Modeling the dynamic optimal advertising in stochastic condition
Rong DU
Qiying HU
Zhiqing MENG
摘要：An effort to model the dynamic optimal advertising was made with the uncertainty of sales responses in consideration. The problem of dynamic advertising was depicted as a Markov decision process with two state variables. When a firm launches an advertising campaign, it may predict the probability that the campaign will obtain the sales reponse. This probability was chosen as one state variable. Cumulative sales volume was chosen as another state variable which varies randomly with advertising. The only decision variable was advertising expenditure. With these variables, a multi-stage Markov decision process model was formulated. On the basis of some propositions the model was analyzed. Some analytical results about the optimal strategy have been derived, and their practical implications have been explained.
机标关键词：
分类号：O1(数学)
资助基金：国家自然科学基金(70271021)
论文发表日期：2004-01-01
在线出版日期：2025-08-15（本平台首次上网日期，不代表文献的发表时间）
页数：3( 102-104 )
英文信息