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A problem in jointly optimal production and...
Journal article

A problem in jointly optimal production and advertising decisions

Abstract

In this paper, a production control model proposed by Holt, Modigliani, Muth and Simon and a marketing model suggested by Nerlove and Arrow, are combined to produce an optimal control problem with two state variables, two control variables and inequality constraints on these variables. The optimal production rate and advertising expenditures over time are determined using the maximum principle. Due to the complex nature of the necessary …

Authors

PARLAR M

Journal

International Journal of Systems Science, Vol. 17, No. 9, pp. 1373–1380

Publisher

Taylor & Francis

Publication Date

September 1986

DOI

10.1080/00207728608926893

ISSN

0020-7721