Math Problem Statement
A retail store wants to model the time between customer arrivals to optimize staffing levels and improve customer service. The store has tracked customer arrivals over a month and found that on average, a customer arrives every 10 minutes. This means the average time between arrivals is 10 minutes. Help management understand:
a) What would be the probability that a customer will arrive within the next 5 minutes? (7 Marks) b) What would be the probability that no customer will arrive within the next 15 minutes? (7 Marks) c) If the store implements a promotional event expected to double the rate of customer arrivals (π=0.2), what is the new probability that a customer will arrive within the next 5 minutes?
Solution
The time between customer arrivals can be modeled using an exponential distribution, which is defined by the probability density function:
where:
- is the rate parameter (average number of arrivals per minute),
- is the time between arrivals.
The cumulative distribution function (CDF) is:
where gives the probability that a customer will arrive within minutes.
Given:
- Average time between arrivals = 10 minutes β arrivals per minute.
- For the promotional event, arrivals per minute.
a) Probability that a customer will arrive within the next 5 minutes:
The formula for is:
Substitute and :
So, the probability is approximately 39.35%.
b) Probability that no customer will arrive within the next 15 minutes:
This is the probability , which is the complement of :
Substitute and :
So, the probability is approximately 22.31%.
c) New probability that a customer will arrive within the next 5 minutes during the promotional event:
The new rate parameter is (double the rate). Using the same formula for :
Substitute and :
So, the probability is approximately 63.21%.
Summary:
a) Probability that a customer will arrive within the next 5 minutes: 39.35%.
b) Probability that no customer will arrive within the next 15 minutes: 22.31%.
c) New probability that a customer will arrive within the next 5 minutes during the promotional event: 63.21%.
Would you like further clarification or calculations?
Follow-up Questions:
- How would the probabilities change for other time intervals (e.g., 2 minutes or 20 minutes)?
- Can we use a different distribution to model customer arrivals? Why or why not?
- How would increasing the arrival rate further impact customer service planning?
- What is the expected number of customers arriving within the next hour before and during the promotional event?
- How can this model be extended to consider multiple service desks?
Tip:
When modeling arrival times, remember that the exponential distribution assumes independence between events, meaning the time until the next customer does not depend on previous arrivals.
Ask a new question for Free
By Image
Drop file here or Click Here to upload
Math Problem Analysis
Mathematical Concepts
Probability
Exponential Distribution
Cumulative Distribution Function
Formulas
P(T β€ t) = 1 - e^(-Ξ»t)
P(T > t) = e^(-Ξ»t)
Theorems
Exponential distribution properties
Suitable Grade Level
Undergraduate (Statistics or Applied Mathematics)
Related Recommendation
Probability of Arrival Before 8:10 A.M. on Two or More Days Using Exponential Distribution
Probability of Serving Time Exceeding 6 Minutes Using Exponential and Binomial Distributions
Probability of Service Time Exceeding 8 Minutes for 5 Restaurant Customers
Exponential Distribution: Expected Value, Standard Deviation, and Probabilities for Ξ» = 1
Find Probability for Time Between Customer Entries in a Poisson Process