International Centre
for Cruise Research
A virtual
centre for research and for
researchers
Abstract
Ladany,
Shaul P. and Arbel, Avner. "Optimal
cruise-liner
passenger cabin pricing policy," European
Journal of
Operational Research,
1991, 55:2 (November 25), 136-148
The first
attempt, in any marketing environment, to consider the optimal number
of market segments, as well as the
corresponding prices, is performed here in conjunction with cruise
liners. The
optimal market segmentation pricing strategy for passenger cabins on
cruise-liners is investigated under the assumption of ah aggregate
linear
demand function, and for four different situations: (a) single price
market,
(b) optimal segmentation of the Unused capacity of a
single-price-market, (c)
optimal segmentation of all cabins, and (d) optimal segmentation
allowing for
infiltration from higher-priced to adjacent lower-priced segments. A
numerical
example is provided for each.
www.cruiseresearch.org