Patent ID: 8645173
Filing Date: 2014-02-04
Classification: G06Q

Abstract:
1. A system, comprising: a network interface communicating with a memory; the memory communicating with a processor for enabling revenue maximization; and the processor, when executing a computer program, executes operations comprising: calculating, by the processor, a flight authorization level (AU) that minimizes an overbooking cost associated with the flight, the flight with a coach seating capacity (CAP), wherein the overbooking cost is based upon a spoiled seat (SS) cost and a denied booking (DB) cost, and wherein minimizing overbooking cost with respect to AU is determined by: where: x=# no shows for a flight SSCost DBCost x˜Binomial(AU, p=“No-Show-Rate”) μ=AU×p σ=√{square root over (AU×p×(1−p))} wherein DBcost n is associated with the DB cost of an n th passenger that is DB and is determined by DB cost n =DDB n *[(1−ncf)*(voucher_amt*b*pv n +(ill_will+exp_invol_cost n )*(1−pv n )+HMT n )], where