Title :
Overbooking models with different risk preferences: A numerical study
Author :
Gao, Deng ; Geng, Wei ; Zhao, Xiaobo
Author_Institution :
Dept. of Ind. Eng., Tsinghua Univ., Beijing, China
Abstract :
We discuss overbooking problem in airline industry for utility-maximization. Optimization problems are formulated with consideration of risk-neutral, lose-aversion, and prospect theory preferences of managers. A numerical study follows and provides managerial insights.
Keywords :
optimisation; risk analysis; travel industry; utility theory; airline industry; lose-aversion; optimization problems; overbooking models; prospect theory preferences; risk preferences; risk-neutral; utility-maximization;
Conference_Titel :
Service Operations and Logistics and Informatics (SOLI), 2010 IEEE International Conference on
Conference_Location :
Qingdao, Shandong
Print_ISBN :
978-1-4244-7118-8
DOI :
10.1109/SOLI.2010.5551553
