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Dynamic Optimal Revenue-Sharing Strategy in E-Commerce

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Knowledge-Based and Intelligent Information and Engineering Systems (KES 2011)

Part of the book series: Lecture Notes in Computer Science ((LNAI,volume 6883))

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Abstract

In this paper, we consider a dynamic revenue-sharing problem between a platform and a seller in e-commerce. We formulate the revenue-sharing problem as a dynamic principal-agent problem, which is then transformed to a stochastic optimal control problem where the objectives of the platform are to find an optimal revenue-sharing strategy and to advise an incentive-compatible effort to the seller. The sufficient conditions for the existences of the optimal revenue-sharing strategy and the incentive-compatible effort are obtained. A numerical example is solved to show the existences of the strategy and the effort.

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References

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Author information

Authors and Affiliations

  1. Graduate School of Business Sciences, The University of Tsukuba, 3-29-1, Otsuka, Bunkyo-ku, Tokyo, 112-0012, Japan

    Masaru Unno & Hua Xu

Authors
  1. Masaru Unno
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  2. Hua Xu
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Editor information

Editors and Affiliations

  1. Institute of Integrated Sensor Systems, University of Kaiserslautern, Erwin-Schroedinger-str. 12, 67663, Kaiserslautern, Germany

    Andreas König

  2. Knowledge-Based Systems Group, Department of Computer Science, University of Kaiserslautern, P.O. Box 3049, 67653, Kaiserslautern, Germany

    Andreas Dengel

  3. School of Business, University of Applied Sciences Northwestern Switzerland, Riggenbachstr. 16, 4600, Olten, Switzerland

    Knut Hinkelmann

  4. Graduate School of Engineering, Osaka Prefecture University, 1-1 Gakuen-cho, Sakai, 599-8531, Osaka, Japan

    Koichi Kise

  5. KES International, P.O. Box 2115, BN43 9AF, Shoreham-by-sea, UK

    Robert J. Howlett

  6. University of South Australia, Adelaide, 5095, Mawson Lakes, SA, Australia

    Lakhmi C. Jain

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© 2011 Springer-Verlag Berlin Heidelberg

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Unno, M., Xu, H. (2011). Dynamic Optimal Revenue-Sharing Strategy in E-Commerce. In: König, A., Dengel, A., Hinkelmann, K., Kise, K., Howlett, R.J., Jain, L.C. (eds) Knowledge-Based and Intelligent Information and Engineering Systems. KES 2011. Lecture Notes in Computer Science(), vol 6883. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-23854-3_33

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  • DOI: https://doi.org/10.1007/978-3-642-23854-3_33

  • Publisher Name: Springer, Berlin, Heidelberg

  • Print ISBN: 978-3-642-23853-6

  • Online ISBN: 978-3-642-23854-3

  • eBook Packages: Computer ScienceComputer Science (R0)

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