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Article: Optimal service capacity in a multiple-server queueing system: A game theory approach
Title | Optimal service capacity in a multiple-server queueing system: A game theory approach | ||||||||||||||||
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Authors | |||||||||||||||||
Keywords | Capacity allocation Competition Markovian queueing systems Nash equilibrium | ||||||||||||||||
Issue Date | 2009 | ||||||||||||||||
Publisher | American Institute of Mathematical Sciences. The Journal's web site is located at http://aimsciences.org/journals/jimo/description.htm | ||||||||||||||||
Citation | Journal Of Industrial And Management Optimization, 2009, v. 6 n. 1, p. 73-102 How to Cite? | ||||||||||||||||
Abstract | The economic behavior of service providers in a competitive environment is a very important and interesting research topic. A two-server service network has been proposed by Kalai et al. [14] for this purpose. Their model actually aims at studying both the role and impact of service capacity in capturing larger market share. The market share is important in maximizing individual's long-run expected profit. A Markovian queueing system of two servers was employed in their model for the captured problem. The obvious advantage of such a model is that it is mathematically tractable. They then further formulated the problem as a two-person strategic game and analyzed the equilibrium solutions. The main aim of this paper is to extend the results of their two-server queueing model to the case of a general multiple-server queueing model. Here we will focus on the case when the queueing system is stable. It is found that when the marginal cost of service capacity is low relatively to the revenue per customer, a unique Nash equilibrium exists, in which all servers choose the same service capacity and the expected waiting times are finite. | ||||||||||||||||
Persistent Identifier | http://hdl.handle.net/10722/75323 | ||||||||||||||||
ISSN | 2023 Impact Factor: 1.2 2023 SCImago Journal Rankings: 0.364 | ||||||||||||||||
ISI Accession Number ID |
Funding Information: The authors would like to thank the two anonymous referees and the associate editor Prof. Wuyi Yue for their helpful comments and corrections. The preliminary version of the paper has been presented and appeared in the proceedings of the COMPLEX2009 conference, 23-25 Feb. 2009, Shanghai, China [9]. Ching's research is supported in part by the RGC Grant 7017/07P, HKU CRCG Grants, Hung Hing Ying Physical Sciences Research Grant and HKU Strategic Research Theme Fund on Computational Sciences. Huang's research is supported in part by National Natural Science Foundation of China (Project no. 70671020, 70721001, 70431003, 60673159), the Program for New Century Excellent Talents in University (Project no. NCET-05-0295, NCET-05-0289), Specialized Research Fund for the Doctoral Program of Higher Education (20070145017, 20060145012). | ||||||||||||||||
References |
DC Field | Value | Language |
---|---|---|
dc.contributor.author | Ching, WK | en_HK |
dc.contributor.author | Choi, SM | en_HK |
dc.contributor.author | Huang, M | en_HK |
dc.date.accessioned | 2010-09-06T07:10:02Z | - |
dc.date.available | 2010-09-06T07:10:02Z | - |
dc.date.issued | 2009 | en_HK |
dc.identifier.citation | Journal Of Industrial And Management Optimization, 2009, v. 6 n. 1, p. 73-102 | en_HK |
dc.identifier.issn | 1547-5816 | en_HK |
dc.identifier.uri | http://hdl.handle.net/10722/75323 | - |
dc.description.abstract | The economic behavior of service providers in a competitive environment is a very important and interesting research topic. A two-server service network has been proposed by Kalai et al. [14] for this purpose. Their model actually aims at studying both the role and impact of service capacity in capturing larger market share. The market share is important in maximizing individual's long-run expected profit. A Markovian queueing system of two servers was employed in their model for the captured problem. The obvious advantage of such a model is that it is mathematically tractable. They then further formulated the problem as a two-person strategic game and analyzed the equilibrium solutions. The main aim of this paper is to extend the results of their two-server queueing model to the case of a general multiple-server queueing model. Here we will focus on the case when the queueing system is stable. It is found that when the marginal cost of service capacity is low relatively to the revenue per customer, a unique Nash equilibrium exists, in which all servers choose the same service capacity and the expected waiting times are finite. | en_HK |
dc.language | eng | en_HK |
dc.publisher | American Institute of Mathematical Sciences. The Journal's web site is located at http://aimsciences.org/journals/jimo/description.htm | en_HK |
dc.relation.ispartof | Journal of Industrial and Management Optimization | en_HK |
dc.subject | Capacity allocation | en_HK |
dc.subject | Competition | en_HK |
dc.subject | Markovian queueing systems | en_HK |
dc.subject | Nash equilibrium | en_HK |
dc.title | Optimal service capacity in a multiple-server queueing system: A game theory approach | en_HK |
dc.type | Article | en_HK |
dc.identifier.openurl | http://library.hku.hk:4550/resserv?sid=HKU:IR&issn=1547-5816&volume=6&spage=73&epage=102&date=2010&atitle=Optimal+Service+Capacity+in+a+Multiple-server+Queueing+System:+A+Game+Theory+Approach | en_HK |
dc.identifier.email | Ching, WK:wching@hku.hk | en_HK |
dc.identifier.authority | Ching, WK=rp00679 | en_HK |
dc.description.nature | link_to_subscribed_fulltext | - |
dc.identifier.doi | 10.3934/jimo.2010.6.73 | en_HK |
dc.identifier.scopus | eid_2-s2.0-70949090089 | en_HK |
dc.identifier.hkuros | 168184 | en_HK |
dc.relation.references | http://www.scopus.com/mlt/select.url?eid=2-s2.0-70949090089&selection=ref&src=s&origin=recordpage | en_HK |
dc.identifier.volume | 6 | en_HK |
dc.identifier.issue | 1 | en_HK |
dc.identifier.spage | 73 | en_HK |
dc.identifier.epage | 102 | en_HK |
dc.identifier.isi | WOS:000272777400006 | - |
dc.publisher.place | United States | en_HK |
dc.identifier.scopusauthorid | Ching, WK=13310265500 | en_HK |
dc.identifier.scopusauthorid | Choi, SM=26435077400 | en_HK |
dc.identifier.scopusauthorid | Huang, M=26643214600 | en_HK |
dc.identifier.issnl | 1547-5816 | - |