Risk-balanced dimensioning and pricing of End-to-End differentiated services

Alexei A. Gaivoronski, Per-Jonny Nesse, Olav-Norvald Østerbo and Håkon Lønsethagen

European Journal of Operational Research, 2016, vol. 254, issue 2, 644-655

Abstract: End-to-End (E2E) differentiated services refer to information services, delivered over the modern Internet with a differentiated grade of Quality of Service (QoS) over heterogeneous networks. Such services represent a prospective way of satisfying the needs of demanding customers, which cannot be satisfied with QoS delivered by the usual best effort Internet connectivity. This paper focuses on the differentiation aspect and develops stochastic optimization models designed for the selection of a portfolio of services with varying degrees of QoS by a risk-averse service provider under uncertainty concerning demand, generated by a multi-segment market of heterogeneous users.

Keywords: OR in telecommunications; Stochastic programming; Economics and planning of Internet services; Risk management (search for similar items in EconPapers)
Date: 2016
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Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:ejores:v:254:y:2016:i:2:p:644-655

DOI: 10.1016/j.ejor.2016.04.019

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