Development and Pricing Strategies of Hilton Hotel Chain

E-commerce retailers and traditional retailers implement a new retail model of “online and offline” integration, which is the main direction for the future development and reform of the retail industry. In response to the complex and changing market demand, more and more retailers are beginning to transform into dual-channel retailers. However, in the process of transformation, the following problems will be encountered: how to set the price of products for online channels and offline channels; consumers' acceptance of online channels. In view of the above problems, this paper considers factors such as the degree of consumer acceptance of online channels and the cost of purchasing by consumers. This article studies the competitive situation of different types of retailers in the market, and makes a comparative analysis of the competitive equilibrium of unified pricing and differential pricing strategy when different types of retailers open dual channels. We got three discoveries. First, in the fierce market competition, dual-channel retailers have more competitive advantages than single-channel retailers. Second, for traditional retailers, they can gain more profits and competitive advantages by adopting differential pricing or uniform pricing strategy compared with before the transformation. Finally, the rational choice of e-commerce retailers is to use differential pricing in the transition process, or not to transform to ensure price advantage.

The 1950s indicate a period of America’s influence on the world economy and culture with its post-war power. Mobility increased with developing transportation networks and emerging consumer culture, so the number and importance of hotels increased as a result of this socio-political, economic and architectural condition of the period. In the 1950s, American chain hotels emerged, and soon spread overseas, following the dominant aesthetics of the country, a version of the International Style termed as “American Modernism”. The spread of International Style through modern hotels was most prominent in Hilton Hotels. The first modern hotel to arrive in Turkey was the Istanbul Hilton Hotel which influenced other hotel buildings in the 1950s to follow the International Style. The Hilton Hotel was frequently accepted as a model behind the tourism discussions and the initiatives that followed were compared with it, although the spread of its architectural language created a debate in architectural circles. For this reason, the focal point of this study is the hotel buildings designed in the International Style between 1950 and 1960, which possess architectural similarities with the Hilton Hotel. The influence of the Hilton Hotel on other hotel buildings in the 1950s is investigated along with the period’s tourism discussions to have a wider perspective of the Hilton Hotel’s influence on tourism. The hotels selected for the study are ones that carry the aesthetical principles of the Hilton Hotel, and were built or started construction in 1950s; Buyukada Anadolu Club Hotel, Cinar Hotel, Eskisehir Porsuk Hotel, Grand Efes Hotel, and Grand Tarabya Hotel. These examples illustrate the effects of the Hilton Hotel on the development of modern tourism architecture.

Pricing strategies for bundled products considering consumers’ green preference

This paper studies how online referral affects the brand market management and investigates the spillover conditions from national brand to store brand market. We develop the game models without and with online referral, and derive the equilibrium strategies under the uniform pricing strategy and the differential pricing strategy. The results show that as the brand awareness increases, the presence of online referral would reduce the national brand’s selling price, market demand and profit, and raise the store brand’s selling price and market demand. Moreover, the differential pricing strategy could be better for the store brand than the uniform pricing strategy. Under the differential pricing strategy, the infomediary decides a higher referral commission only when the brand awareness is lower. In addition, the results also demonstrate that as the brand awareness increases, the spillover condition would be reduced under the differential pricing strategy and show a first declining and then rising trend under the uniform pricing strategy. To mitigate the spillover effect, the national brand should reduce the consumer’s search cost in the national brand market.

The interplay between marketplace channel addition and pricing strategy in an e-commerce supply chain

