Open AccessA Branching Process for Convergent Product Optimization
Author(s) -
Ermia Aghasi,
Mansour Momeni,
Mohammad Ali Shah Hoseini
Publication year - 2017
Publication title -
research in economics and management
Language(s) - English
Resource type - Journals
eISSN - 2470-4407
pISSN - 2470-4393
DOI - 10.22158/rem.v2n4p1
Subject(s) - mathematics , markov decision process , markov chain , mathematical optimization , population , profit (economics) , markov process , branching process , optimization problem , combinatorics , statistics , economics , demography , sociology , microeconomics
We consider a discrete time branching process where the population consists of k types of convergent products, an action is chosen for that which affects the lifetime, the number and types of its functions, and the profit received. The problem of maximizing the expected profit is shown to be equivalent to a generalized Markov decision problem of maximizing the expected profit is shown to be equivalent to a generalized Markov decision problem where the transition matrices are non-negative but not necessarily sub stochastic.