Price Quantity Research Articles

Viability Measurement of Hydropower Projects

Evaluating the viability of hydropower projects involves a comprehensive examination of costs and benefits. Economic analysis extends to broader impacts, such as fuel diversification, market advantages, production cost savings, job creation, and improved reliability. Benefit-cost analysis compares monetary costs and benefits, including direct and indirect community effects. This study has used literature survey method to provide insights into projected and actual outcomes, supported by guidelines from institutions like ADB, UNIDO, and the World Bank. Financial benefits of hydropower projects involve optimizing energy output and revenue from Power Purchase Agreements. Economic benefits include fuel diversification, market impacts, navigation, tourism, water supply, and tax revenues. Costs related to physical properties, structures, and resettlement are evaluated using the Price Quantity (PQ) method, while rental income and business losses are assessed through opportunity cost analysis. The loss of crops and trees is evaluated based on expected yields. This approach ensures a thorough understanding of both financial viability and broader economic impacts.

Export of Organic Cape Gooseberry (Physalis peruviana) as An Alternative Illicit Crop Substitution: Survey of Consumers in Namur, Belgium

The social situation that indigenous people encounter in rural areas of Colombia is linked to social disparities and a dearth of opportunities for their products. Illicitly harvesting coca plants affords them resources they would not receive in the conventional market. This study investigates the feasibility of exporting organic gooseberries cultivated in conflict-affected regions of Colombia to European countries. Such exports could offer a means of crop substitution for indigenous communities that currently rely on coca farming for their sustenance. Additionally, this article features an exploratory analysis of consumer attitudes towards organic cape gooseberry in Namur, Belgium. This study employed surveys of 158 individuals in 2022 to gauge consumer perception and used the ordinary least squares method in the econometric modeling of foreign trade behavior. The modeling utilized 6233 observations between 2015 and 2022 about exports to European nations. Surprisingly, dehydrated gooseberry snacks were found to be the preferred method of consumption in Namur, Belgium, as opposed to fresh fruit. The export of Colombian cape gooseberries has secured a strong presence in Europe, with its price–quantity correlation demonstrating a high inelastic demand. This implies that price changes have minimal impact on the quantities purchased overseas. Organic cape gooseberries have significant potential for indigenous land. However, this study is exploratory and limited to the variables identified in the ICECOMEX databases in Colombia. Further research should consider the consumption of organic cape gooseberries in other European cities.

Outside good utility and substitution patterns in direct utility models

This paper investigates the role of the outside good utility function on admissible substitution patterns in multiple discrete/continuous demand models. We first present a set of novel results that characterize the functional form of quantity price effects within this class of models. The results highlight the relative inflexibility of many standard outside good utility functions. We then propose a new outside good utility function that admits more flexible marginal utility curves. Our empirical analysis uses household scanner panel data from the potato chip category, where we find empirical support for non-standard rates of satiation for the outside good. We then show how the restrictive substitution patterns induced by standard utility specifications may distort price elasticities and the evaluation of loyalty coupon targeting programs.

The Influence of "Pastoral Feminism" on Women's Values in Terms of Bride Price -- A Case Study of Little Red Book

With the development of the economy and the improvement of people's education level, Chinese women are constantly awakening their awareness of rights and fighting for their own rights under the influence of feminism. However, as the influence of feminism has expanded in China, some Chinese people have distorted it and developed it into pastoral feminism, using it as a tool to compete for interests. The problem of betrothal prices has become more pronounced in recent years due to the imbalance of the male-to-female ratio. Betrothal price often leads to conflicts between the families of men and women, and the negative impact of rural feminism on Chinese women has increased. Influenced by rural feminism, some Chinese women have increasingly strict requirements on betrothal gifts. The outrageous dowry happened. Some provinces are even known for their high betrothal prices. The research object of this paper is the bride price and rural feminism. This paper analyzes the influence of rural feminism on women's values in terms of bride price, and uses qualitative research methods to research, and draws the conclusion that rural feminism makes women attach too much importance to the quantity and form of bride price, and regard marriage as the result of a transaction. The author hopes to deepen readers' understanding of rural women's rights and the bride price through this paper.

