Optimal pricing and seat allocation in the airline industry under the market competition

The current practice of revenue management is either quantity based or price based. A quantity based revenue management is most commonly observed in the airline industry; whereas a price based revenue management is practiced in retail enterprises. Recent improvement of information technology has not only increased the market size, but also has increased market competition. In a competitive environment customers choose among substitutable products depending on several rationalities, however a paramount factor in most selections is price. This thesis investigates pricing issue in revenue management and makes three contributions. First, price based revenue management is studied in the airline industry in a competitive market. Airlines compete for customers using their fare pricing strategies while having fixed capacity allocated in each fare class. The demand for each fare class of an airline is dependent on its fare price and the fare price offered by rival airline(s). A game theoretic approach is used to address the problem assuming both the deterministic and stochastic price sensitive customer demand for each fare class. The existence and uniqueness of Nash equilibrium for the game is shown for both deterministic and stochastic demands. A sensitivity analysis is carried out to determine fare pricing in each fare class considering various situations in the case of deterministic demand. The analysis is further extended to stochastic price sensitive demand, and a sensitivity analysis of the fare prices for each fare class is also reported. Second, an integrated approach to price and quantity based revenue management with an application to the airline industry is presented. The models proposed enable joint control of fare pricing and seat allocation in a duopoly competitive market. Both non cooperative and cooperative bargaining games are studied. Numerical experimentation is performed to study both competitive and cooperative fare pricing along with seat inventory control assuming a nested control on booking limits. In the case of a non cooperative game, Nash equilibrium for the competing airlines is determined assuming both symmetric and asymmetric market competition. A sensitivity analysis based on a statistical design of experiments is also presented to study the behavior of the game. Statistical evidence is established which shows that cooperation improves the revenue to the competing airlines. Lastly, a distribution free approach for pricing in revenue management is explored. The approach assumes the worst possible demand distribution and optimizes the lower bound estimate on revenue, while jointly controlling the price and capacity. The approach is first addressed to revenue management's most commonly observed standard newsvendor problem. Extensions to the problem are identified which can be applied to airline industry. Later the analysis is extended to consider the following cases: a shortage cost penalty; a holding and shortage cost; a recourse cost, with a second purchasing opportunity; and the case of random yields. An application of the approach is also suggested to capacity constrained industries facing restrictions such as limited budget. A numerical study reveals that the approach results in a near optimal estimate on revenue. Using a statistical comparison it is also shown that the outcomes of the standard newsvendor problem are significantly different than its extension

The Effect of Despotic Leadership on the Employee Work Withdrawal Behavior and Acquiescent Silence

Purpose: The main aim to conduct this research is to identify whether LMX mediates the relationship between despotic leadership and acquiescence silence. In addition, the study also takes into account the role of Quality of work life as a mediator in the relationship between despotic leadership and work withdrawal behavior. Methodology: The data was collected by sharing the adopted questionnaire with the target population a total of 247 valid responses were received from the employee working in the manufacturing sector of Pakistan. Smart PLS was used to measure the model. The research is conducted for the managers leading a team of professionals and the community of Human Resource Development that includes business consultants, advisors, employees, top management, scholars, specialists, and students. Findings: The study found that despotic leadership increases withdrawal behavior and acquiescence in silence among employees. Moreover, leader-member exchange mediates the relationship between despotic leadership and work withdrawal behavior and quality of work-life mediates the relationship between despotic leadership and work withdrawal behavior. Conclusion: The findings declared that despotic leadership has a destructive influence on subordinates concerning increased work withdrawal behavior and acquiescent silence

Demand and Supply Analysis of Transport Energy in Pakistan

Over the last decade, the importance of energy consumption in transport sector has burgeoned forth and has been growing rapidly in Pakistan, and the course is being augured to linger over the coming decades. This paper brings about the function of transport energy demand, economic growth (GDP), oil rents, gas rents, road length and number of registered vehicles for Pakistan over the 1980-2015 by using Autoregressive Distributive Lag (ARDL) approach. The results which have had come about shows preponderance of the fact that there is powerful relationship between all concerned variables when transport energy demand is used as a dependent variable in Pakistan. Hence, Autoregressive Integrated Moving Average (ARIMA) model is used for the future forecasting related to the consumption and production of gasoline and oil. According to the forecasted results, consumption (demand) is much greater as compared to production (supply) in both non-renewable sources. As policy makers suggest, we can make up for this lacuna by bourgeoning forth new technology (hybrid vehicles) as well as an awareness campaign through which we can make others abreast of this research may be launched about energy conservation methods to curtail the transport energy demand (TED) in the country

