Publication: Dynamic pricing and scheduling in a multi-class single-server queueing system
Program
KU-Authors
KU Authors
Co-Authors
Cil, Eren Basar
Publication Date
Language
Type
Embargo Status
Journal Title
Journal ISSN
Volume Title
Alternative Title
Abstract
This paper investigates an optimal sequencing and dynamic pricing problem for a two-class queueing system. Using a Markov Decision Process based model, we obtain structural characterizations of optimal policies. In particular, it is shown that the optimal pricing policy depends on the entire queue length vector but some monotonicity results prevail as the composition of this vector changes. A numerical study finds that static pricing policies may have significant suboptimality but simple dynamic pricing policies perform well in most situations.
Source
Publisher
Springer
Subject
Computer science, Interdisciplinary applications, Operations research, Management science
Citation
Has Part
Source
Queueing Systems
Book Series Title
Edition
DOI
10.1007/s11134-011-9214-5