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Optimum Bribing for Queue Position

Author

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  • Leonard Kleinrock

    (University of California, Los Angeles, California)

Abstract

In this paper we consider that relative position in queue is determined according to the size of a customer’s bribe (which is paid before the customer sees the queue length). Such a policy allows the customer himself to affect his own queue position, rather than the classical approach of assuming that a customer is preassigned to some (possibly continuous) priority class. For the case of Poisson arrivals, arbitrary service time distribution, and arbitrary distribution of customer bribe, we obtain the average waiting time for customers as a function of their bribe. We consider both preemptive and nonpreemptive disciplines. Examples are presented for various bribing distributions, which demonstrate that many well-known priority queuing systems are special cases of this bribing situation. Furthermore, a cost function is defined after we introduce the notion of an impatience factor (which converts seconds of wait into dollars). Conditions for optimum bribing are then determined, where the optimization refers to minimizing the average cost subject to a mean bribe constraint. An example for exponential service and exponential bribing is carried out and the results are plotted.

Suggested Citation

  • Leonard Kleinrock, 1967. "Optimum Bribing for Queue Position," Operations Research, INFORMS, vol. 15(2), pages 304-318, April.
  • Handle: RePEc:inm:oropre:v:15:y:1967:i:2:p:304-318
    DOI: 10.1287/opre.15.2.304
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    Citations

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    Cited by:

    1. Philipp Afèche & Haim Mendelson, 2004. "Pricing and Priority Auctions in Queueing Systems with a Generalized Delay Cost Structure," Management Science, INFORMS, vol. 50(7), pages 869-882, July.
    2. Anouar El Haji & Sander Onderstal, 2019. "Trading places: An experimental comparison of reallocation mechanisms for priority queuing," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 28(4), pages 670-686, November.
    3. Luyi Yang & Zhongbin Wang & Shiliang Cui, 2021. "A Model of Queue Scalping," Management Science, INFORMS, vol. 67(11), pages 6803-6821, November.
    4. Erica L. Plambeck, 2004. "Optimal Leadtime Differentiation via Diffusion Approximations," Operations Research, INFORMS, vol. 52(2), pages 213-228, April.
    5. Phan, Trang Hoai & Stachuletz, Rainer, 2022. "Bribery—Export Nexus under the Firm’s Growth Obstacles," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 132144, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
    6. Prabhudev Konana & Alok Gupta & Andrew B. Whinston, 2000. "Integrating User Preferences and Real-Time Workload in Information Services," Information Systems Research, INFORMS, vol. 11(2), pages 177-196, June.
    7. Zhang, Jian & Nault, Barrie R. & Tu, Yiliu, 2015. "A dynamic pricing strategy for a 3PL provider with heterogeneous customers," International Journal of Production Economics, Elsevier, vol. 169(C), pages 31-43.
    8. Pavlin, J. Michael, 2017. "Dual bounds of a service level assignment problem with applications to efficient pricing," European Journal of Operational Research, Elsevier, vol. 262(1), pages 239-250.
    9. George L. Vairaktarakis, 2013. "Noncooperative Games for Subcontracting Operations," Manufacturing & Service Operations Management, INFORMS, vol. 15(1), pages 148-158, September.
    10. William P. Barnett & Daniel A. Levinthal, 2017. "Special Issue Introduction: Evolutionary Logics of Strategy and Organization," Strategy Science, INFORMS, vol. 2(1), pages 1-1, March.
    11. Nilay Tan{i}k Argon & Serhan Ziya, 2009. "Priority Assignment Under Imperfect Information on Customer Type Identities," Manufacturing & Service Operations Management, INFORMS, vol. 11(4), pages 674-693, June.
    12. Xu Yong & Liu Jian & Zhang Shuai & Ma Baomei, 2018. "Service Mechanism and Pricing Based on Fairness Preference of Customers in Queuing System," Journal of Systems Science and Information, De Gruyter, vol. 6(6), pages 481-494, December.
    13. Manlu Chen & Ming Hu & Jianfu Wang, 2022. "Food Delivery Service and Restaurant: Friend or Foe?," Management Science, INFORMS, vol. 68(9), pages 6539-6551, September.
    14. Zhao, Chen & Wang, Zhongbin, 2023. "The impact of line-sitting on a two-server queueing system," European Journal of Operational Research, Elsevier, vol. 308(2), pages 782-800.
    15. Luyi Yang & Laurens Debo & Varun Gupta, 2017. "Trading Time in a Congested Environment," Management Science, INFORMS, vol. 63(7), pages 2377-2395, July.
    16. Wenqing Wu & Yuanyuan Zhang, 2020. "Analysis of a Markovian queue with customer interjections and finite buffer," OPSEARCH, Springer;Operational Research Society of India, vol. 57(2), pages 301-319, June.
    17. Shiliang Cui & Zhongbin Wang & Luyi Yang, 2020. "The Economics of Line-Sitting," Management Science, INFORMS, vol. 66(1), pages 227-242, January.
    18. Itai Gurvich & Martin A. Lariviere & Can Ozkan, 2019. "Coverage, Coarseness, and Classification: Determinants of Social Efficiency in Priority Queues," Management Science, INFORMS, vol. 65(3), pages 1061-1075, March.

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