Dr. Francisco Castro

Biography

Francisco Castro joined UCLA Anderson School of Management faculty in 2020. His work focuses on operations design in markets, with an emphasis on spatial incentive aspects. Previously, he was a postdoctoral research scientist at Uber. Castro develops models to capture the fundamental aspects of markets, using solid rigorous theory to lead the understanding of markets and discover new areas for application. He is particularly interested in designing optimal pricing policies and contracts used in digital marketplaces, especially ride-hailing platforms. His research on surge pricing, forthcoming in Management Science, proposes a two-dimensional framework where platforms select prices based on locations and drivers respond by choosing to relocate depending on equilibrium prices and travel costs. Castro’s research at Uber provides practical insights into the design of protocols that maintain overall marketplace performance while allowing drivers flexibility in deciding which requests to accept. He aims to bring these lessons into the classroom to prepare the next generation of industry leaders for an uncharted economy. Post-crisis, MBA students will face a new business landscape, requiring creative thinking in response to changing consumer behavior.

Research Interests