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Introduction to Choice Modeling

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Book cover Revenue Management and Pricing Analytics

Part of the book series: International Series in Operations Research & Management Science ((ISOR,volume 279))

Abstract

Revenue management models were originally developed under the assumption of stochastically independent demands. This assumption is untenable when products are close substitutes. In this case, the demand for a particular product may depend on the set of competing products that are available in the market. For example, when a product is removed from an assortment, its demand may be recaptured by another product in the assortment, or it may spill to competitors or the no-purchase alternative.

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Authors and Affiliations

  1. Clearwater Bay, Kowloon, Hong Kong

    Guillermo Gallego

  2. ORIE, Cornell University, New York, NY, USA

    Huseyin Topaloglu

Authors
  1. Guillermo Gallego
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  2. Huseyin Topaloglu
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Gallego, G., Topaloglu, H. (2019). Introduction to Choice Modeling. In: Revenue Management and Pricing Analytics. International Series in Operations Research & Management Science, vol 279. Springer, New York, NY. https://doi.org/10.1007/978-1-4939-9606-3_4

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