Study on Profitable Shared Parking Management Based on Day-to-Day Evolution Model

Huijun Sun
Beijing Jiaotong University, Beijing, China

Abstract

Parking problems are getting increasingly serious in the urban area. However, the parking spots in the urban area are underutilized rather than really scarce. There is a large number of private spots in the residential areas that have the potential of being shared. Due to its private nature, shared parking is usually operated by a profitable mode. To study the utilization of shared parking and its impact on the morning commute, this paper proposes an evolution model. The supply side is a profit-chasing manager who decides on the selling prices and the business scale, while the demand side refers to travellers who respond to costs and choose the trip mode. By analysing the behaviour (strategy) of both sides, the study covers: 1 - the attraction and competition between parking lots and trip modes, 2 - the utilization and user composition of the parking lots. By inducing two numerical examples, the conclusions are that 1 - managers can achieve maximum profit and optimal allocation through price adjustment and quantity control; 2 - publicity (system cost minimization) and profitability (profit maximization) are consistent under certain threshold conditions; 3 - competition exists between parking lots as well as trip modes; some parking lots are even in short supply; profitable management does not create a market monopoly.