Web Based Capacity Allocation Strategies for Customers with Heterogeneous Preferences

We study different mechanisms for the pricing and allocation of capacity to customers with heterogeneous and unknown preferences. The mechanisms we study include posting of prices, auctions, with and without the possibility of resale. We compare the performance of each mechanism with the optimal selling procedure in terms of expected seller's profit and efficiency. We also discuss the feasibility of web based implementation.

• Type: Journal
• Year: 2002
• Where: ECR
• Authors: Vipul Agrawal, Giuseppe Lopomo, Sridhar Seshadri
• Keywords: ECR 2002, Optimal Selling Procedure, Pricing, Unknown Preferences