The purpose of the article is to assess advantages of worldwide brands of hotel chains represented in Ukraine, along with non-price factors of price changes for hotel rooms, instantiated by Rixos – Prykarpattya Resort 5*. The work is dedicated to analysis of trends in hotel rooms’ price changes as well as to assessment of these changes via elaboration of regressive economic mathematical models of space-time series. Hotel chains emerge as incorporation of separate hotels into unified national or transnational corporations, marked by common owner, uniform brand and adherence to universally accepted high standards of service. Advantages of hotel chains include: corporate management, private property, benefits from hotel’s location, establishment of their own market, high specialization, abidance by standards of service. National hotel chains stand out for distinctness of services. Combination of these peculiarities with specialization of world hotel chains form innovation component of hotel domain in Ukraine. «Rixos» hotel chain is a Turkish luxury brand. Rixos hotels in Ukraine specialize in family vacations. They are renowned for adherence to standards of quality service, studying competitors’ activities and taking notes of clients’ requests. These chain hotels offer «All Inclusive» system of service. The chain itself sticks to principles of ecological perseverance and sustainable development, and also follows ISO 9001 standards. Thus, the research aims to encompass data on hotel rooms’ offer in Rixos – Prykarpattya Resort 5*. These data compose space series. Regressive mathematical models were thereupon elaborated in order to discover trends in price level changes for the requested hotel rooms. The models created give a chance to assess the trends of price rise or fall and the likelihood of running into crisis economic situations

Influencer selection and strategic analysis for live streaming selling

The article is devoted to the study of factors affecting the pricing process at hotel industry enterprises. In particular, these are the costs of the enterprise, the rate of profit, the level of demand, seasonality, geographical location, stardom, competition and others. Among these factors, more attention is paid to the study of the specifics of specific price strategies in the hotel industry, which serve as a factor in increasing the competitiveness of enterprises in this industry. The choice and implementation of a price strategy is one of the most important decisions of the management of a hotel enterprise, since profitability and competitiveness in the market depend on it. The list of such strategies includes: pricing strategy based on forecasting, differentiated pricing strategy, dynamic pricing strategy, discount strategy, instant sales strategy, and others. Each of these strategies has its own characteristics and is used by hotels depending on their specific goals, market conditions and customer segmentation. The development of a price strategy and price management tactics in the hotel sector is a constant iterative process. It is impossible to choose a strategy once and stay with it unchanged for a long period. It must constantly adapt to market conditions and situations. The chosen pricing strategy cannot be unambiguous, ideal or immutable. It should include a partial interweaving and combination of different strategies, taking into account the conditions of the external and internal environment. A combination and interchange of strategies is effective. The pricing strategy must be flexible and adapt to market changes. In this context, the strategy of elastic (flexible) price, which involves a quick response to fluctuations in market demand and supply, is of great importance. A correctly chosen pricing strategy can provide a hotel with increased competitiveness. The strategy of flexible prices should be recommended as a means of countering competitive pressure. The faster the hotel reacts to the actions of competitors, the greater the effect of its application. Overall, pricing strategy is a key element of success in the hospitality industry as it helps hotels to increase competitiveness, attract and retain guests, and increase revenue.

This work is motivated by the emergence of increasing cooperation between retailers and third-party (3P) platforms in China. When both the manufacturer and the retailer can sell through 3P platforms, a question arises: Who should use a 3P platform channel? Having the option of more than one channel, the manufacturer and the retailer may adopt different pricing strategies: a uniform pricing strategy (UP strategy) or differentiated pricing strategy (DP strategy). This study explores the impact of the pricing strategy on the selection of the channel structure and the joint decision of the channel structure and pricing strategy. We establish a Stackelberg game with the manufacturer being the leader and consider three channel structures: the manufacturer uses the 3P platform channel (M), the retailer uses the 3P platform channel (R) and both of them use the 3P platform channel (MR). We find that the pricing strategy has a huge impact on the channel structure selection. Specifically, the intuitive result is that the manufacturer prefers MR, but the retailer prefers R under the DP strategy. However, under the UP strategy, both the manufacturer and the retailer prefer MR (Pareto zone) if the channel competition and the agency fee are low and prefer R (Pareto zone) otherwise. When both the manufacturer and the retailer jointly determine the pricing strategy and the channel structure, for the manufacturer, (MR, DP) is his best choice when the agency fee is reasonable (<0.7), while the retailer’s best choice may be (MR, UP) or (R, DP), depending on the channel competition and the agency fee. We also find that the firms’ choice conflict involves the channel structure or the pricing strategy and can be reduced by the manufacturer’s UP strategy.

Who should introduce the third-party platform channel under different pricing strategies?

