A predictive empirical model for pricing and resource allocation decisions

ABSTRACT

We present a semi-parametric model that describes pricing behaviors in a market environment, and we show how that model can be used to guide resource allocation and pricing decisions in an autonomous trading agent. We validate our model by presenting experimental results obtained in the Trading Agent Competition for Supply Chain Management.

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INDEX TERMS

Primary Classification:
  I. Computing Methodologies
  I.2 ARTIFICIAL INTELLIGENCE
        I.2.11 Distributed Artificial Intelligence

Additional Classification:
  K. Computing Milieux
  K.4 COMPUTERS AND SOCIETY
      K.4.4 Electronic Commerce

General Terms:
Algorithms, Economics, Theory

Keywords:
agent-mediated electronic commerce, dynamic pricing, machine learning, market forecasting