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Optimal advertising with a continuum of goods (1999)

Barucci, E. ; Gozzi, F.

Springer

Annals of operations research 88 (1999), S. 15-29

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ISSN: 1572-9338

Source: Springer Online Journal Archives 1860-2000

Topics: Mathematics , Economics

Notes: Abstract In this paper, we present a model of optimal advertising with a continuum of goodsdifferentiated by their vintage. The model is an infinite horizon/infinite dimensional optimalcontrol model and the firm advertises a continuum of goods. We prove that the goodwill ofa good accumulated through advertising does not necessarily reach its maximum when it islaunched onto the market: it can be a single peaked function of the good vintage.

Type of Medium: Electronic Resource

URL: http://dx.doi.org/10.1023/A:1018922128062

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