Unleashing the power of yield management in the Internet era

Opportunities and challenges

Howard Marmorstein, Jeanne Rossomme, Dan Sarel

Research output: Contribution to journalReview article

9 Citations (Scopus)

Abstract

The profitability of many firms hinges upon their ability to extract the maximum amount of revenue from a fixed quantity of perishable goods and/or services. Yet most firms in this situation have not invested in yield management systems to address this dilemma. This article explains why minimal use of yield management techniques may have been appropriate in the pre-Internet era. It then explains the major changes to the marketing landscape fostered by the Internet that enable the effective practice of yield management. There are multiple yield management approaches that have potential to increase profitability significantly. The article highlights the most important factors for managers to consider when re-assessing the viability of yield management systems at their firms.

Original languageEnglish (US)
Pages (from-to)147-167
Number of pages21
JournalCalifornia Management Review
Volume45
Issue number3
DOIs
StatePublished - Jan 1 2003
Externally publishedYes

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World Wide Web
Yield management
Profitability
Management system
Factors
Perishable goods
Managers
Management techniques
Viability
Marketing
Revenue

ASJC Scopus subject areas

  • Strategy and Management

Cite this

Unleashing the power of yield management in the Internet era : Opportunities and challenges. / Marmorstein, Howard; Rossomme, Jeanne; Sarel, Dan.

In: California Management Review, Vol. 45, No. 3, 01.01.2003, p. 147-167.

Research output: Contribution to journalReview article

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