Dynamic Pricing for Reusable Resources: The Power of Two Prices

References

• Baek J, Ma W (2022) Technical note—Bifurcating constraints to improve approximation ratios for network revenue management with reusable resources. Oper. Res. 70(4):2226–2236.Link, Google Scholar
• Baek J, Wang S (2023) Leveraging reusability: Improved competitive ratio of greedy for reusable resources. Preprint, submitted April 6, https://arxiv.org/abs/2304.03377.Google Scholar
• Balseiro S, Besbes O, Pizarro D (2024) Survey of dynamic resource constrained reward collection problems: Unified model and analysis. Oper. Res. 72(5):2168–2189.Google Scholar
• Balseiro SR, Brown DB, Chen C (2019) Dynamic pricing of relocating resources in large networks. ACM SIGMETRICS Performance Evaluation Rev. 47(1):29–30.Crossref, Google Scholar
• Banerjee S, Freund D, Lykouris T (2022) Pricing and optimization in shared vehicle systems: An approximation framework. Oper. Res. 70(3):1783–1805.Link, Google Scholar
• Banerjee S, Riquelme C, Johari R (2015) Pricing in ride-share platforms: A queueing-theoretic approach. Proc. Sixteenth ACM Conf. Econom. Comput. (Association for Computing Machinery, New York), 639.Google Scholar
• Beck A, Teboulle M (2003) Mirror descent and nonlinear projected subgradient methods for convex optimization. Oper. Res. Lett. 31(3):167–175.Crossref, Google Scholar
• Benjaafar S, Shen X (2023) Pricing in on-demand (and one-way) vehicle sharing networks. Oper. Res. 71(5):1596–1609.Google Scholar
• Besbes O, Elmachtoub AN, Sun Y (2022) Static pricing: Universal guarantees for reusable resources. Oper. Res. 70(2):1143–1152.Google Scholar
• Brumelle SL (1978) A generalization of Erlang’s loss system to state dependent arrival and service rates. Math. Oper. Res. 3(1):10–16.Link, Google Scholar
• Bumpensanti P, Wang H (2020) A re-solving heuristic with uniformly bounded loss for network revenue management. Management Sci. 66(7):2993–3009.Google Scholar
• Chen QG, Lei YM, Jasin S (2024) Real-time spatial–intertemporal pricing and relocation in a ride-hailing network: Near-optimal policies and the value of dynamic pricing. Oper. Res. 72(5):2097–2118.Link, Google Scholar
• Chen Y, Levi R, Shi C (2017) Revenue management of reusable resources with advanced reservations. Production Oper. Management 26(5):836–859.Crossref, Google Scholar
• Delong S, Farhadi A, Niazadeh R, Sivan B (2024) Online bipartite matching with reusable resources. Math. Oper. Res. 49(3):1825–1854.Google Scholar
• Doan XV, Lei X, Shen S (2020) Pricing of reusable resources under ambiguous distributions of demand and service time with emerging applications. Eur. J. Oper. Res. 282(1):235–251.Crossref, Google Scholar
• Elmachtoub AN, Shi J (2023) The power of static pricing for reusable resources. Preprint, submitted February 13, https://arxiv.org/abs/2302.11723.Google Scholar
• Feng Y, Niazadeh R, Saberi A (2024) Near-optimal Bayesian online assortment of reusable resources. Oper. Res. 72(5):1861–1873.Google Scholar
• Gallego G, Van Ryzin G (1994) Optimal dynamic pricing of inventories with stochastic demand over finite horizons. Management Sci. 40(8):999–1020.Link, Google Scholar
• Gans N, Savin S (2007) Pricing and capacity rationing for rentals with uncertain durations. Management Sci. 53(3):390–407.Link, Google Scholar
• Gong X-Y, Goyal V, Iyengar GN, Simchi-Levi D, Udwani R, Wang S (2022) Online assortment optimization with reusable resources. Management Sci. 68(7):4772–4785.Link, Google Scholar
• Goyal V, Iyengar G, Udwani R (2024) Asymptotically optimal competitive ratio for online allocation of reusable resources. Preprint, submitted September 13, http://arxiv.org/abs/2002.02430.Google Scholar
