Hotel Inventory Control And Application Under Customer Choice Behavior

With wide application of information technology and management science in Service Industry, as a new theory and method for management of perishable products, Revenue Management has become more and more popular and brought great benefits to many service companies. Hotel has fixed capacity and perishable inventory, so hotel become a very important area for research and application of RM. Inventory control or room distribution is a main part of RM, but the relative research about hotel is quite fewer than that in airline, what's more the domestic research just start. So our research will play a special role in promoting the development of hotel RM and also give some insight in RM application in our national hotels.This paper try to solve three main problems: first, traditional inventory control always focuses on optimization, but ignores the basic work-well understanding of demand; second, most of traditional research have a common suppose about independent demand for different fare class, but the phenomenon of buy-up and buy-down always exits in reality; third, except room, hotel has other facilities such as food supply, entertainments, so the optimization target of hotel RM is the whole revenue including room income and other consume, but not only room income.So the main topic of this paper is about the problem mentioned above. Our research has four parts: forecasting customer purchasing and consuming behavior by some classical and advance statistical tools; explaining demand transfer betweendifferent fare class by introducing the concept of customer selection set; building a integrate revenue management model under customer choice behavior; applying our theory research in a hotel with real data.