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Competitive analysis for two-option online leasing problem under sharing economy

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Abstract

With the booming development of sharing economy, decision makers must consider the effect when making decisions with uncertain demands. In the leasing problem, people are faced with several leasing options. Participating in the shared leasing option can reduce the cost of the lessee, which makes it a good choice. This paper considers the online leasing option under sharing economy. By applying competitive analysis to the two-option online leasing problem, the optimal competitive ratios of the deterministic and randomized strategies with market interest rate are obtained, respectively. The theoretical results show that the strategies’ competitive performance is improved under sharing economy. Furthermore, numerical examples are performed to illustrate that considering the shared option has a significant influence on the two-option online leasing problem.

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Funding

This work was supported by the Humanities and Social Science Foundation of the Ministry of Education of China (21YJA630117) and the Philosophy and Social Sciences Planning Project of Guangdong Province (GD19CGL06).

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Authors and Affiliations

  1. School of Management, Guangdong University of Technology, Guangzhou, 510520, Guangdong, China

    Yong Zhang & Jingting Wu

  2. School of Electromechanical Engineering, Guangdong University of Technology, Guangzhou, 510006, Guangdong, China

    Wenxiong Lin & Muyu Hou

Authors
  1. Yong Zhang
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  2. Jingting Wu
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  3. Wenxiong Lin
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  4. Muyu Hou
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Correspondence to Jingting Wu.

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Zhang, Y., Wu, J., Lin, W. et al. Competitive analysis for two-option online leasing problem under sharing economy. J Comb Optim 44, 670–689 (2022). https://doi.org/10.1007/s10878-022-00855-0

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