A pricing and transshipment hybrid strategy for perishable product in two external scenarios for supply disruption

PurposeDifferent external supply scenarios faced by the retailers will affect their choice of strategy when supply is disrupted and becomes far less than demand, urgently. This study focuses on analyzing both demand and supply side response strategies to meet customer demand and reduce the impact of the shortage during supply disruptions.Design/methodology/approachAccording to the quantity of products that the external market can provide, the external supply scenarios were divided into sufficient-type external supply and learning-type external supply. A two-echelon perishable goods supply chain was analyzed, and three kinds of contingency strategy models for downstream retailers were investigated. First, in the sufficient external supply scenario, the optimal price and transshipment quantity to maximize retailer's profits is discussed. Second, in the scenario of learning-type external supply, this study analyzes the optimal decision in three mechanisms of the hybrid strategy and their application: price priority mechanism, quantity priority mechanism and price–quantity balance mechanism. Furthermore, the influence of penalty cost and supply on the priority orders of different mechanisms was studied.FindingsResults show that comparing the two pure strategies (pricing strategy and transshipment strategy)it was noted that the hybrid strategy produces the best results in sufficient-type external supply scenario. In the learning-type external supply scenario, a numerical study has shown the existence of three areas in case of penalty cost and supplier's capacity, and each areas has different priority orders of the three mechanisms. Under the situation of learning external supply, the retailer's optimal strategy is affected by parameters such as penalty cost and supply volume.Originality/valueThe main innovation of the work lies in the following: First; the external supply situation was divided into sufficiency type and learning type, which improves the external situation faced by retailers after the outbreak of emergencies, helps retailers understand the external situation, conforms to the actual situation and has certain practical application value. Second; in the context of learning external supply, there are three coping strategies for retailers, including: Price priority mechanism, Quantity priority mechanism and Pricing and transshipment balance mechanism. This will help retailers make strategic choices, make more scientific management decisions and improve the supply chain emergency management theory. Third; the demand side response was managed through the change of external supply during supply side recovery period and supply disruption. The proposed model enables managing and analyzing supply disruption efficiently and effectively via handling uncertainty by considering all aspects of decision-making process. The proposed model can be applied in various fields such as vegetable and fruit, fresh food, etc.

Stochastic programming approach for optimal day-ahead market bidding curves of a microgrid

The deregulation of electricity markets has driven the need to optimise market bidding strategies, e.g. when and how much electricity to buy or sell, in order to gain an economic advantage in a competitive market environment. The present work aims to determine optimal day-ahead market bidding curves for a microgrid comprised of a battery, power generator, photovoltaic (PV) system and an electricity load from a commercial building. Existing day-ahead market bidding models heuristically fix price values for each allowed bidding curve point prior to the optimisation problem or relax limitations set by market rules on the number of price–quantity points per curve. In contrast, this work integrates the optimal selection of prices for the construction of day-ahead market bidding curves into the optimisation of the energy system schedule; aiming to further enhance the bidding curve accuracy while remaining feasible under present market rules. The examined optimisation problem is formulated as a mixed integer linear programming (MILP) model, embedded in a two-stage stochastic programming approach. Uncertainty is considered in the electricity price and the PV power. First stage decisions are day-ahead market bidding curves, while the overall objective is to minimise the expected operational cost of the microgrid. The bidding strategy derived is then examined through Monte Carlo simulations by comparing it against a deterministic approach and two alternative stochastic bidding approaches from literature.

