scholarly journals A Theory Approach towards Tradable Rail Freight Option

2021 ◽  
Vol 2021 ◽  
pp. 1-11
Author(s):  
Jingwei Guo ◽  
Lutian Li ◽  
Ji Zhang ◽  
Qi Shen ◽  
Zhongqi Xie ◽  
...  
Keyword(s):  
Stochastic Approach ◽  
Significant Feature ◽  
Optimal Pricing ◽  
Theory Approach ◽  
Railway Transportation ◽  
Rail Freight ◽  
Railway Freight ◽  
Pricing Decision ◽  
Fierce Competition ◽  
Freight Pricing

For railway freight pricing, this paper proposes a new tradable rail freight option (RFO). A multiphase trigeminal tree pricing model is established to analyze the optimal pricing decision of RFO. The main parameters of the model are identified theoretically through nonparametric Ito stochastic approach. The paper expands the theory of railway freight pricing. The aim of this paper is to construct the railway freight option theory to help railway transportation enterprise cope with fierce competition and challenge from other modes of transportation in China. The most significant feature of this method is its simplicity in analyzing the optimal pricing decision using only the algebraic category and Ito’s lemma.

scholarly journals Stackelberg Game Model of Railway Freight Pricing Based on Option Theory

2020 ◽  
Vol 2020 ◽  
pp. 1-11
Author(s):  
Jingwei Guo ◽  
Zhongqi Xie ◽  
Qinglin Li
Keyword(s):  
Stackelberg Game ◽  
Chinese Economy ◽  
Optimal Decision ◽  
Optimal Pricing ◽  
Theoretic Approach ◽  
Railway Transportation ◽  
Railway Freight ◽  
Pricing Decision ◽  
Option Theory ◽  
Freight Pricing

In recent years, although rail transport has contributed significantly to the productivity of the Chinese economy, it has also been faced with the fierce competition and challenge from other modes of transportation, and therefore, freight-pricing issue has received more attention by researchers. In this paper, the rail freight option (RFO) based on option theory is proposed to study the optimal pricing decision of the railway transportation enterprise and contract customers’ optimal purchase decisions. To obtain an effective RFO contract, the railway freight contract transaction process is first analyzed. Then, the theoretical framework for the RFO contract trading is put forward in the railway freight market. Next, a two-stage Stackelberg game theoretic approach is presented based on the principle of utility maximization to achieve the optimal decision of RFO contract. Subsequently, the reverse reasoning method in dynamic programming is used to solve the optimal combination decision of the contract customer. Finally, the optimal pricing decision of RFO is discussed using Kuhn–Tucker conditions and Lagrangian function. The result shows that the railway transportation enterprise should pay more attention to the option strike price w1 in terms of maximizing system utility and achieving Pareto optimal.

scholarly journals Model of effective market and technology of freight railway transportation

2021 ◽  
Vol 7 (1) ◽  
pp. 124-138
Author(s):  
Danila S. Belnitsky
Keyword(s):  
Rail Transport ◽  
Market Model ◽  
Rail Transportation ◽  
Railway Transportation ◽  
Service Market ◽  
Rail Freight ◽  
Free Competition ◽  
Railway Freight ◽  
Railway Industry ◽  
Freight Market

Background: Liberalization processes, an attempt of the railway industry to transition to a new market model (free competition market) without corresponding changes in the component of the model, negatively affect the efficiency of the railway industry and the efficiency of the freight railway service market. This article proposes to look at the problem not from the standpoint of changing the form of ownership in the industry and the formation of a free competition market, but from the standpoint of finding an equilibrium between the technology of work and the applied model of the freight rail transport market. The research is based on the well-known Industrial organization concept. The author views the market as a living mechanism that responds to changes in its components within its own field, not only as a place for transactions. The efficiency of the freight rail transport market largely depends on the technology for creating a freight rail service. It is proposed to form a market model focusing not on the type of competition, but on a certain harmony of the technology of freight railway service and the market, or rather the balance of the components of the service market. Aim: to define a model of an efficient rail freight market. in which the railway industry can show maximum efficiency. Methods: expert assessment of attempt to change the model of the railway freight market; analysis of the reasons for the imbalance in the economic mechanism of transportation activities in the field of freight railway transportation; attempt to structure goals of an efficient railway freight market. Results: the author's interpretation of the concepts is presented: "The market of freight rail transportation", "The economy of freight rail transportation", "The owner of the process of freight rail transportation", "Participant of the process of freight rail transportation"; a model is proposed, the image and goals of an effective freight railway service market are formed. Conclusions: Based on the results of the study, recommendations can be formulated on the formation of a balanced model of the rail freight market and adjusting the goals and the existing market model.