Microfinanças e empoderamento de mulheres: uma análise de regressão de comutação endógena

Women in Pakistan are suffering from a great social and economic deprivation due to gender discrimination and inequitable distribution of resources. This paper examines the determinants and extent of women empowerment by their participation in microfinance programs. Data for this study were collected from different areas of Faisalabad, Pakistan, where most of the households were poor and had borrowed money from different microfinance institutes. Keeping in view the disguised endogeneity, Endogenous Switching Regression Model was employed which accounts for selection bias because of observable and unobservable factors. The analysis revealed that education level, household size, family system, educational expenditures, income level and the ownership of different assets like sewing machines have the statistically significant impact on the women decision to work and hence promote women empowerment. It is concluded that the government in developing countries should introduce income-generating activities, especially for women by providing them access to financial resources.Las mujeres en Pakistán están sufriendo una gran carencia social y económica debido a la discriminación de género y la distribución desigual de los recursos. Este documento examina los determinantes y el alcance del empoderamiento de las mujeres por su participación en los programas de microfinanzas. Los datos para este estudio fueron recolectados de diferentes áreas de Faisalabad, Pakistán, donde la mayoría de los hogares eran pobres y habían tomado dinero prestado de diferentes institutos de microfinanzas. Teniendo en cuenta la endogeneidad disfrazada, se empleó el Modelo de Regresión de Conmutación Endógena que explica el sesgo debido a factores observables y no observables. El análisis reveló que el nivel educativo, el tamaño del hogar, el sistema familiar, los gastos educativos, el nivel de ingresos y la propiedad de diferentes activos, como las máquinas de coser, tienen un impacto estadísticamente significativo en la decisión de las mujeres de trabajar y, por lo tanto, promover el empoderamiento de las mujeres. Se concluye que el gobierno de los países en desarrollo debe introducir actividades generadoras de ingresos, especialmente para las mujeres, proporcionándoles acceso a recursos financierosAs mulheres no Paquistão sofrem de uma grande privação social e econômica devido à discriminação de gênero e à distribuição desigual de recursos. Este artigo examina os determinantes e a extensão do empoderamento das mulheres pela sua participação em programas de microfinanças. Os dados para este estudo foram coletados em diferentes áreas de Faisalabad, Paquistão, onde a maioria dos domicílios era pobre e tinha tomado dinheiro emprestado de diferentes institutos de microfinanças. Tendo em vista a endogeneidade disfarçada, empregou-se o Modelo de Regressão por Comutação Endógena, que considera o viés de seleção por causa de fatores observáveis e inobserváveis. A análise revelou que o nível de escolaridade, tamanho da família, sistema familiar, gastos com educação, nível de renda e posse de diferentes ativos, como máquinas de costura, têm impacto estatisticamente significativo na decisão das mulheres de trabalhar e, portanto, promovem o empoderamento das mulheres. Conclui-se que o governo dos países em desenvolvimento deve introduzir atividades geradoras de renda, especialmente para as mulheres, proporcionando-lhes acesso a recursos financeiro

Joint determination of process mean, price differentiation, and production decisions with demand leakage: A multi-objective approach

The selection of an optimal process mean is an important problem in production planning and quality control research. Most of the literature in this area has focused on the single objective problem of maximizing the profit for a fixed exogenous price. However, it is known that considering multiple objectives (such as gross income from sales, profit, and expected product uniformity) while allowing process mean, production and pricing to vary can significantly improve the profitability and performance of a firm. This article addresses this multi-objective problem while allowing the firm to sell two classes of products at differentiated prices based on their quality characteristics. These products are sold at differentiated prices depending upon their quality characteristics into primary and secondary markets at full and discounted prices respectively. Any nonconforming items are reworked at an additional cost. Due to customers heterogeneity, the firm experiences demand leakage between the two market segments. The proposed joint decision control for the firm includes the joint determination of full and discounted prices, the process mean selection, and the production quantities for each of the two product classes along with expected reworked items. A mathematical formulation of the objectives is first provided and then the multi-objective problem is transformed into a goal-programming problem. A solution procedure is developed using simulation-based optimization to identify Pareto-optimal solutions. Some important characteristics of the solution procedure are discussed and the performance of the approach is corroborated through detailed numerical experiments. 2016 Elsevier Inc.This publication was made possible by the support of an NPRP grant no. 4-173-5-025 from the Qatar National Research Fund . The statements made herein are solely the responsibility of the authors.Scopu

Ethically Minded Consumer Behavior, Brands’ Commitment to Sustainable Development and Brand Equity in the Apparel Market of Pakistan

