Civil Engineering Reference
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A
1
have already been fully booked in the hotel
X
a month previously, then this
customer will book a room of period
A
2
of hotel
Y
from hotel
X
, if the period
A
2
of
the hotel
Y
is available.
On the other hand, in the case of type (2), people regard the hotel brand important.
When rooms of period
A
1
have already been fully booked in the hotel
X
a month
previously at this time, even if there are some vacant rooms of another type, the
person will make a reservation in the same hotel
X
.
From the above, hotel profits will change depending on the number of rooms.
Therefore, this research verifies which strategy is the best in yield management. In
addition, they do not know the room allocation of the other hotel each other.
Then, the strategy
c
1
of hotel
X
and the strategy
a
2
of hotel
Y
are the same. These
strategies for hotels
X
and
Y
have no difference other than the number of reserved
able rooms. Actually when both hotels selected these strategies, the profit is the same
in the simulation and evaluation function (see below). Even if it is impossible in real
situation, it is important that this research is focused on the changes of the profits by
using Bertrand model strategy for setting the room proportion strategy.
4
Monte Carlo Simulation of the Model
In the hotel management, the yield management is widely used as a hotel strategy.
In this paper, the game theory of Bertrand model is applied to validate the yield
management of hotel.
4.1
Prerequisite
In this model, one of the purposes is to simulate the current situation by Monte Carlo
method. So the following items are generated randomly by Monte Carlo simulation:
Gathering ratio of customers
Reservation date by a customer
Feature of a customer: price oriented or bland oriented
Both room costs required per one room are the same as
d
×
Z
where
d
denotes a cost per room.
4.2
Evaluation Function
We create and verify the evaluation function decided for Bertrand model that selects
the best for both hotels in game situation. The profit of both hotels depends on
how to secure the number of the sold rooms. In other words, the selected strategies
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