 5230 Odense, Denmark
3School of Business, Nankai University, Tianjin 300071, China

Received 30 December 2012; Accepted 7 February 2013

Academic Editor: Xiang Li

Copyright © 2013 Lei Xu et al. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

Linked References

  1. S. Spinler, Capacity Reservation for Capital-Intensive Technology: A Options Approach, vol. 525, Springer, Heidelberg, Germany, 2003. View at Publisher · View at Google Scholar · View at Zentralblatt MATH · View at MathSciNet
  2. R. Hellermann, Capacity Options for Revenue Management. Theory and Applications in the Air Cargo Industry, vol. 575, Springer, Heidelberg, Germany, 2006. View at Zentralblatt MATH · View at MathSciNet
  3. D. Sigworth, “Contracting: making the rate case,” Traffic World, vol. 268, no. 17, pp. 32–33, 2004.
  4. D. Gupta, Carrier-Forwarder Contracts in the Air Cargo Industry, Working Paper, 2006.
  5. R. G. Kasilingam, “Air cargo revenue management: characteristics and complexities,” European Journal of Operational Research, vol. 96, no. 1, pp. 36–44, 1997. View at Publisher · View at Google Scholar · View at Zentralblatt MATH · View at Scopus
  6. J. S. Billings, A. G. Diener, and B. B. Yuen, “Cargo revenue optimization,” Journal of Revenue and Pricing Management, no. 2, pp. 69–79, 2003.
  7. I. Popescu and Y. Wu, “Dynamic pricing strategies with reference effects,” Operations Research, vol. 55, no. 3, pp. 413–429, 2007. View at Publisher · View at Google Scholar · View at Zentralblatt MATH · View at MathSciNet
  8. D. Kahneman and A. Tversky, “Prospect theory: an analysis of decision under risk,” Econometrica, vol. 47, no. 2, pp. 263–291, 1979. View at Publisher · View at Google Scholar · View at Zentralblatt MATH
  9. M. A. Lariviere and E. L. Porteus, “Selling to the newsvendor: an analysis of price-only contracts,” Manufacturing and Service Operations Management, vol. 3, no. 4, pp. 293–305, 2001. View at Publisher · View at Google Scholar · View at Scopus
  10. B. Holmström and P. Milgrom, “Aggregation and linearity in the provision of intertemporal incentives,” Econometrica, vol. 55, no. 2, pp. 303–328, 1987. View at Publisher · View at Google Scholar · View at Zentralblatt MATH · View at MathSciNet
  11. J. S. Raju and V. Srinivasan, “Quota-based compensation plans for multiterritory heterogeneous salesforces,” Management Science, vol. 42, no. 10, pp. 1454–1462, 1996. View at Publisher · View at Google Scholar · View at Zentralblatt MATH · View at Scopus
  12. H. Varian, Microeconomic Analysis, Norton, New York, NY, USA, 1992.
  13. L. R. Weatherford and S. E. Bodily, “A taxonomy and research overview of perishable-asset revenue management: yield management, overbooking and pricing,” Operations Research, vol. 40, no. 5, pp. 831–844, 1992. View at Publisher · View at Google Scholar
  14. D. K. Tscheulin and J. Lindenmeier, “Yield-management—Ein State-of-the-art,” Zeitschrift für Betriebswirtschaft, vol. 73, no. 6, pp. 629–662, 2003.
  15. E. S. Mills, “Uncertainty and price theory,” Quarterly Journal of Economics, vol. 73, no. 1, pp. 116–130, 1959. View at Publisher · View at Google Scholar
  16. A. H. L. Lau and H. S. Lau, “Newsboy problem with price-dependent demand distribution,” IIE Transactions, vol. 20, no. 2, pp. 168–175, 1988. View at Publisher · View at Google Scholar · View at Scopus
  17. E. L. Porteus, “Stochastic inventory models,” in Handbooks in Operations Research and Management Science, Volume 2: Stochastic Models, D. P. Heyman and M. J. Sobel, Eds., vol. 2, chapter 12, pp. 605–652, North-Holland, Amsterdam, The Netherlands, 1990. View at Publisher · View at Google Scholar
