• Title/Summary/Keyword: Time-sensitive Pricing

Search Result 10, Processing Time 0.024 seconds

Pricing Decisions to Control Quality-of-Service in Integrated Voice/Data Mobile Communication System (음성/데이터 통합 이동통신시스템에서의 서비스 품질을 고려한 가격결정모델)

  • Kim Whan Seon
    • The Journal of Korean Institute of Communications and Information Sciences
    • /
    • v.29 no.10B
    • /
    • pp.866-879
    • /
    • 2004
  • This paper presents a pricing model for maximizing a service provider's profit, taking into account consumers' quality-of-service dependent willingness to pay, in integrated voice/data mobile services. For the voice and the data services, time-sensitive pricing and volume-sensitive pricing mechanism will be applied, respectively, as in the case of Korea's mobile service market. Assuming that consumers are very sensitive to call interruption during handoff moments, the model presented here considers reserving guard channels exclusively for handoff traffic, in the process of frequency channels allocation, as well as guaranteeing consumers quality of service regarding call interruption rate. Ultimately, this model proposes a means to guarantee the quality of service in the short term, through pricing strategies as well as channel allocation policies, and the simulation results show that without expanding system resources, there exists a trade-off between profit and quality-of-service guarantee.

Demand Response Real Time Pricing Model for Smart Grid Considering Consumer Behavior and Price Elasticity (소비자 행동과 가격탄성을 고려한 스마트 그리드 수요반응 실시간 가격 결정 모델)

  • Moon, Yongma
    • Journal of the Korean Operations Research and Management Science Society
    • /
    • v.39 no.1
    • /
    • pp.49-67
    • /
    • 2014
  • This paper proposes a real time pricing model for smart grid considering consumers' behavior, real time price elasticity, and exogenous price. Based on the proposed model, we found the weight of utility over cost is the most sensitive factor compared to other factors. Also, if the electricity price is set to be changed too sensitively to energy consumption, it is warned that real time pricing sometimes can cause increment of peak-time demand and volatility. Finally, real time pricing could be less efficient when the difference between the maximum and the minimum consumption level is small.

Competing Risk Model for Mobile Phone Service (이동통신시장 서비스를 위한 경쟁위험모형)

  • Lee, Jae Kang;Sohn, So Young
    • Journal of Korean Institute of Industrial Engineers
    • /
    • v.32 no.2
    • /
    • pp.120-125
    • /
    • 2006
  • Since Korean government has implemented the "Number Portability System" in the domestic mobile communications market, mobile communication companies have been striving to hold onto existing customers and at the same time to attract new customers. This paper presents a competing risk model that considers the characteristics of a customer in order to predict the customer's life under the "Number Portability System." Three competing risks considered are pricing policy, quality of communication, and usefulness of service. It was observed that the customers who pay more are less sensitive on pricing policy younger people are less sensitive than older people to the quality of communication and women are more sensitive than men to the degree of usefulness of service. We expect that the result of this study can be used as a guideline for effective management of mobile phone customers under the Number Portability System.

A Task Scheduling Strategy in Cloud Computing with Service Differentiation

  • Xue, Yuanzheng;Jin, Shunfu;Wang, Xiushuang
    • KSII Transactions on Internet and Information Systems (TIIS)
    • /
    • v.12 no.11
    • /
    • pp.5269-5286
    • /
    • 2018
  • Task scheduling is one of the key issues in improving system performance and optimizing resource management in cloud computing environment. In order to provide appropriate services for heterogeneous users, we propose a novel task scheduling strategy with service differentiation, in which the delay sensitive tasks are assigned to the rapid cloud with high-speed processing, whereas the fault sensitive tasks are assigned to the reliable cloud with service restoration. Considering that a user can receive service from either local SaaS (Software as a Service) servers or public IaaS (Infrastructure as a Service) cloud, we establish a hybrid queueing network based system model. With the assumption of Poisson arriving process, we analyze the system model in steady state. Moreover, we derive the performance measures in terms of average response time of the delay sensitive tasks and utilization of VMs (Virtual Machines) in reliable cloud. We provide experimental results to validate the proposed strategy and the system model. Furthermore, we investigate the Nash equilibrium behavior and the social optimization behavior of the delay sensitive tasks. Finally, we carry out an improved intelligent searching algorithm to obtain the optimal arrival rate of total tasks and present a pricing policy for the delay sensitive tasks.

