Fuzzy rule-based demand forecasting for dynamic pricing of a maritime company

Özlem Coşgun; Yeliz Ekinci; Seda Yanik

doi:10.1016/j.knosys.2014.04.015

Fuzzy rule-based demand forecasting for dynamic pricing of a maritime company

Özlem Coşgun^*, Yeliz Ekinci, Seda Yanik

^*Corresponding author for this work

Department of Industrial Engineering

Research output: Contribution to journal › Article › peer-review

26 Citations (Scopus)

Abstract

In this study, the pricing problem of a transportation service provider company is considered. Our goal is to find optimal prices by using probabilistic dynamic programming. A fuzzy IF-THEN-rule based system is used to identify the demand levels under different prices and other characteristics of the journey. The results obtained by optimal price policies show that the revenue increases by applying dynamic pricing policy instead of fixed pricing. Thus, the diversification of pricing policies under different conditions is beneficial for the company.

Original language	English
Pages (from-to)	88-96
Number of pages	9
Journal	Knowledge-Based Systems
Volume	70
DOIs	https://doi.org/10.1016/j.knosys.2014.04.015
Publication status	Published - 1 Nov 2014

Bibliographical note

Publisher Copyright:
© 2014 Elsevier B.V. All rights reserved.

Keywords

Demand forecasting
Dynamic pricing
Dynamic programming
Fuzzy IF-THEN rules
Transportation

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10.1016/j.knosys.2014.04.015

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abstract = "In this study, the pricing problem of a transportation service provider company is considered. Our goal is to find optimal prices by using probabilistic dynamic programming. A fuzzy IF-THEN-rule based system is used to identify the demand levels under different prices and other characteristics of the journey. The results obtained by optimal price policies show that the revenue increases by applying dynamic pricing policy instead of fixed pricing. Thus, the diversification of pricing policies under different conditions is beneficial for the company.",

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KW - Fuzzy IF-THEN rules

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Fuzzy rule-based demand forecasting for dynamic pricing of a maritime company

Abstract

Bibliographical note

Keywords

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