Skip to main content
Disciplines
Automotive Business IT + Informatics Construction + Real Estate Electrical Engineering + Electronics Energy + Sustainability Insurance + Risk Finance + Banking Management + Leadership Marketing + Sales Mechanical Engineering + Materials
Events
DE
EN
Books
Journals
Topic Page
Marketing
Start single access now
Access for companies
EXTENDED SEARCH
Log in
Top
Published in:
New Perspective on Slack Variables Applications to Singular Optimization Problems Read chapter Read first chapter

2019 | OriginalPaper | Chapter

Dynamic Marketing Model: Optimization of Retailer’s Role

Author : Igor Bykadorov

Published in: Optimization and Applications

Publisher: Springer International Publishing

Log in

Activate our intelligent search to find suitable subject content or patents.

search-config
loading …

Abstract

We study a vertical control distribution channel in which a manufacturer sells a single kind of good to a retailer. The state variables are the cumulative sales and the retailer’s motivation. The manufacturer chooses wholesale price discount while retailer chooses pass-through. We assume that the wholesale price discount increases the retailer’s sale motivation thus improving sales. In contrast to previous settings, we focus on the maximization of retailer’s profit with respect to pass-through. The arising problem is linear with respect to both cumulative sales and the retailer’s motivation, while it is quadratic with respect to wholesale price discount and pass-through. We obtain a complete description of optimal strategies and optimal trajectories. In particular, we demonstrate that the number of switches for change in the type of optimal policy is no more than one.

Dont have a licence yet? Then find out more about our products and how to get one now:

Springer Professional "Wirtschaft+Technik"

Online-Abonnement

Mit Springer Professional "Wirtschaft+Technik" erhalten Sie Zugriff auf:

  • über 102.000 Bücher
  • über 537 Zeitschriften

aus folgenden Fachgebieten:

  • Automobil + Motoren
  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Elektrotechnik + Elektronik
  • Energie + Nachhaltigkeit
  • Finance + Banking
  • Management + Führung
  • Marketing + Vertrieb
  • Maschinenbau + Werkstoffe
  • Versicherung + Risiko

Jetzt Wissensvorsprung sichern!

inform now

Springer Professional "Technik"

Online-Abonnement

Mit Springer Professional "Technik" erhalten Sie Zugriff auf:

  • über 67.000 Bücher
  • über 390 Zeitschriften

aus folgenden Fachgebieten:

  • Automobil + Motoren
  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Elektrotechnik + Elektronik
  • Energie + Nachhaltigkeit
  • Maschinenbau + Werkstoffe




 

Jetzt Wissensvorsprung sichern!

inform now

Springer Professional "Wirtschaft"

Online-Abonnement

Mit Springer Professional "Wirtschaft" erhalten Sie Zugriff auf:

  • über 67.000 Bücher
  • über 340 Zeitschriften

aus folgenden Fachgebieten:

  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Finance + Banking
  • Management + Führung
  • Marketing + Vertrieb
  • Versicherung + Risiko




Jetzt Wissensvorsprung sichern!

inform now
previous chapter Analysis of Indicators of High-Technology Production Using Optimization Models, Taking into Account the Shortage of Working Capital
next chapter The Berge Equilibrium in Cournot Oligopoly Model
Appendix
Available only for authorised users
Literature
1.
Bykadorov, I., Ellero, A., Moretti, E., Vianello, S.: The role of retailer’s performance in optimal wholesale price discount policies. Eur. J. Oper. Res. 194(2), 538–550 (2009)MathSciNetCrossRef
2.
Nerlove, M., Arrow, K.J.: Optimal advertising policy under dynamic conditions. Economica 29(144), 129–142 (1962)CrossRef
3.
Bala, P.K.: A data mining model for investigating the impact of promotion in retailing. In: 2009 IEEE International Advance Computing Conference, IACC 2009, pp. 670–674, 4809092 (2009)
4.
Giri, B.C., Bardhan, S.: Coordinating a two-echelon supply chain with price and inventory level dependent demand, time dependent holding cost, and partial backlogging. Int. J. Math. Oper. Res. 8(4), 406–423 (2016)MathSciNet
5.
Giri, B.C., Bardhan, S., Maiti, T.: Coordinating a two-echelon supply chain through different contracts under price and promotional effort-dependent demand. J. Syst. Sci. Syst. Eng. 22(3), 295–318 (2013)CrossRef
6.
Printezis, A., Burnetas, A.: The effect of discounts on optimal pricing under limited capacity. Int. J. Oper. Res. 10(2), 160–179 (2011)MathSciNetCrossRef
7.
Routroy, S., Dixit, M., Sunil Kumar, C.V.: Achieving supply chain coordination through lot size based discount. Mater. Today: Proc. 2(4–5), 2433–2442 (2015)CrossRef
8.
Ruteri, J.M., Xu, Q.: The new business model for SMEs food processors based on supply chain contracts. In: International Conference on Management and Service Science, MASS 2011, 5999355 (2011)
9.
Sang, S.: Bargaining in a two echelon supply chain with price and retail service dependent demand. Eng. Lett. 26(1), 181–186 (2018)
10.
Bykadorov, I., Ellero, A., Moretti, E.: Minimization of communication expenditure for seasonal products. RAIRO Oper. Res. 36(2), 109–127 (2002)MathSciNetCrossRef
11.
Bykadorov, I., Ellero, A., Funari, S., Moretti, E.: Dinkelbach approach to solving a class of fractional optimal control problems. J. Optim. Theory Appl. 142(1), 55–66 (2009)MathSciNetCrossRef
12.
Bykadorov, I.A., Kokovin, S.G., Zhelobodko, E.V.: Product diversity in a vertical distribution channel under monopolistic competition. Autom. Remote Control 75(8), 1503–1524 (2014)MathSciNetCrossRef
13.
Bykadorov, I., Ellero, A., Funari, S., Kokovin, S., Pudova, M.: Chain store against manufacturers: regulation can mitigate market distortion. In: Kochetov, Y., Khachay, M., Beresnev, V., Nurminski, E., Pardalos, P. (eds.) DOOR 2016. LNCS, vol. 9869, pp. 480–493. Springer, Cham (2016). https://​doi.​org/​10.​1007/​978-3-319-44914-2_​38CrossRef
14.
Antoshchenkova, I.V., Bykadorov, I.A.: Monopolistic competition model: the impact of technological innovation on equilibrium and social optimality. Autom. Remote Control 78(3), 537–556 (2017)MathSciNetCrossRef
15.
Bykadorov, I.: Monopolistic competition model with different technological innovation and consumer utility levels. In: CEUR Workshop Proceeding 1987, pp. 108–114 (2017)
16.
Bykadorov, I., Kokovin, S.: Can a larger market foster R&D under monopolistic competition with variable mark-ups? Res. Econ. 71(4), 663–674 (2017)CrossRef
17.
Bykadorov, I., Gorn, A., Kokovin, S., Zhelobodko, E.: Why are losses from trade unlikely? Econ. Lett. 129, 35–38 (2015)MathSciNetCrossRef
18.
Seierstad, A., Sydsæter, K.: Optimal Control Theory with Economic Applications. North Holland, Amsterdam (1987)
Metadata
Title
Dynamic Marketing Model: Optimization of Retailer’s Role
Author
Igor Bykadorov
Copyright Year
2019
Book
Optimization and Applications

Print ISBN: 978-3-030-10933-2

Electronic ISBN: 978-3-030-10934-9

Copyright Year: 2019

DOI
https://doi.org/10.1007/978-3-030-10934-9_28

Premium Partner

    Image Credits