Selfish generosity, or the value of n+1
November 10, 2009 – 4:23 pmSometimes you can save by giving.
Take the hot rolls at O’Charleys, or some other fine dining establishment with a national footprint.
The rolls are complimentary, and therefore a negative to the bottom line. The less they give away, the more money they save. Yet, at the same time, it is very important to appear generous with these popular yummies.
So, what does O’Charleys do?
They give you one more roll than you need for your table (n+1). If you have two people, they will bring you 3 rolls. 4 people get a basket with 5 rolls.
This is a calculated wager, betting on the politeness of lunch and dinner companions.
Here’s how it works:
O’Charleys knows that when they put out a basket with one extra roll in it, the most likely scenario is for everyone to have one roll immediately. At that point, there is a single roll remaining in the basket. Each of the guests is then unknowingly put in a social dilemma. You want another roll, but you don’t want to take the last one. In addition, it would seem silly to have a conversation about the last roll. So while everyone (or even just one of you) at the table desires another roll, the lone soldier sits in the basket untouched. At this point, the server is not expected to offer more bread, and the company escapes with a bread cost of n+1.
Meanwhile, the “cheap” restaurant owner down the street is gives very specific instructions to his staff that ONLY one piece of bread for each customer is to be placed in the basket. Five minutes later, a basket of empty bread is sitting at the table, the food isn’t ready yet, and the server is required to offer another basket. This short-sighted restaurant owner incurs a bread cost of 2n or possibly 3n….far greater than the “more generous ” O’Charleys and their devious yet brilliant n+1 strategy.
Be brilliant in every detail.
Win.