Microgrid operating method in realtime pricing (실시간 전기요금제에서 마이크로그리드의 운용 방법)

  • Jyung, Tae-Young;Baek, Young-Sik
    • The Transactions of The Korean Institute of Electrical Engineers
    • /
    • v.59 no.12
    • /
    • pp.2165-2172
    • /
    • 2010
  • This paper presents the operation algorithm of microgrid on the Real Time Pricing(RTP) for building the smart grid. RTP is higher power price variability than flat rate and time of use. However it has an effect on peak clipping and peak load shifting due to the increased price on peak time power demand. When the RTP are applied to the microgrid system, the proposed algorithm is able to be effective and economic operation. The implemented system is operated for the economic operation in microgrid connected with the power system. On the other hand, when the microgrid is operated on isolation mode, it focus on the improvement of stability and the power supply reliability of the sensitive loads. The test system are implemented and calculated on various operation modes based on non-dispachable generator output and RTP data for validating the proposed operation algorithm. The calculated results are compared to the implemented results using real-time simulator. It can be confirmed that the proposed operation system are identical results to the calculated one. When the proposed operation algorithm is applied to the system, it can be show the effectiveness of the peak clipping and peak load shifting and the improvement of economic feasibility.

A Practical Approach to Implement QoS in Broadband Access Networks (광대역 접속망에서 QoS 구현을 위한 현실적 접근법)

  • Park Seung-Chul
    • Journal of KIISE:Information Networking
    • /
    • v.33 no.3
    • /
    • pp.277-287
    • /
    • 2006
  • Most of the existing broadband access networks based on DSL, cable modem, and Ethernet support the best-effort internet access service, and adopt the flat rate pricing mechanism. It is almost impossible to provide the differentiated communication services, in current broadband access networks, for the different users and/or the different application services. Currently, however, the advances in multimedia, communication, and security technologies push the interactive and/or streaming multimedia services and VPN services to be widely deployed over Internet, and they require more QoS-sensitive services than the best-effort service. Though various QoS technologies such as RSVP-based IntServ and DiffSern were already developed and under standardization in Internet world, it is impractical to replace the existing QoS-unaware access networks with the QoS-enabled ones at a time to deploy QoS-sensitive services. In this paper, after analyzing current broadband access network architectures and the status of QoS support, we propose a practical approach to support multimedia QoS in the broadband access networks. The approach will be based on the integration of the differentiated pricing and the DiffServ technology. And it will be a step-wise approach to support backward compatibility with the legacy broadband access networks as much as possible.

The Determinants and their Time-Varying Spillovers on Liquefied Natural Gas Import Prices in China Based on TVP-FAVAR Model

  • Ying Huang;Yusheng Jiao
    • Journal of Information Processing Systems
    • /
    • v.20 no.1
    • /
    • pp.93-104
    • /
    • 2024
  • China is playing more predominant role in the liquefied natural gas (LNG) market worldwide and LNG import price is subject to various factors both at home and abroad. Nevertheless, previous studies rarely heed a multiple of factors. A time-varying parameter factor augmented vector auto-regression (TVP-FAVAR) model is adopted to discover the determinants of China's LNG import price and their dynamic impacts from January 2012 to December 2021. According to the findings, market fundamentals have a greater impact on the import price of natural gas in China than overall economic demand, financial considerations, and world oil prices. The primary determinants include domestic gas consumption, consumer confidence and other demand-side information. Then, there are diverse and time-varying spillover effects of the four common determinants on the volatility of China's LNG import price at different intervals and time nodes. The price volatility is more sensitive and long-lasting to domestic natural gas pricing reform than other negative shocks such as the Sino-US trade war and the COVID-19 pandemic. The results in this study further proves the importance of domestic natural gas market liberalization. China ought to do more to support the further marketization of natural gas prices while working harder to guarantee natural gas supplies.