Power transaction game algorithm with microgrid based on residual regression model

AbstractDirect transaction between the microgrid and distribution network is the most common market transaction mode. With the rapid expansion of business scale, industry development and diversification of service types, it is easy to cause problems such as opaque transaction data between users and easy tampering of transaction data. To improve the trading ability of the power market in the microgrid group, a game algorithm of power trading with microgrids based on a residual regression model is proposed. According to the power quality level and power sales strategy, a residual regression model is established to balance the characteristic quantity of electricity price. The quadratic function is used to solve the optimal selling strategy of power sales companies, and the threshold of equilibrium solution is analysed. The supply and demand model of the microgrid is established to optimize the decision variables of electricity price in power sales companies, and the fitness value is obtained by particle swarm optimization. The bidding strategy game model of the microgrid power sales company is constructed, and the rules of power transaction settlement are set to realize the transaction settlement between the microgrid and distribution network. The experimental results show that the electricity price is stable, the comprehensive income is high, the user income and cost income are moderate and the profit is high. Thus, it is proven that the proposed method is economical and effective, and the economy of electric energy use is guaranteed while fully considering the self-interest of microgrids.

АСПЕКТИ МАРКЕТИНГУ ЦІНОСТЕЙ В КОНТЕКСТІ КЛАСИФІКАЦІЙНИХ ПІДХОДІВ ДО ФОРМУВАННЯ ТА ОЦIНКИ ЛЮДСЬКОГО КАПІТАЛУ

Of the marketing of values combines’ individual and public interests is based on the study of structural components of human capital as a source of their origin and formation of systems of needs and features of market demand. The analysis of the terminology of the concept of the "marketing of values" and the study of its structure proved that there is no single generally accepted definition; there is no specification of the content and a single general approach to its structure. The formation of the marketing of values takes place in accordance with the defined object, subject, requirements, which are put forward by the project orientation of the development of human capital. During the formation of the marketing of values, a complex of directions represented by innovative marketing, ecological marketing, aesthetic marketing, socio-ethical marketing, and integrated marketing was identified in the research process. They are implemented because of holistic and integrated marketing. In socio-ethical marketing as a component of value marketing, such directions as: innovation marketing, relationship marketing, socially responsible marketing, social marketing and ethical marketing are highlighted. Managing the development of human capital under the influence of value marketing measures, establishing the nature of interdependencies and the dynamics of changes requires the specification of needs in terms of the structure of human capital, the justification of the directions and parameters of the marketing of values, the system of evaluating human capital and of the marketing of values, methods of assessing their mutual influences. The marketing of values complex is represented by quantitative estimates, and first of all, the quantity of goods and price. Modeling of changes in the components of human capital under the influence of the marketing complex is based on consideration of the interpretation of the marketing of values, human capital and methodical approaches to assessment. Quantitative assessment of human capital and its structural elements provides an opportunity to determine and evaluate the main directions and components of the marketing of values during project modeling. Marketing of values, considered as a factor influencing the development of human capital and increasing the level of well-being of an economic entity, is focused on the elements of the structure of human capital, which provides an opportunity to carry out combinatorial modeling by types of markets, by the level of management and entrepreneurship, by the resulting effect at the level of the formation of the marketing of values for different levels of potential consumers. The considered interpretations, structure and methods of human capital assessment create a basis for their further use in variant modeling of the marketing of values, design and effectiveness of measures to influence the development of human capital.

Sustainable inventory management based on environmental policies for the perishable products under first or last in and first out policy

