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Stable vessel-cargo matching in dry bulk shipping market with price game mechanism

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  • Peng, Zixuan
  • Shan, Wenxuan
  • Guan, Feng
  • Yu, Bin

Abstract

This paper proposes a model of stable vessel-cargo matching with price game mechanism in the dry bulk shipping market. The research aims at mimicking the bid of disadvantaged participants in the process of matching preferred objects. The matching equilibrium and price equilibrium are formulated between the shippers and carriers. A price game mechanism based Gale-Shapley algorithm is developed. Three scenarios of market dominated by shippers, market dominated by carriers, and equilibrium market are discussed in computational experiments. It is showed that if disadvantaged participants bid with the price game mechanism, they may gain more surpluses even in the negative position.

Suggested Citation

  • Peng, Zixuan & Shan, Wenxuan & Guan, Feng & Yu, Bin, 2016. "Stable vessel-cargo matching in dry bulk shipping market with price game mechanism," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 95(C), pages 76-94.
  • Handle: RePEc:eee:transe:v:95:y:2016:i:c:p:76-94
    DOI: 10.1016/j.tre.2016.08.007
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Zixuan Peng & Wenxuan Shan & Peng Jia & Bin Yu & Yonglei Jiang & Baozhen Yao, 2020. "Stable ride-sharing matching for the commuters with payment design," Transportation, Springer, vol. 47(1), pages 1-21, February.
    2. Choi, Tsan-Ming & Chung, Sai-Ho & Zhuo, Xiaopo, 2020. "Pricing with risk sensitive competing container shipping lines: Will risk seeking do more good than harm?," Transportation Research Part B: Methodological, Elsevier, vol. 133(C), pages 210-229.
    3. Li, Jianbin & Zheng, Yuting & Dai, Bin & Yu, Jiang, 2020. "Implications of matching and pricing strategies for multiple-delivery-points service in a freight O2O platform," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 136(C).
    4. Baozhen Yao & Qianqian Yan & Mengjie Zhang & Yunong Yang, 2017. "Improved artificial bee colony algorithm for vehicle routing problem with time windows," PLOS ONE, Public Library of Science, vol. 12(9), pages 1-18, September.

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