WSEAS Transactions on Business and Economics
Print ISSN: 1109-9526, E-ISSN: 2224-2899
Volume 23, 2026
The "Cascade Degradation Coefficient" Dynamic Pricing Model: From Mathematical Framework to Flower Retail Practice
Authors: ,
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Abstract: This article presents the results of the development of a hybrid mathematical dynamic pricing model, the "Cascade Degradation Coefficient," for the cut flower market. The research methodology is based on the synthesis of dynamic and stochastic modeling frameworks, utilizing piecewise-defined functions to describe cascade degradation, monotonic cosine-based functions to model the visual factor, a modified hyperbolic tangent to account for psychological perception, and multiplicative seasonal modulators. As a result, a multiplicative model integrating four independent factors has been created: temporal, visual, psychological, and seasonal. The conducted verification confirmed the model's physical realizability. The practical significance of the research lies in the creation of a tool for transitioning from intuitive pricing to data-driven optimization, enabling the maximization of profit and minimization of losses from write-offs in flower retail and e-commerce.
Keywords:
Pricing Model, Cascade Degradation Coefficient, Perishable Goods, Cut Flower Market, Hybrid Mathematical Model, Stochastic Modeling, Data-Driven Optimization, Flower Retail, Perishable Product Pricing, Multiplicative Model
Pages: 607-614
DOI: 10.37394/23207.2026.23.46