Dynamic Pricing Model for Highway Passenger Transport System

With the rapid development of rail traffic, highway passenger transportation market is facing serious challenges. This paper thus proposes a model of dynamic pricing under the premise of maximizing the daily income of highway passenger transport enterprise. The model adjusts the unit distance fare according to the degree of influence of high-speed railway for highway passenger transport, as well as time-shared pricing strategy for the peak and off-peak hours. This paper uses the data of Yunnan passenger transportation system as an example to verify the mathematical model of dynamic pricing. After the implementation of dynamic pricing, income has increased to a certain extent. This paper is helpful for highway passenger transport enterprise to improve operating profit, and the transportation administration to allocate the transport capacity.