DYNAMIC PRICING TO CONTROL LOSS SYSTEMS WITH QUALITY OF SERVICE TARGETS

Author:

Hampshire Robert C.,Massey William A.,Wang Qiong

Abstract

Numerous examples of real-time services arise in the service industry that can be modeled as loss systems. These include agent staffing for call centers, provisioning bandwidth for private line services, making rooms available for hotel reservations, and congestion pricing for parking spaces. Given that arriving customers make their decision to join the system based on the current service price, the manager can use price as a mechanism to control the utilization of the system. A major objective for the manager is then to find a pricing policy that maximizes total revenue while meeting the quality of service targets desired by the customers. For systems with growing demand and service capacity, we provide a dynamic pricing algorithm. A key feature of our solution is congestion pricing. We use demand forecasts to anticipate future service congestion and set the present price accordingly.

Publisher

Cambridge University Press (CUP)

Subject

Industrial and Manufacturing Engineering,Management Science and Operations Research,Statistics, Probability and Uncertainty,Statistics and Probability

Cited by 12 articles. 订阅此论文施引文献 订阅此论文施引文献,注册后可以免费订阅5篇论文的施引文献,订阅后可以查看论文全部施引文献

同舟云学术

1.学者识别学者识别

2.学术分析学术分析

3.人才评估人才评估

"同舟云学术"是以全球学者为主线,采集、加工和组织学术论文而形成的新型学术文献查询和分析系统,可以对全球学者进行文献检索和人才价值评估。用户可以通过关注某些学科领域的顶尖人物而持续追踪该领域的学科进展和研究前沿。经过近期的数据扩容,当前同舟云学术共收录了国内外主流学术期刊6万余种,收集的期刊论文及会议论文总量共计约1.5亿篇,并以每天添加12000余篇中外论文的速度递增。我们也可以为用户提供个性化、定制化的学者数据。欢迎来电咨询!咨询电话:010-8811{复制后删除}0370

www.globalauthorid.com

TOP

Copyright © 2019-2024 北京同舟云网络信息技术有限公司
京公网安备11010802033243号  京ICP备18003416号-3