<p style='text-indent:20px;'>Holistic, quality, and sustainability-based inventory policy for perishable items may prove to be a game-changer amid great concern over the carbon footprint and global economic crises. In this paper, first-in-first-out (FIFO) and last-in-first-out (LIFO) dispatching policies have been used to examine the effect of quality on fresh products' sales mind the sustainability concern. The quality of these products worsens with age. Its deterioration rate follows two parameters, Weibull distribution, as it gives better flexibility for various items subjected to deterioration and demonstrates fitness for a range of shape and scale parameters. An adequate preservation effort such as controlled atmosphere (CA) storage and modified atmosphere packaging (MAP) techniques must be applied during storage and handling to maintain such products' quality. Consumers' purchasing behavior and curiosity towards quality and selling price drive these products' demand variability. The demand has been considered a function of quality and unit selling price of the item. The effect of inflation viz. time value of money has also been taken into account, affecting Authoritarian governments' norms on carbon emission control in taxation have also been considered essential for modern sustainable inventory policies. The present models determine the unit price and lot size for the maximum average profit of the system. The behaviors of models have been investigated using a comprehensive sensitivity analysis that offers important operative implications. It has been found that the first-in-first-out model is more profitable as compared to the last-in-first-out model, the price is very rigid, and little flexibility in price drastically decreases the profit. Backlogging has no impact on the selling price of products and order quantity but reduces the average yield because of carbon emission taxation.</p>

The impact of inflationary condition on the financial growth and sustainability of tobacco farmers in the rural areas

Rural tobacco farmers can face serious financial crises under the condition of constant price changes due to inflation. Inflationary conditions can also destabilize the financial plans of rural tobacco farmers. It was therefore the objective of this paper to assess the impact of inflationary conditions on the financial growth and sustainability of tobacco farmers in rural areas. A survey approach is applied in this research. Data was gathered through a primary source, and SPSS was applied to analyze the data, which was computed and presented in the form of charts and graphs. It was found that inflationary conditions have a significant negative impact on the financial growth and sustainability of tobacco farmers in rural areas. These include an increase in the price of farm inputs, low quantity and quality of tobacco, and a low price of tobacco on the auction floors. Thus, the study recommends that the government should reduce taxes, especially on the importation of agricultural materials, and the government should adopt proper strategies to hedge the risk of inflation, and, of course, farmers should work on the quality of tobacco.

Procurement of Energy, Primary Regulation, and Secondary Regulation Reserves in Battery Energy Storage Systems Integrated Real-Time Electricity Markets

In recent years, battery energy storage systems (BESS) have been considered as promising resources to provide regulation services because of their operational flexibility. In this article, a novel framework and mathematical model are proposed for simultaneously procuring primary regulation (PR) and secondary regulation (SR) reserves alongside energy, in a BESS integrated, locational marginal price (LMP) based real-time market. The BESS submits discharge offers considering degradation cost, based on depth of discharge and discharge rate. The proposed model takes into consideration <italic xmlns:mml="http://www.w3.org/1998/Math/MathML" xmlns:xlink="http://www.w3.org/1999/xlink">a priori</i> cleared day-ahead market (DAM) schedules and accounts for scenarios of load deviations and contingencies in real-time operations. The impact of BESS participation on system operation and market settlement is examined considering two participation options: 1) BESS bidding as the generator/load with price quantity pair; 2) BESS participation using the offers based on degradation cost. The proposed model is validated on the IEEE Reliability Test System to demonstrate its functionalities.

Assessing the regional redistributive effect of renewable power production through a spot market algorithm simulator: The case of Italy

In order to study the sensitivity of market equilibria to changes in production from renewable units at different locations, we developed an algorithm that simulates the hourly equilibrium (price–quantity) of the Italian day-ahead market. Our analysis shows that, when power markets are organised on zonal basis with locational price signals and final buyers pay a unique wholesale price, a larger renewable production decreases the average zonal prices, but the distribution of benefits largely depends on power plants’ localisation. We study the impact of such expansion on network congestion occurrence, supply–demand zonal balance and zonal generation mix; we calculate the zonal substitution effects between renewable and non-renewable technologies, and within renewable technologies. We finally discuss the possible implications on national and local market power. Our paper analyses the multifaceted consequences of energy transition policies based on boosting renewable production and it highlights the importance of location in such expansion; in zonal markets, this aspect in crucial to get price decrease.

