Research On Pricing Mechanism And Strategy Of Railway Freight Transportation In China

Railway Transportation Service plays an important role in promoting the national economy and the harmonious development of society, especially the freight transportation,which relates to the price level and the economic benefit of the railway sector. However, the volume of the railway freight transportation is declining yearly on the impact of other domestic modes of transportation and the courier industry. In order to improve the comprehensive benefit of railway freight, it is necessary to carry out the corresponding freight reform. Freight pricing has the most significant impact on freight traffic, and the mode that market pricing plays the main role, government pricing plays as a supplement role gradually adapts to the freight market, which has a positive role in promoting the railway sector to restore market share, allocate resources, improve transport efficiency.This paper summarizes the development process of China's rail freight pricing system,the status quo and deficiency, and refers to foreign experience of railway freight pricing system. This paper analyzes the current situation and principle of making freight pricing mechanism, and analyzes the influence factors of freight pricing. The writer put forward the pricing mechanism and strategy suitable to the development of China based on related pricing principle.Railway freight follow the laws of the supply and demand of market. The PPI and CPI index have great directive function for railway freight pricing. On one hand, the dynamic pricing is reflected by the PPI and CPI index, the floating rate of change and pricing realize synchronization; on the other hand, pricing space becomes larger. From the view of freight pricing mechanism, it is influenced by the market. The pricing by the railway sector is consistent with the requirements of China's railway freight reform.This paper combines the changes of PPI and CPI index which adjust the railway freight pricing dynamically. The paper proposes a dynamic pricing model of railway freight which is based on the PPI and CPI index. The pricing model parameters are calibrated using the least squares method. Calculate the corresponding pricing by railway freight data from the National Railway Company statistics. In order to reflect the linkage of PPI and CPI index,the railway freight pricing will be calculated quarterly which will help the adaptation of the various period of freight market demand. At last the system will obtain the dynamic freight pricing of recent several quarters according to the forecast pricing model and the corresponding index, and finally formulate the corresponding pricing strategy, which has far-reaching guiding significance with the development of railway freight transportation in the future. The system will further improve the economic and social benefits.