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Building a System for Optimal Incentive Allocation in the Taxi Marketplace

Student: Dan Regina

Supervisor: Kirill Gomenyuk

Faculty: Graduate School of Business

Educational Programme: Business Informatics (Bachelor)

Year of Graduation: 2020

In the period from 2015 to 2020, the growth of the taxi market is increasing. This is especially true because of the development of aggregator companies that work on the marketplace model and connect the customer and the driver. Recently, growth has been slowing and competition has been increasing. To survive in the market, companies need to optimize the unit economy, and the most in need of optimization is driver subsidies. This paper describes the creation of a system for optimal budget allocation for driver motivational programs. To achieve this goal , a review of available statistical methods and tools for optimization and automation was conducted, as well as a competitive analysis, based on which the HTE model was built

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