| Article ID: | iaor20102992 |
| Volume: | 37 |
| Issue: | 5 |
| Start Page Number: | 327 |
| End Page Number: | 332 |
| Publication Date: | Sep 2009 |
| Journal: | Operations Research Letters |
| Authors: | Li Michael Z F, Zhuang Weifen |
| Keywords: | deteriorating items, pricing, utility |
We show that the monotone structures of dynamic pricing for a single perishable product under risk-neutrality are preserved under risk-sensitivity with the additive general utility and atemporal exponential utility functions. We also show that the optimal price is decreasing over the degree of risk-sensitivity under the exponential class of both additive and atemporal utility functions.