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Dynamic optimization and learning : how should a manager set prices when the demand function is unknown?

Carvalho, Alexandre Ywata de; Puterman, Martin L. - 2015

This paper considers the problem of changing prices over time to maximize expected revenues in the presence of unknown demand distribution parameters. It provides and compares several methods that use the sequence of past prices and observed demands to set price in the current period. A Taylor...

Persistent link: https://www.econbiz.de/10012025378