Abstract: Based on the traffic characteristics of Beijing Olympic games, the authors expound the object and principle and the possible measures taken of traffic demand management in Beijing 2008, and the propose of the traffic demand prediction and traffic flow estimation method so as to provide and the powerful support for Beijing government to establish Olympic traffic demand management plan. Taking the road capacity as restriction condition and aiming at the purpose of traffic demand management during Olympic games, the optimum decision model of transportation demand management is established.