Title: 
An Integrated Approach to Single-Leg Airline Revenue Management:
The Role of Robust Optimization

Authors:
Ilker Birbil
Faculty of Engineering and Natural Sciences
Sabanci University
Istanbul
Turkey.

J.B.G. Frenk
Econometrics Institute
Erasmus University Rotterdam
The Netherlands.

Joaquim A.S. Gromicho
Vrije Universiteit Amsterdam
The Netherlands  & 
ORTEC International, Gouda
The Netherlands

Shuzhong Zhang
Department of Systems Engineering and Engineering Management
The Chinese University of Hong Kong
Shatin, Hong Kong

Abstract:
In this paper we introduce robust versions of the classical static
and dynamic single leg seat allocation models as analyzed by
Wollmer, and Lautenbacher and Stidham, respectively. These robust
models take into account the inaccurate estimates of the underlying
probability distributions. As observed by simulation experiments it
turns out that for these robust versions the variability compared to
their classical counter parts is considerably reduced with a
negligible decrease of average revenue.