Option Contracts in Fresh Produce Supply Chain with Freshness-Keeping Effort

This study investigates a supply chain of fresh produce with consideration of option contracts and where stochastic market demand depends on freshness-keeping effort. Firstly, we investigate a benchmark scenario of an integrated supply chain with freshness effort and consideration of decreases in both the quality and quantity of produce while in the supply chain. Secondly, we introduce call, put, and bidirectional option contracts to mitigate risks of the retailer. A call option contract can reduce the underage risk, while a put option contract can reduce the overage risk, and a bidirectional option contract can reduce bilateral risks. We derive the optimal ordering decisions and freshness-keeping effort for a retailer in a supply chain of fresh produce with option contracts, and the conditions for achieving coordination of the supply chain. We find that the bidirectional option results in the highest option price and lowest option order quantity, while the call option results in the lowest initial order quantity and the put option results in the highest initial order quantity. Finally, numerical examples are given to demonstrate the impacts of various parameters on optimal decision-making. This paper provides managerial insights for reducing risk in fresh produce supply chains.

Dynamic optimization for coordinated replenishment system considering seasonal demand and price quantity discount

Steel structure (SS), as an essential part of heavy equipment (HE), generally has the characteristics of being heavy, oversized, and with unique shapes, making fabrication, storage, and transportation very costly. Therefore, SS supplier has a strong motivation to coordinate with their customers on all trading activities to obtain an optimal linkage between them to reduce the total relevant cost over the planning horizon. A two-echelon single product replenishment model using mixed integer programming (MIP) was proposed in the past for the SS replenishment problem. However, it cannot easily be used to solve large-size replenishment problems because the computational burden has involved the MIP's branch-and-bound solution process. In this study, the echelon stock concept is adopted to separate the stock holding costs between the supplier and the buyer. Therefore, it can be used to decompose the two-echelon single-item replenishment problem into a series of single-echelon single-item lot-sizing problems. Then, a dynamic programming method is used to solve each single-echelon single-item lot-sizing problem to obtain an optimal solution for the SS replenishment problem in a reasonable time. A numerical example demonstrates that the proposed dynamic programming method is more efficient than the traditional MIP method for the large-size replenishment problem. Finally, sensitivity analysis proves that the proposed method allows the supplier to flexibly and quickly adjust delivery policies in response to changes in demand.

The Impact of Building Information Management (BIM) on the Profitability of Construction Projects

In order to price construction in a way that ensures the highest degree of performance and prevents loss, this research based on businesses' accounting will utilize Building Information Management (BIM) to deal with engineer projects. The current study focus on establish a distinctive record for quantity pricing in engineering projects applied in Iraqi construction enterprises. For the sake of cost, it has been linked to the engineering contract construction licenses. Then, by balanced scorecard of each contract item, it was connected and priced using BIM. How to analyze the rotation of engineering projects placed out to bid using a balanced scorecard. Experience in pricing is necessary to apply the balanced scorecard idea to prices. This way of fusing technical and administrative labor must be understood and studied by engineers as well. This strategy supports the balanced scorecard approach to bid pricing in strategic management accounting. How is it possible for the balanced scorecard to make the four prices follow its guidelines, provide the predicted projected profit for this bid and for each component, and ensure that the outcomes follow a preset and authorized strategy in engineering pricing?

Supporting a capital-constrained supplier with mixed pre-shipment financing facilities

This study considers a tandem supply chain (S.C.) in which a credit-worthy retailer cooperates with a capital-constrained supplier to manufacture products. The retailer can use two major pre-shipment financing options, either cash in advance (CIA) or pricing support purchase order financing (PSPOF), to fund the supplier’s operations. A model is developed to examine the interactions among the entities. The retailer can choose the prepayment modality, purchase price and order quantity. The supplier decides on the production input and loan amount. A Karush-Kuhn-Tucker optimality analysis is used to characterise the properties of the retailer’s ordering and financing strategy: (1) The supplier might embezzle the CIA if the purchasing and financing contract is not well-designed; therefore, the retailer should establish some restrictions on the order price and CIA amount. (2) The retailer’s optimal decision about the quantity to purchase is independent of the financing strategy. (3) Because these schemes are interchangeable, multiple optimal financing portfolios consisting of CIA and/or PSPOF are possible. (4) The optimal dual-financing scheme maximises the retailer’s profit and integrates the S.C. Thus, the scheme can eliminate the effect of double-marginalisation. (5) As the supplier becomes more reliable, the retailer should increase the usage of PSPOF and purchasing quantity.

