Abstract
In order to cut costs, companies have employed digital systems and moved service offerings online. However, the digital systems providing online-based services (e-service) have always been complemented with or supported by human-based service (h-service). Whereas h-service has total costs that increase with the demand for services, e-service mainly requires a fixed investment upfront which can be amortized over the totality of customers served. Considering the different nature of the costs of h-service and e-service and the heterogeneity of customer preferences, we derive the optimal mix of h-service and e-service for a firm vis-à-vis its competitor.
Original language | English (US) |
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Title of host publication | 2008 Workshop on Information Technologies and Systems, WITS 2008 |
Publisher | Social Science Research Network |
Pages | 188-193 |
Number of pages | 6 |
State | Published - 2008 |
Externally published | Yes |
Event | 2008 Workshop on Information Technologies and Systems, WITS 2008 - Paris, France Duration: Dec 13 2008 → Dec 14 2008 |
Other
Other | 2008 Workshop on Information Technologies and Systems, WITS 2008 |
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Country/Territory | France |
City | Paris |
Period | 12/13/08 → 12/14/08 |
ASJC Scopus subject areas
- Information Systems
- Control and Systems Engineering