A MapReduce-based Artificial Neural Network Churn Prediction for Music Streaming Service

  • Chen, Min
    • International Journal of Computer Science & Network Security
    • /
    • v.22 no.1
    • /
    • pp.55-60
    • /
    • 2022
  • Churn prediction is a critical long-term problem for many business like music, games, magazines etc. The churn probability can be used to study many aspects of a business including proactive customer marketing, sales prediction, and churn-sensitive pricing models. It is quite challenging to design machine learning model to predict the customer churn accurately due to the large volume of the time-series data and the temporal issues of the data. In this paper, a parallel artificial neural network is proposed to create a highly-accurate customer churn model on a large customer dataset. The proposed model has achieved significant improvement in the accuracy of churn prediction. The scalability and effectiveness of the proposed algorithm is also studied.

Secure QoS Billing System Using Audit Trail Subsystem Design & Implementation (감사 추적 시스템 설계 및 구현을 통한 안전한 QoS 빌링 시스템)

  • Park, U-Chul;Kim, Jeong-Nyeo;Lee, Byeong-Ho
    • The KIPS Transactions:PartC
    • /
    • v.8C no.5
    • /
    • pp.597-606
    • /
    • 2001
  • In this paper, we propose the delay sensitive traffic and a high bandwidth QoS service in order to supply real-time traffic such as VoIP, multimedia service. We use IntServ over DiffServ network to supply end-to-end QoS service in the IETF. We define the proposed QoS services which are Best, Good, Default service. We analyze the performance using NS simulator with end to end QoS service in IntServ over DiffServ network. The proposed billing system uses the Accounting, Authentication, Authorization (AAA) functions of RADIUS protocol and proposes the dynamic pricing method according to network usage state using end-to-end QoS of IntServ over DiffServ network. In order to secure billing system, we design and implement audit trail system by the IEEE POSIX.1E standard.

  • PDF

The Effect of Price Discount Rate According to Brand Loyalty on Consumer's Acquisition Value and Transaction Value (브랜드애호도에 따른 가격할인율의 차이가 소비자의 획득가치와 거래가치에 미치는 영향)

