Footnote:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments July 20, 2018 erstellt
Description:
We investigate the optimal quality strategy and the service fee and capacity decisions with quality-conscious consumers. We find that offering a high quality service by charging a higher price with a feasibly larger capacity is more profitable when informed consumers become more quality-conscious. In a market with both informed and uninformed consumers, by using a threshold-based quality perception strategy, we find either the high or low quality strategy may be adopted and maintained the capacity serving the market at the threshold level. The results advance our understanding of the commonly observed queuing phenomenon in service industries with theoretical insights