Revenue management for a home construction products manufacturer

The study showcases application of revenue management in home construction industry where major players in the highly competitive environment and consumers can immensely benefit from this powerful management science approach. A major US home construction supplier was chosen to explore, analyse and evaluate the application of revenue management. Pertinent operational data were gathered for this manufacturer to pursue marginal revenue and capacity allocation analysis. Findings indicated that revenue management can be effectively utilised to manage uncertain demand through the allocation and pricing of available capacity and optimise revenues and costs for the manufacturer of home construction products and its supply chain.