Optimal pricing decision of composite service offered by network providers in E-commerce environment

2021 ◽  
Author(s):  
Zheng Liu ◽  
Hangxin Guo ◽  
Yuanjun Zhao ◽  
Bin Hu ◽  
Xiaodong Ji ◽  
...  
Keyword(s):  
Optimal Pricing ◽  
Composite Service ◽  
Pricing Decision

Pricing insurance policies with offsetting relationship

2021 ◽  
pp. 1-27
Author(s):  
Hanbali Hamza
Keyword(s):  
Insurance Market ◽  
Optimal Pricing ◽  
Price Discounts ◽  
Insurance Policies ◽  
Life Data ◽  
Pricing Decision ◽  
Pricing Process ◽  
Pairwise Correlations ◽  
Number Of Customers ◽  
The Relationship

Abstract This paper investigates the benefits of incorporating diversification effects into the pricing process of insurance policies from two different business lines. The paper shows that, for the same risk reduction, insurers pricing policies jointly can have a competitive advantage over those pricing them separately. However, the choice of competitiveness constrains the underwriting flexibility of joint pricers. The paper goes a step further by modelling explicitly the relationship between premiums and the number of customers in each line. Using the total collected premiums as a criterion to compare the competing strategies, the paper provides conditions for the optimal pricing decision based on policyholders’ sensitivity to price discounts. The results are illustrated for a portfolio of annuities and assurances. Further, using non-life data from the Brazilian insurance market, an empirical exploration shows that most pairs satisfy the condition for being priced jointly, even when pairwise correlations are high.

scholarly journals OPPORTUNITIES FOR IMPROVING THE COMPETITIVENESS OF RAIL FREIGHT TRANSPORTATION ALONG THE TRANSPORT CORRIDORS OF THE RUSSIAN FEDERATION

2020 ◽  
Vol 11 (2) ◽  
pp. 160-171
Author(s):  
P. S. Kuzmin
Keyword(s):  
Russian Federation ◽  
Freight Transportation ◽  
Growth Potential ◽  
Throughput Capacity ◽  
Railway Network ◽  
Rail Freight ◽  
Railway Freight ◽  
Wide Range ◽  
The Russian Federation ◽  
Cargo Transportation

The greatest prospects associated with transnational rail freight are determined by the use of containers. In Russian publications, the development of containerized cargo transportation is mainly considered by analyzing the general laws of functioning of international transport corridors. At the same time, aspects affecting infrastructure diagnostics and analysis of the throughput capacity of sections of the railway network are not considered.The purpose of the study was to identify the characteristics of freight flows in the direction of the EU—EAEU—PRC, to identify infrastructure barriers that slow down the acceleration and increase in the volume of container railway freight transportation, as well as to develop a set of measures aimed at improving the competitiveness of container railway freight transportation along the transport corridors of the Russian Federation.In the course of the study, infrastructural diagnostics was carried out, which revealed a number of barriers that did not allow realizing the growth potential of transit container cargo transportation.To remove infrastructure barriers, it is necessary to implement a number of measures, the key of which are measures to increase the capacity of infrastructure at border crossings, increase the speed of trains along the railway networks of JSCo RZD, develop terminal and logistics centers that provide a wide range of services for consignors and consignees.The development of container rail freight is a strategically important area for the Russian Federation. The well-coordinated work of Russian Railways with private investors and the state in the framework of expanding and modernizing the terminal infrastructure, as well as increasing intermodal interactions, is able to overcome the existing infrastructure barriers and ensure the growth of container transit in the required volumes.

scholarly journals Analysis on the Integration Path of “One Belt And One Road” International Railway Transportation Rules

2021 ◽  
Vol 261 ◽  
pp. 03017
Author(s):  
Ruiqi Guo ◽  
Shuyin Zhang ◽  
Zhuangzhi Zhang ◽  
Kunmin Wang ◽  
Yinghui Cai ◽  
...  
Keyword(s):  
Dispute Settlement ◽  
Freight Transport ◽  
Railway Transport ◽  
Railway Transportation ◽  
Dispute Settlement Mechanism ◽  
Logistics System ◽  
Railway Freight ◽  
The Status ◽  
Settlement Mechanism ◽  
Railway Freight Transport

With the rapid growth of Sino-European international trade and the ongoing development of “One Belt And One Road”, it can be predicted that the status of railway transportation in the international logistics system will be greatly enhanced, which urges us to further study the rules of international railway freight transportation. At present, the pattern of the rules system of international freight transport by railway is the two conventions of the international cargo association and the international cargo contract. In addition, the existing rules system of freight transport by railway in China also has some problems such as being too administrative, which needs to be reformed urgently. By comparing the contents of the two conventions of international railway freight transport and listing the possible conflicts in the substantive laws of various countries involved in the conventions, this paper designs a set of dispute settlement mechanism for “One Belt And One Road” railway transport, and puts forward some suggestions on the integration of the rules of “One Belt And One Road” international railway freight transport.

scholarly journals The influence of size, location and functions of freight rail terminals on urban form and land use

2016 ◽  
Vol 13 (3) ◽  
pp. 250-255
Author(s):  
Wessel Pienaar
Keyword(s):  
Land Use ◽  
Urban Form ◽  
Rail Freight ◽  
Railway Freight ◽  
Freight Terminals

This article outlines how the size, location and scope of activities of freight rail terminals influence urban form and land use. The nature of freight rail stations is outlined, and the classes of trains that make use of these facilities are described. According to size, railway freight stations can be divided into four groups: (1) railway halts; (2) small-sized goods stations; (3) medium-sized goods stations; and (4) large-sized goods stations. The factors that determine the location of stations are discussed. Rail freight stations can be divided functionally into four broad classes: (1) break-bulk rail terminals; (2) bulk rail terminals; (3) roll-on/roll-off rail terminals; and (4) intermodal terminals. The functions of the four rail terminal classes are described. The paper discusses how rail freight terminals can influence urban form and land use. Finally the conclusions of the study are presented.

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