What the heck is Revenue Management

The airline industry changed dramatically in 1978 when it became deregulated. Operations research analysts played a critical role after deregulation by developing algorithms and decision-support systems designed to help airlines to maximize their revenue. More than thirty-five years after deregulation, the airline industry is faced with new challenges. The increased use of the Internet as the major distribution channel and the increased market penetration of low cost carriers have led to an increasing interest in using discrete choice models to model air travel demand as the collection of individual's decisions.