You are the general manager at MASTERPIECE, an independently owned paint and sip studio. MASTERPIECE offers the public painting classes, aimed at a novice painters, and encourages attendees to bring in their own wine and snacks to enjoy during the two-hour class. MASTERPIECE operates in a strip mall, located in a city of 200,000 people. The studio can accommodate up to thirty students per class. There is one class held each weekday evening and three classes held on both Saturday and Sunday. The cost is $50.00 per person, per class. This fee includes step-by-step instruction from a trained professional, all supplies and the finished product to take home at the end of the two-hour class. Each month, MASTERPIECE puts a monthly calendar online for potential customers to view the featured paintings. The business also welcomes private parties and will work with organizers to determine the painting preference for the event. Private parties require a minimum fifteen people. The first two years of business were extremely successful for MASTERPIECE, as the community welcomed this new and innovative business. There were waiting lists for full classes and private parties were booked months in advance. The holidays continue to be profitable for MASTERPIECE; many local businesses and civic groups hold holiday parties or end of the year parties there. This summer, MASTERPIECE began offering paintings designed specifically for children during the morning hours. This created an exciting activity for parents or caregivers to experience with their children during summer vacation. No alcohol is allowed on the premises during the classes marketed toward children. The price for a children's painting experience is $25.00 per person. Class size is at MASTERPIECE has been declining for the last several months at both regular classes and children's classes. It seems that even the customers that love MASTERPIECE have a saturation point. Once a customer has painted two or three paintings, there is no need to acquire more artwork. While the experience is positive and reviews are outstanding, it is difficult for customers to justify more than two or three pieces of homemade paintings. Also, MASTERPIECE's customers are predominately women. Over 80% of clientele are female.

You are the general manager at MASTERPIECE, an independently owned paint and sip studio. MASTERPIECE offers the public painting classes, aimed at a novice painters, and encourages attendees to bring in their own wine and snacks to enjoy during the two-hour class. MASTERPIECE operates in a strip mall, located in a city of 200,000 people. The studio can accommodate up to thirty students per class. There is one class held each weekday evening and three classes held on both Saturday and Sunday. The cost is $50.00 per person, per class. This fee includes step-by-step instruction from a trained professional, all supplies and the finished product to take home at the end of the two-hour class. Each month, MASTERPIECE puts a monthly calendar online for potential customers to view the featured paintings. The business also welcomes private parties and will work with organizers to determine the painting preference for the event. Private parties require a minimum fifteen people. The first two years of business were extremely successful for MASTERPIECE, as the community welcomed this new and innovative business. There were waiting lists for full classes and private parties were booked months in advance. The holidays continue to be profitable for MASTERPIECE; many local businesses and civic groups hold holiday parties or end of the year parties there. This summer, MASTERPIECE began offering paintings designed specifically for children during the morning hours. This created an exciting activity for parents or caregivers to experience with their children during summer vacation. No alcohol is allowed on the premises during the classes marketed toward children. The price for a children's painting experience is $25.00 per person. Class size is at MASTERPIECE has been declining for the last several months at both regular classes and children's classes. It seems that even the customers that love MASTERPIECE have a saturation point. Once a customer has painted two or three paintings, there is no need to acquire more artwork. While the experience is positive and reviews are outstanding, it is difficult for customers to justify more than two or three pieces of homemade paintings. Also, MASTERPIECE's customers are predominately women. Over 80% of clientele are female.

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter12: Queueing Models

Section: Chapter Questions

Problem 59P

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