The Role of Robust Optimization in Single-Leg Airline Revenue Management

In this paper, we introduce robust versions of the classical static and dynamic single-leg seat allocation models. These robust models take into account the inaccurate estimates of the underlying probability distributions. As observed by simulation experiments, it turns out that for these robust versions the variability compared to their classical counterparts is considerably reduced with a negligible decrease in average revenue.

• 저널Management Science · 55(1) · 148–163
• 토픽Aviation Industry Analysis and Trends · General Economics, Econometrics and Finance
• DOI10.1287/mnsc.1070.0843
• 저자Ş. İlker Birbil, J. B. G. Frenk, Joaquim Gromicho, Shuzhong Zhang