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Combined Effects of Capacity and Time on Fares: Insights from the Yield Management of a Low-Cost Airline

Abstract Based on two strands of theoretical research, this paper provides new evidence on how fares are jointly affected by in-flight seat availability and purchasing date. As capacity-based theories predict, it emerges that fares monotonically and substantially increase with flight occupancy.... Full description

1st Person: Marco Alderighi
Additional Persons: Marcella Nicolini; Claudio A. Piga
Source: in The review of economics and statistics Vol. 97, No. 4 (2015), p. 900-915
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Type of Publication: Article
Language: English
Published: 2015
Online: Volltext
http://www.mitpressjournals.org/doi/abs/10.1162/REST_a_00451
http://search.proquest.com/docview/1730027645
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