Dynamic Pricing and Resource Optimization in Construction Projects: A Behavioral and Computational Study

Abstract

This study explores the intersection of dynamic pricing and resource optimization within the context of construction project management. As the construction industry faces increasing pressures to enhance efficiency and profitability, dynamic pricing has emerged as a potential strategy to optimize resource allocation and adapt to fluctuating market conditions. This research combines behavioral analysis with computational modeling to examine how dynamic pricing influences decision-making processes and resource management in construction projects. Utilizing an agent-based modeling (ABM) framework, various pricing scenarios are simulated to understand their impact on project timelines, cost management, and stakeholder satisfaction. The study also incorporates behavioral experiments to capture the responses of project managers and other stakeholders to dynamic pricing strategies. The findings reveal significant insights into the effectiveness of dynamic pricing in optimizing resource allocation and improving overall project efficiency. Moreover, the research highlights the importance of balancing profitability with stakeholder trust and satisfaction, suggesting that carefully designed dynamic pricing mechanisms can lead to more successful and sustainable construction projects.