PD_internal: Unconstrain the demand using the Projection-Detruncation...

In RM2: Revenue Management and Pricing Package

Description

PD_internal is the internal function called by PD .

Usage

PD_internal(demand = demand, tau = 0.5, eps = 0.005)

Arguments

demand	demand vector with constrained and unconstrained entries. A 0 in the name of an entry means that the corresponding demand is unconstrained. Conversely, a 1 in the name of an entry suggests that the corresponding demand is constrained.
tau	fixed constant that reflects how aggresive the unconstrainig is. The default value is 0.5.
eps	small number used as the stopping criterion. The default value is 0.005.

Details

PD_internal unconstrains demand data in quantity-based revenue management.

Value

param	parameters of demand distribution
niter	number of iterations
demand	unconstrained demand
history	convergence history

Author(s)

Tudor Bodea [e-mail]
Dev Koushik [e-mail]
Mark Ferguson [e-mail]

References

Talluri, K. T. and Van Ryzin, G. (2004) The Theory and Practice of Revenue Management. New York, NY: Springer Science + Business Media, Inc. (Pages 485-486).

RM2 documentation built on May 2, 2019, 9:23 a.m.