Sciact
  • EN
  • RU

Stability Analysis for Pricing Full article

Journal Communications in Computer and Information Science
ISSN: 1865-0929
Output data Year: 2020, Volume: 1275, Pages: 57-69 Pages count : 13 DOI: 10.1007/978-3-030-58657-7_7
Tags Bilevel and three-level problems; Computational complexity; Pricing; Stability analysis
Authors Panin Artem A. 1 , Plyasunov Alexander V. 1
Affiliations
1 Sobolev Institute of Mathematics

Abstract: This article is dedicated to finding stable solutions to change input data on the example of pricing problems. In other words, we investigate stability analysis problems based on pricing problems. Initial pricing problems can be described as the following Stackelberg game. There are a company and its potential clients. First, the company sets prices at own facilities for a homogeneous product. After that, each client chooses the facility in which the minimum of his costs is achieved. The cost consists of purchase and transportation prices. At the same time, clients can make a purchase only if their budget allows it. The goal is to establish prices at which the maximum profit of the company is achieved. In the generalized problem of competitive pricing, two companies compete with each other for the client demand. They set prices sequentially. Clients are also the last to decide. For the pricing of one company, we discuss the computational complexity and algorithm solution of the stability analysis problem for three different pricing strategies. We also look at the competitive pricing problem with uniform pricing when the same price is set at all facilities. In conclusion, we discuss the relationship between the computational complexity of stability analysis problems and initial problems.
Cite: Panin A.A. , Plyasunov A.V.
Stability Analysis for Pricing
Communications in Computer and Information Science. 2020. V.1275. P.57-69. DOI: 10.1007/978-3-030-58657-7_7 Scopus OpenAlex
Identifiers:
Scopus: 2-s2.0-85092091934
OpenAlex: W3086822193
Citing:
DB Citing
Scopus 2
OpenAlex 3
Altmetrics: