Advanced sale of service capacities : a theoretical analysis

• Main Author: 劉振豪
• Other Authors: 陳世良
• Format: Others
• Language: zh-TW
• Published: 2003
• Online Access: http://ndltd.ncl.edu.tw/handle/41090420760487659947

碩士 === 國立彰化師範大學 === 商業教育學系 === 91 === ABSTRACT Seasonality involves predictable and uncontrollable variations in demand over time. The predictability usually follows from a recurrent pattern associated with events or activities. Seasonal patterns can be associated with , for example, peak demand that lasts for hours, hours, days, weeks, months, years or some combination of time periods. These demand peaks can recur following almost any predictable and uncontrollable pattern. Although there are many complex and well-designed computer programs, we still can’t solve the problem. In this article, we discuss the capacity —limited service industries, just because most firms face capacity constraints and they can expend capacities given a longer planning horizon. In many ways, service capacity is an important measure of our ability to delivery quality. Capacity represents our capabilities. Greater capacity implies a greater capability to supply service quality. (Parasuraman, Zeithaml & Berry, 1985)Our capacity strategy, therefore, directly impacts service strategy. By advance selling, firms can predict demands more precisely and weaken seasonal effect. Service providers also weaken seasonal effect by bundling goods to stimulate demands.(Radas & Shugan, 1998b)We examine the connection between bundling and advance selling and try to explore surprising results. This article discussed capacity constraints impact the marketing strategies for service providers. Though not all face capacity constraints, many do. We found that we can get greater profits by allocating capacities well. Besides, service providers always work under insufficient capacities. Also, service providers are happy to advance sell peak services rather than off-peak services. Moreover, advance selling in bundles and subsequently selling individually, they can earn more profit than individually selling each service.