• Hartline JD (2013) Mechanism design and approximation. Accessed June 23, 2025, http://jasonhartline.com/MDnA/.Google Scholar
• Huo T, Cheung WC (2022) Online reusable resource allocations with multi-class arrivals. Preprint, submitted January 10, https://dx.doi.org/10.2139/ssrn.4320423.Google Scholar
• Jasin S, Kumar S (2012) A re-solving heuristic with bounded revenue loss for network revenue management with customer choice. Math. Oper. Res. 37(2):313–345.Link, Google Scholar
• Kanoria Y, Qian P (2022) Blind dynamic resource allocation in closed networks via mirror backpressure. Preprint, submitted March 9, https://doi.org/10.48550/arXiv.1903.02764.Google Scholar
• Key PB (1990) Optimal control and trunk reservation in loss networks. Probab. Engrg. Informational Sci. 4(2):203–242.Crossref, Google Scholar
• Kim J, Randhawa RS (2018) The value of dynamic pricing in large queueing systems. Oper. Res. 66(2):409–425.Link, Google Scholar
• Lei Y, Jasin S (2020) Real-time dynamic pricing for revenue management with reusable resources, advance reservation, and deterministic service time requirements. Oper. Res. 68(3):676–685.Link, Google Scholar
• Levi R, Radovanović A (2010) Provably near-optimal lp-based policies for revenue management in systems with reusable resources. Oper. Res. 58(2):503–507.Link, Google Scholar
• Miller BL (1969) A queueing reward system with several customer classes. Management Sci. 16(3):234–245.Link, Google Scholar
• Morrison JA (2010) Optimal trunk reservation for an overloaded link. Oper. Res. Lett. 38(6):499–501.Crossref, Google Scholar
• Owen Z, Simchi-Levi D (2018) Price and assortment optimization for reusable resources. Preprint, submitted February 20, https://dx.doi.org/10.2139/ssrn.3070625.Google Scholar
• Papier F, Thonemann UW (2010) Capacity rationing in stochastic rental systems with advance demand information. Oper. Res. 58(2):274–288.Link, Google Scholar
• Paschalidis IC, Tsitsiklis JN (2000) Congestion-dependent pricing of network services. IEEE/ACM Trans. Networking 8(2):171–184.Crossref, Google Scholar
• Rusmevichientong P, Sumida M, Topaloglu H (2020) Dynamic assortment optimization for reusable products with random usage durations. Management Sci. 66(7):2820–2844.Link, Google Scholar
• Rusmevichientong P, Sumida M, Topaloglu H, Bai Y (2023) Revenue management with heterogeneous resources: Unit resource capacities, advance bookings, and itineraries over time intervals. Oper. Res. 71(6):2196–2216.Link, Google Scholar
• Talluri KT, Van Ryzin G, Van Ryzin G (2004) The Theory and Practice of Revenue Management, vol. 1 (Springer, New York).Crossref, Google Scholar
• Tijms HC (2003) A First Course in Stochastic Models (John Wiley and Sons, Hoboken, NJ).Crossref, Google Scholar
• Vera A, Banerjee S (2020) The Bayesian prophet: A low-regret framework for online decision making. Preprint, submitted February 26, http://arxiv.org/abs/1901.05028.Google Scholar
• Waserhole A, Jost V (2016) Pricing in vehicle sharing systems: Optimization in queuing networks with product forms. EURO J. Transportation Logist. 5(3):293–320.Crossref, Google Scholar
• Xie X, Gurvich I, Küçükyavuz S (2024) Dynamic allocation of reusable resources: Logarithmic regret in overloaded networks. Oper. Res., ePub ahead of print July 5, https://doi.org/10.1287/opre.2022.0429.Google Scholar
• Xu H, Li B (2013) Dynamic cloud pricing for revenue maximization. IEEE Trans. Cloud Comput. 1(2):158–171.Crossref, Google Scholar
• Zhang X, Cheung WC (2022) Online resource allocation for reusable resources. Preprint, submitted December 6, https://arxiv.org/abs/2212.02855.Google Scholar