A Pricing Method for Small-size Cargo Express Service in Long Distance Highway Transportation

After a survey of 10 long-distance highway passenger transportation stations in Beijing, the authors found that 50% of the stations do not provide express services for small-size cargo. Passenger stations that provide such services have a low profit. The main reason is that there is no effective pricing method for small-size cargo express services. To address this issue, the authors first looked at the operating costs of all the parties involved in small-size cargo express services. According to the customers' freight transport demand function, they propose a model for determining the price of small-size cargo express services with an objective function of maximizing the starting station's revenue. Based on the model, necessary conditions are specified in order for passenger stations and companies to operate such businesses. Furthermore, a method of fitting the transportation demand function is provided based on actual operations and services. Finally, a numerical example is given to illustrate the application of the proposed pricing method for small-size cargo express services.

• Record URL:
  https://doi.org/10.1016/S1570-6672(13)60114-2
• Record URL:
  http://www.sciencedirect.com/science/article/pii/S1570667213601142
• Availability:
  • Find a library where document is available. Order URL: http://worldcat.org/issn/15706672
• Supplemental Notes:
  • Abstract reprinted with permission from Elsevier.
• Authors:
  • Sun, Xi'an
  • LI, Xuefei
  • Cheng, Hua
• Publication Date: 2013-6

Language

• English

Media Info

• Media Type: Print
• Features: References;
• Pagination: pp 115-120
• Serial:
  • Journal of Transportation Systems Engineering and Information Technology
  • Volume: 13
  • Issue Number: 3
  • Publisher: Elsevier
  • ISSN: 1570-6672
  • Serial URL: http://www.sciencedirect.com/science/journal/15706672

Subject/Index Terms

• TRT Terms: Cargo handling; Express service; Freight transportation; Highway transportation; Operating costs; Pricing; Rail transit stations; Revenues; Travel demand
• Geographic Terms: Beijing (China)
• Subject Areas: Finance; Freight Transportation; Highways; I10: Economics and Administration;

Filing Info

• Accession Number: 01488277
• Record Type: Publication
• Files: TRIS
• Created Date: Jul 29 2013 1:39PM