Pricing Optimization for Perishable Primary and Ancillary Items with Time-Dependent Inventory Drawdown
Bibliographic record
Abstract
There are many industrial applications where attempts are made to sell ancillary products or services with a primary item. For instance, a warranty is often offered as an ancillary product to those who buy television sets (the primary item). This has become even more important in the airline industry where ancillary products such as baggage fees have become crucial to the financial health of the industry. Rapid depletion of available seat inventory, akin to perishable assets, necessitates careful consideration of pricing strategies to maximize revenue. It can make a big difference to revenue if certain fare classes are likely to sell out quickly. For instance, if most of the fares without seat assignment sell out earlier than those with seat assignment, the airline would forego a lot of the revenue from the ancillary item. We formulate the problem allowing for time dependence. In this paper, the question of what price to charge for the primary and ancillary products will be investigated.
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How this classification was reachedexpand
Full frame distilled prediction
Teacher imitationNot calibrated prevalence, not ground truth. Human validation pending. Learned from the 10,348 direct Codex labels and 10,348 direct Gemma labels. Candidate is the union of thresholded teacher heads; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels or direct frontier model labels.
Codex and Gemma teacher scores by category
| Category | Codex | Gemma |
|---|---|---|
| Metaresearch | 0.000 | 0.000 |
| Meta-epidemiology (narrow) | 0.000 | 0.000 |
| Meta-epidemiology (broad) | 0.000 | 0.000 |
| Bibliometrics | 0.000 | 0.000 |
| Science and technology studies | 0.000 | 0.000 |
| Scholarly communication | 0.001 | 0.001 |
| Open science | 0.000 | 0.000 |
| Research integrity | 0.000 | 0.000 |
| Insufficient payload (model declined to judge) | 0.001 | 0.000 |
Machine scores (provisional)
The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.
Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.
score_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from itClassification
machine, unvalidatedMachine predicted; a candidate call from one teacher head, not a consensus.
How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".