Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
7543846 | Operations Research Letters | 2018 | 6 Pages |
Abstract
We consider a pricing and advertising dynamic-optimization problem where the goodwill dynamics evolve à la Nerlove-Arrow. The firm maximizes its profit over a finite-planning horizon corresponding to the product's lifespan, and it turns out that the Hamiltonian is non-concave. We show the existence and uniqueness of an optimal solution under some mild conditions.
Keywords
Related Topics
Physical Sciences and Engineering
Mathematics
Discrete Mathematics and Combinatorics
Authors
Bertrand Crettez, Naila Hayek, Georges Zaccour,