  • Kim, Young-Ei;Kim, Jae-Yeong;Shin, Chang-Nag
    • Journal of Global Scholars of Marketing Science
    • /
    • v.17 no.4
    • /
    • pp.247-269
    • /
    • 2007
  • In recent years, one of the major reasons for the fierce competition amongst firms is that they strive to increase their own market shares and customer acquisition rate in the same market with similar and apparently undifferentiated products in terms of quality and perceived benefit. Because of this change in recent marketing environment, the differentiated after-sales service and diversified promotion strategies have become more important to gain competitive advantage. Price promotion is the favorite strategy that most retailers use to achieve short-term sales increase, induce consumer's brand switch, in troduce new product into market, and so forth. However, if marketers apply or copy an identical price promotion strategy without considering the characteristic differences in product and consumer preference, it will cause serious problems because discounted price itself could make people skeptical about product quality, and the changes of perceived value might appear differently depending on other factors such as consumer involvement or brand attitude. Previous studies showed that price promotion would certainly increase sales, and the discounted price compared to regular price would enhance the consumer's perceived values. On the other hand, discounted price itself could make people depreciate or skeptical about product quality, and reduce the consumers' positivity bias because consumers might be unsure whether the current price promotion is the retailer's best price offer. Moreover, we cannot say that discounted price absolutely enhances the consumer's perceived values regardless of product category and purchase situations. That is, the factors that affect consumers' value perceptions and buying behavior are so diverse in reality that the results of studies on the same dependent variable come out differently depending on what variable was used or how experiment conditions were designed. Majority of previous researches on the effect of price-comparison advertising have used consumers' buying behavior as dependent variable. In order to figure out consumers' buying behavior theoretically, analysis of value perceptions which influence buying intentions is needed. In addition, they did not combined the independent variables such as brand loyalty and price discount rate together. For this reason, this paper tried to examine the moderating effect of brand loyalty on relationship between the different levels of discounting rate and buyers' value perception. And we provided with theoretical and managerial implications that marketers need to consider such variables as product attributes, brand loyalty, and consumer involvement at the same time, and then establish a differentiated pricing strategy case by case in order to enhance consumer's perceived values properl. Three research concepts were used in our study and each concept based on past researches was defined. The perceived acquisition value in this study was defined as the perceived net gains associated with the products or services acquired. That is, the perceived acquisition value of the product will be positively influenced by the benefits buyers believe they are getting by acquiring and using the product, and negatively influenced by the money given up to acquire the product. And the perceived transaction value was defined as the perception of psychological satisfaction or pleasure obtained from taking advantage of the financial terms of the price deal. Lastly, the brand loyalty was defined as favorable attitude towards a purchased product. Thus, a consumer loyal to a brand has an emotional attachment to the brand or firm. Repeat purchasers continue to buy the same brand even though they do not have an emotional attachment to it. We assumed that if the degree of brand loyalty is high, the perceived acquisition value and the perceived transaction value will increase when higher discount rate is provided. But we found that there are no significant differences in values between two different discount rates as a result of empirical analysis. It means that price reduction did not affect consumer's brand choice significantly because the perceived sacrifice decreased only a little, and customers are satisfied with product's benefits when brand loyalty is high. From the result, we confirmed that consumers with high degree of brand loyalty to a specific product are less sensitive to price change. Thus, using price promotion strategy to merely expect sale increase is not recommendable. Instead of discounting price, marketers need to strengthen consumers' brand loyalty and maintain the skimming strategy. On the contrary, when the degree of brand loyalty is low, the perceived acquisition value and the perceived transaction value decreased significantly when higher discount rate is provided. Generally brands that are considered inferior might be able to draw attention away from the quality of the product by making consumers focus more on the sacrifice component of price. But considering the fact that consumers with low degree of brand loyalty are known to be unsatisfied with product's benefits and have relatively negative brand attitude, bigger price reduction offered in experiment condition of this paper made consumers depreciate product's quality and benefit more and more, and consumer's psychological perceived sacrifice increased while perceived values decreased accordingly. We infer that, in the case of inferior brand, a drastic price-cut or frequent price promotion may increase consumers' uncertainty about overall components of product. Therefore, it appears that reinforcing the augmented product such as after-sale service, delivery and giving credit which is one of the levels consisting of product would be more effective in reality. This will be better rather than competing with product that holds high brand loyalty by reducing sale price. Although this study tried to examine the moderating effect of brand loyalty on relationship between the different levels of discounting rate and buyers' value perception, there are several limitations. This study was conducted in controlled conditions where the high involvement product and two different levels of discount rate were applied. Given the presence of low involvement product, when both pieces of information are available, it is likely that the results we have reported here may have been different. Thus, this research results explain only the specific situation. Second, the sample selected in this study was university students in their twenties, so we cannot say that the results are firmly effective to all generations. Future research that manipulates the level of discount along with the consumer involvement might lead to a more robust understanding of the effects various discount rate. And, we used a cellular phone as a product stimulus, so it would be very interesting to analyze the result when the product stimulus is an intangible product such as service. It could be also valuable to analyze whether the change of perceived value affects consumers' final buying behavior positively or negatively.

  • PDF