Download or read book Capacity Options for Revenue Management written by Rolf Hellermann and published by Springer Science & Business Media. This book was released on 2006-10-07 with total page 208 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book proposes capacity options as a flexible alternative air cargo contract type, and illustrates how capacity can be priced through option contracts. The analysis is accomplished by means of an analytical multivariate optimization model under price and demand uncertainty. A case study using data from a leading German carrier illustrates the financial potential. Finally, the author shows how capacity-option contracts integrate into the context of air cargo revenue management.