Hotel room pricing is a very common use case in the hospitality industry. Such use cases take dynamic pricing strategies for setting optimum prices wherein prices are dynamically adjusted based on user engagement. However, it is challenging to design an approach that makes pricing dynamic with respect to complex market change. In this paper, we suggest a reinforcement learning based solution for this problem. The approach employs a Deep Q-Network (DQN) agent trained to recommend/suggest optimum pricing strategies which maximizes the total profits for a day. In addition, the pricing strategy is optimized in such a way that empty rooms remain minimal. A real-life hotel-bookings data set is being used for testing this approach. The data is aggregated and preprocessed before being used for the task. The pricing strategy is influenced by the hotel-demand, type of rooms, number of nights and other variables. The hotel-demand is derived from a Random-forest model trained on the processed data to simulate original demand distribution of processed data. Using the DQN based dynamic pricing strategy, a potential 15–20 percentage higher reward(profits) were obtained compared to fixed pricing, and rule-based pricing strategy. At the same time the empty rooms left were significantly lower for the DQN based approach.

Ride‐sharing platforms, such as Uber and Didi Chuxing, widely use differential pricing strategies to encourage platform participation. However, it remains unclear whether differential pricing strategies in ride sharing are reasonable when users care about price fairness. Moreover, platforms face a unique dilemma when considering differential pricing: should it be used for customers, drivers, or both? On the demand side, platforms must deal with taxi competition, while the supply side contends with government regulation; it is this dilemma that motivates our work. Using a stylized model that includes price fairness, market conditions, and government policies, we consider four ride‐sharing platform pricing strategies: uniform pricing, differential customer pricing, differential driver pricing, and bilateral differential pricing. We present results from three perspectives. For platforms, we obtain feasible regions in all four pricing strategies. If the maximal number of potential drivers is below certain thresholds, a platform will use differential driver pricing. Conversely, differential customer pricing is optimal when the maximal number of potential drivers is sufficiently large. Moreover, when customers have stronger fairness concerns, platforms tend to use differential driver pricing to reduce competition. From the government perspective, when a platform charges customers differently, the government can achieve a win‐win solution for sustainable development and market stability by setting a proper taxi rate. Interestingly, we find that, for the demand and supply sides, an increase in fairness concerns may hurt customers and drivers under certain conditions.

Two-period pricing and strategy choice for a supply chain with dual uncertain information under different profit risk levels

In this paper, we develop a remanufacturing supply chain model consisting of two competitive firms, both offering new and remanufactured products. We first analyze the market demand in the different pricing strategy combinations according to consumer preferences and consumer types. Then, we solve and analyze the pricing decisions of the two firms in the Nash game and Stackelberg game, respectively. Finally, we discuss the influence of the proportion of green consumers and informed consumers on the optimal decisions. The results show that, in the Nash equilibrium, if there are few green consumers in the market, it is better for firms to implement unified pricing strategy; and if there are lots of green consumers, differential pricing strategy will be more profitable. Differently, if the proposition of uninformed consumers is medium, or the proposition of uninformed consumers is small but the proposition of green consumers is medium, asymmetric Stackelberg equilibrium regions will exist. We also find that the proportion of green consumers has a greater impact on firms that choose differential pricing strategy than who choose unified pricing strategy.

This paper is motivated by the rapid development of community group buying (CGB), where the CGB platform dramatically relies on the community leader to provide last-mile services and fulfill consumers’ orders. Considering two types of community leaders, the friend role and seller role, this work adopts a game-theoretical model and investigates how the pricing strategy, uniform pricing strategy (N) or differentiated pricing strategy (Y), affects players’ performance and decisions on effort level. This study shows that the commission rate is an essential factor in stimulating the role transformation of community leaders. A significantly large commission rate results in the friend role community leader with lower trust value changing into the seller role. Generally, the community leader works harder under the uniform pricing scenario except in situations with a significant commission rate and moderate sensitivity coefficient of trust value. However, the effort level of the platform is jointly influenced by the pricing strategy, commission rate, and the role of a community leader. Moreover, regardless of the commission rate, when the community leader is a friend role and the trust value is high, both the platform and community leader can gain higher profits under the uniform pricing scenario than the differentiated pricing case. It indicates that a win–win situation can be achieved.