Dynamic capacity allotment planning for airlines via travel agencies

Nursen Aydin, Nalan Gülpinar, Yijun Zheng

Abstract: Highlights•A dynamic capacity allotment problem of airlines using travel agencies is studied.•Stochastic dynamic programming is used to formulate the problem.•Decomposition-based approximation methods are developed.•Computational studies show benefits of fixed and variable allotment capacities.