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Unfair pricing policies have been shown to be one of the most negative perceptions customers can have concerning pricing, and may result in long-term losses for a company. Despite the fact that dynamic pricing models help companies maximize…

Machine Learning · Computer Science 2018-03-28 Roberto Maestre , Juan Duque , Alberto Rubio , Juan Arévalo

Minimizing the peak power consumption and matching demand to supply, under fixed threshold polices, are two key requirements for the success of the future electricity market. In this work, we consider dynamic pricing methods to minimize the…

Optimization and Control · Mathematics 2016-10-26 Zaid Almahmoud , Jacob Crandall , Khaled Elbassioni , Trung Thanh Nguyen , Mardavij Roozbehani

Interactive AI systems, such as recommendation engines and virtual assistants, commonly use static user profiles and predefined rules to personalize interactions. However, these methods often fail to capture the dynamic nature of user…

Human-Computer Interaction · Computer Science 2026-03-02 Liu He

We investigate the optimal pricing strategy in a service-providing framework, where customers can leave the system prior to service completion. In this setting, a price is quoted to an incoming customer based on the current number of…

Optimization and Control · Mathematics 2026-05-05 Jieqi Di , Sigrún Andradóttir , Hayriye Ayhan

We study a problem of an online retailer who observes the unit sales of a product, and dynamically changes the retail price, in order to maximize the expected revenue. Assuming the demand of the product is price sensitive, we are interested…

Systems and Control · Electrical Eng. & Systems 2021-06-17 Chengcheng Liu , Mátyás A. Sustik

As Kalyan T. Talluri and Garrett J. Van Ryzin describe in their work [3], Revenue Management aims to maximize an organization's revenue by considering three types of decision categories: structural, pricing, and quantity. In this document,…

Machine Learning · Computer Science 2025-05-23 Julien Laasri , Marc Revol

The rapid growth of the travel industry has increased the need for real-time optimization in reservation systems that could take care of huge data and transaction volumes. This study proposes a hybrid framework that ut folds an Artificial…

Software Engineering · Computer Science 2024-12-11 Biman Barua , M. Shamim Kaiser

I consider the optimal hourly (or per-unit-time in general) pricing problem faced by a freelance worker (or a service provider) on an on-demand service platform. Service requests arriving while the worker is busy are lost forever. Thus, the…

Computer Science and Game Theory · Computer Science 2019-07-09 Vijay Kamble

We study the problem of online dynamic pricing with two types of fairness constraints: a "procedural fairness" which requires the proposed prices to be equal in expectation among different groups, and a "substantive fairness" which requires…

Machine Learning · Computer Science 2022-09-27 Jianyu Xu , Dan Qiao , Yu-Xiang Wang

This paper considers a combination of intelligent repositioning decisions and dynamic pricing for the improved operation of shared mobility systems. The approach is applied to London's Barclays Cycle Hire scheme, which the authors have…

Systems and Control · Computer Science 2014-04-29 Julius Pfrommer , Joseph Warrington , Georg Schildbach , Manfred Morari

We consider the problem of dynamic pricing with limited supply. A seller has $k$ identical items for sale and is facing $n$ potential buyers ("agents") that are arriving sequentially. Each agent is interested in buying one item. Each…

Computer Science and Game Theory · Computer Science 2013-11-27 Moshe Babaioff , Shaddin Dughmi , Robert Kleinberg , Aleksandrs Slivkins

In this paper we investigate a dynamic pricing model for constant demand elasticity where customers have a probability distribution on the number of items they order. This is a generalization from standard models which restrict customers to…

Optimization and Control · Mathematics 2018-03-01 Nyles Breecher , Richard Stockbridge

Traditional machine learning methods have been widely studied in financial innovation. My study focuses on the application of deep learning methods on asset pricing. I investigate various deep learning methods for asset pricing, especially…

Statistical Finance · Quantitative Finance 2022-09-27 Chen Zhang

In this paper, we study the contextual dynamic pricing problem where the market value of a product is linear in its observed features plus some market noise. Products are sold one at a time, and only a binary response indicating success or…

Machine Learning · Computer Science 2022-05-05 Jianqing Fan , Yongyi Guo , Mengxin Yu

The use of dynamic pricing by profit-maximizing firms gives rise to demand fairness concerns, measured by discrepancies in consumer groups' demand responses to a given pricing strategy. Notably, dynamic pricing may result in buyer…

Machine Learning · Computer Science 2024-04-24 Jesse Thibodeau , Hadi Nekoei , Afaf Taïk , Janarthanan Rajendran , Golnoosh Farnadi

Bike-sharing systems are emerging in various cities as a new ecofriendly transportation system. In these systems, spatiotemporally varying user demands lead to imbalanced inventory at bicycle stations, resulting in additional relocation…

Machine Learning · Computer Science 2025-09-01 Tatsuya Mitomi , Fumiyasu Makinoshima , Fumiya Makihara , Eigo Segawa

A system manager makes dynamic pricing and dispatch control decisions in a queueing network model motivated by ride-hailing applications. A novel feature of the model is that it incorporates travel times. Unfortunately, this renders the…

Optimization and Control · Mathematics 2026-05-27 Amir Anastasios Alwan , Baris Ata , Yuwei Zhou

Ridesharing platforms match riders and drivers, using dynamic pricing to balance supply and demand. The origin-based "surge pricing", however, does not take into consideration market conditions at trip destinations, leading to inefficient…

Computer Science and Game Theory · Computer Science 2023-11-15 Chenkai Yu , Hongyao Ma

We consider a context-based dynamic pricing problem of online products, which have low sales. Sales data from Alibaba, a major global online retailer, illustrate the prevalence of low-sale products. For these products, existing…

Machine Learning · Statistics 2022-05-24 Sentao Miao , Xi Chen , Xiuli Chao , Jiaxi Liu , Yidong Zhang

In this paper we study the single-item revenue management problem, with no information given about the demand trajectory over time. When the item is sold through accepting/rejecting different fare classes, Ball and Queyranne (2009) have…

Data Structures and Algorithms · Computer Science 2020-01-20 Will Ma , David Simchi-Levi , Chung-Piaw Teo
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