  18. H. S. Lau, “Simple formulas for the expected costs in the newsboy problem: an educational note,” European Journal of Operational Research, vol. 100, no. 3, pp. 557–561, 1997. View at Publisher · View at Google Scholar · View at Zentralblatt MATH · View at Scopus
  19. A. A. Tsay, “The quantity flexibility contract and supplier-customer incentives,” Management Science, vol. 45, no. 10, pp. 1339–1358, 1999. View at Publisher · View at Google Scholar · View at Zentralblatt MATH · View at Scopus
  20. W. M. Swan, “Airline demand distributions: passenger revenue management and spill,” Transportation Research E, vol. 38, no. 3-4, pp. 253–263, 2002. View at Publisher · View at Google Scholar · View at Scopus
  21. M. Nerlove, “Adaptive expectations and cobweb phenomena,” Quarterly Journal of Economics, vol. 72, no. 2, pp. 227–240, 1958. View at Publisher · View at Google Scholar
  22. R. S. Winer, “A reference price model of brand choice for frequently purchased products,” Journal of Consumer Research, vol. 13, no. 2, pp. 250–256, 1986. View at Publisher · View at Google Scholar
  23. G. Sorger, “Reference price formation and optimal marketing strategies,” in Optimal Control Theory and Economic Analysis, vol. 3, pp. 97–120, North-Holland, Amsterdam, The Netherlands, 1988. View at Zentralblatt MATH · View at MathSciNet
  24. E. A. Greenleaf, “The impact of reference price effects on the profitability of price promotions,” Marketing Science, vol. 14, no. 1, pp. 82–104, 1995. View at Publisher · View at Google Scholar
  25. D. J. Wu, P. R. Kleindorfer, and J. E. Zhang, “Optimal bidding and contracting strategies for capital-intensive goods,” European Journal of Operational Research, vol. 137, no. 3, pp. 657–676, 2002. View at Publisher · View at Google Scholar · View at Zentralblatt MATH · View at MathSciNet
  26. J. J. Spengler, “Vertical integration and antitrust policy,” Journal of Political Economy, vol. 53, pp. 347–352, 1950.
  27. X. Bu, L. Xu, and L. Su, “Intertemporal pricing and allotment of sea-cargo capacity under reference effect,” Journal of Service Science and Management, vol. 1, no. 3, pp. 206–214, 2008. View at Publisher · View at Google Scholar
{"cc_re__cc_re__cc_by_3_0": ["i Xidao, Xiqing District, Tianjin 300384, China<br /><sup>2</sup>Department of Business and Economics, University of Southern, 5230 Odense, Denmark<br /><sup>3</sup>School of Business, Nankai University, \r\n                    Tianjin 300071, China<br /></p>\r\n\r\n<p>Received 30 December 2012; Accepted 7 February 2013</p>                \r\n<p>Academic Editor: Xiang Li</p>    <div class=\"xml-content\">\r\n        <p>Copyright &#xa9; 2013 Lei Xu et al. This is an open access article distributed under the <a rel=\"license\" href=\"http://creativecommons.org/licenses/by/3.0/\">  Creative Commons Attribution License</a>, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.\r\n        </p>\r\n    </div>\r\n<div id=\"divXMLContent\" class=\"xml-content\">\r\n            <h4>Linked References</h4>\r\n\r\n    <ol>\r\n\r\n<li id=\"B1\">S. Spinler, <i>Capacity Reservation for Capital-Intensive Technology: A Options Approach</i>, vol. 525, Springer, Heidelberg, Germany, 2003.<span class=\"reflinks\"> <a href=\"http://dx.doi.org/10"], "copyright__copyright__copyright": ["al Research, vol. 137, no. 3, pp. 657\u2013676, 2002. View at Publisher \u00b7 View at Google Scholar \u00b7 View at Zentralblatt MATH \u00b7 View at MathSciNet\n  26. J. J. Spengler, \u201cVertical integration and antitrust policy,\u201d Journal of Political Economy, vol. 53, pp. 347\u2013352, 1950.\n  27. X. Bu, L. Xu, and L. Su, \u201cIntertemporal pricing and allotment of sea-cargo capacity under reference effect,\u201d Journal of Service Science and Management, vol. 1, no. 3, pp. 206\u2013214, 2008. View at Publisher \u00b7 View at Google Scholar"]}