Abstract: Revenue management is an important tool to improve revenue level, which idea has been widely accepted by Chinese airline industry. Many companies in China have run revenue management system, but the system has not taken effective at all. In this paper, we firstly analyse the characteristics of airline market in China, then construct play game model to research the seat inventory problem of airline revenue management in competition condition, and analyse the factors to seat inventory control.

Key words: revenue management, seat inventory control, game theory, airline market