Purpose-The current research paper elaborated effect of ethically-minded consumer behavior on the brand pledge to sustainable development and consumer perception and how it further impact “brand equity-loyalty-word of mouth statement. Designing/Methodology/Approach - To evaluate proposed hypotheses, a quantitative study method with a close-ended questionnaire was structured to collect the responses with the convincing non-probability sampling method. About six hundred questionnaires were distributed among the various people and 217 valid responses were received back. To measure the participants’ response, 5- Point Liker Scale was employed. Smart PLS was used to analyses the collected data Findings - The findings of the study recommend and allow an increasing series of suggestions for the brand holders to adopt sustainable development practices and it will raise the attention of the ethically minded consumers. Research Limitations/Implications - The research was conducted in the cities of Punjab Pakistan. Where the level of education and earnings are high. This study should also be conducted in other cities of Pakistan. The researchers have conducted this study for the apparel industry it should also be conducted on the other industries. At the final note for the further study in line with this study mediated relationship between variables used in this proposed model should be done. The new variable can also be introduced like brand image, satisfaction, perceived quality. This study has several implications for managers and academia. As a result of exposure and information, consumer behavior has changed in Pakistan and requires that organizations and brands must take necessary steps for owing sustainable development goals. This pledge to sustainable development is completely supposed by the consumer to boost brand equity, Loyalty, and constructive word of mouth. Originality/Value - To the best of Author’s Knowledge no study has been conducted to measure the impact of consumer behavior on Brands commitment to sustainable development in the Apparel Market of Pakista

Leukocytosis: Predictor of Radiological and Neurological Outcome of Patients of Traumatic Brain Injury Presented to Jinnah Hospital, Lahore

Background/Objective: Catecholamines and cortisol cause raised TLC (total leukocyte count) and brain inflammation after injury. We found out that weather leukocytosis is predictive for radiological and neurological outcome in patientswith TBI presenting to JHL.Materials and Methods: Blood samples of patients (n = 100) were collected on presentation in the emergency room, after 72 hours and on the 5th day for TLC count.CT Brain was obtained on presentation in emergency, after 72 hours and on the 5th day. The progression of imaging findings on CT scan were assessed and compared with TLC count. The outcome of these patients was assessed according to the Extended Glasgow Outcome Scale.Results: TLC after TBI is raised initially and then it declined afterwards in mild and moderate TBI, but remained on the upper limit in moderate TBI. In severe TBI, TLC was raised initially and then it progressed to higher limits afterwards.These results showed that there is a strong relation between TLC and TBI.Regarding the association between radiological assessment and severity of injury along with raised TLC, it was observed that the patients having EDH had raised TLC along with expansion of hematoma, while patients with contusions, T-SAH (traumatic sub-dural hematoma) SDH had TLC on upper limit, but there was no significant resolution of radiological severityConclusion: WBC count can be used as a predictor of radiological outcome, as it was found that patients with severe head injury had raised TLC. TLC count can be used to assess the severity of injury and prognosis

Postoperative Wound Pain and Hospital Stay in Patients of Open Lumbar Discectomy (OLD) Versus Endoscopic Lumbar Discectomy (ELD) in Lumbar Disc Herniation (LDH)

Background: Endoscopic lumbar discectomy is also beneficial regarding relieving wound pain, less hospital stay and smaller incisions. We compared visual analog scores (VAS) and hospital stay in patients treated with either endoscopic lumbar discectomy or open lumbar discectomy postoperatively.Material and Methods: Half patients underwent open lumbar discectomy – OLD (group A) and half operated with endoscopic lumbar discectomy – ELD (group B). The pain was quantified through visual analog score (VAS) observation in all patients. A preoperative medical management included prescribing a combination of an analgesic and a muscle relaxant along with physiotherapy with an avoidance of lifting heavy loads. Mann- Whitney (U) tests were applied for the comparison of postoperative VAS and hospital stay between groups.Results: 85% patients were having left sided prolapsed paracentral disc, and 15% were having right sided prolapsed paracentral disc. The mean postoperative VAS was 4 in patients treated with ELD and it was 1.32 in patients treated with OLD. The mean hospital stay was 1.5 days in ELD treatment, whereas, it was 2.5 days in OLD treatment. A significant difference (p=0.037) was found in the comparison of mean post-operative VAS between two vertebral levels (i.e., L4-L5 & L5-S1). The post-operative VAS and hospital stay (days) in ELD group were statistically significantly higher than the OLD group (p values 0.000).Conclusion: ELD procedure was effective as compared to open lumbar discectomy in terms of postoperative wound site pain and hospital stay. Endoscopic Lumbar discectomy is a minimally invasive procedure for discectomy