We study how to use delay announcements to manage customer expectations while allowing the firm to prioritize among customers with different sensitivities to time and value. We examine this problem by developing a framework which characterizes the strategic interaction between the firm and...

The traditional operations management and queueing literature typically assume that customers are fully rational. In contrast, in this paper, we study canonical service models with boundedly rational customers.We capture bounded rationality using a model in which customers are incapable of...