Evolution of Fundamental Price Determination within Electricity Market Simulations

Electricity prices are the key instrument for coordinating electricity markets. For long-term market analyses, price determination based on fundamental unit commitment simulations is required. Within the European wholesale market, electricity prices result from a market clearing, which finds a welfare-optimal price–quantity tuple considering a coupling of multiple market areas with limited transmission capacity. With increasing exchange capacities in Europe, the precise modeling of the market coupling is required. Many market simulation models use multi-stage approaches with a separation of market coupling and price determination. In this paper, we analyze a new single-stage approach that combines both steps and theoretically and empirically demonstrate its precision by a backtest. For this purpose, we compare a simulated versus a historical electricity price distribution. Moreover, we explain the necessary adjustments for future regulatory developments of the European electricity market regarding flow-based market coupling and propose a concept for the application of future regulatory developments. We demonstrate further developments using a future scenario.

Measuring the effects of tourists’ relative willingness to spend and third-degree price discrimination on inbound tourism expenditure differentials

Tourism expenditures are determined by a set of antecedents that reflect tourists’ willingness and ability to spend, and de facto incremental monetary outlays at which willingness and ability is transformed into total expenditures. Based on the neoclassical theoretical argument of utility-constrained expenditure minimization, we extend the current literature by applying a sustainability-based segmentation criterion, namely, the Legatum Prosperity IndexTM to the decomposition of a total expenditure differential into tourists’ relative willingness to spend and an upper bound of third-degree price discrimination, using mean-level and conditional quantile estimates. Our results indicate that understanding the price–quantity composition of international inbound tourism expenditure differentials assists agents in the tourism industry in their quest for profit maximization.

The impact of climate risk valuation on the regional mitigation strategies

Different assumptions and methodologies prompt divergent policy recommendationgs for combatting climate change. Although climate scientists would like to be as precise as possible, policymakers with different attitudes towards climate change will always choose the result that matches their own value judgments. This paper discusses the impact of climate change attitudes on optimal mitigation in 15 regions. The climate change attitude is refined by a meta-analysis of 27 climate damage estimations and distilled into five damage functions. The optimal mitigation is calculated using the non-cooperative scenario of the regional integrated model of climate economy (RICE). The results show that the optimal mitigation paths in developing countries are more sensitive to climate change attitudes than they are in developed countries. In 2100, the range of optimal emissions represents 20% of the average optimal emissions by developing countries, which is twice the value of average optimal emissions by developed countries. The average social carbon cost in developing countries is 20 times higher than that in developed countries. This large uncertainty may be the combined result of high shadow prices of capital and large quantities of future emissions in these developing countries.

Inventory and sales decisions in a vendor–buyer system with imperfect items and learning in inspection

ABSTRACT In this study, we propose a joint economic lot-sizing model to include learning process along with errors in inspection and full backordering system. We aim to study pricing and inventory decisions in a two-level supply chain involving a single vendor and a single buyer in which the demand is sensitive to price and company’s advertisement efforts. The mathematical inventory model is developed analytically and solved using a proposed algorithm. The objective of the model is to maximise joint total profit by simultaneously determining optimal shipment size, number of deliveries, backorder quantity and product selling price. A numerical example is provided to show the application of the model and to investigate the impact of key parameter’s changes on model behaviour. By comparing the integrated/centralised model to the independent/decentralised model, we note that the integrated/centralised model provides better profit to the system, along with lower selling price and smaller amount of backorder.