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Modelling smoothly the joint effect of several advertising media on sales in a homogeneous market

  • Annamaria Sorato

    ()

    (Department of Applied Mathematics, University of Venice)

  • Bruno Viscolani

    ()

    (Department of Pure and Applied Mathematics, University of Padua)

Decision on the use of different advertising media is a critical issue in marketing. Drawing on some literature related to the dynamic Nerlove-Arrow model, we propose a nonlinear programming framework for discussing how different advertising media may jointly affect the demand for a good. Starting from the idea that different advertising efforts may not simply add (linearly) to produce the demand result, we examine a few special media combination mechanisms which can be represented by smooth functions.

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File URL: http://virgo.unive.it/wpideas/storage/2008wp176.pdf
File Function: First version, 2008
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Paper provided by Department of Applied Mathematics, Università Ca' Foscari Venezia in its series Working Papers with number 176.

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Length: 14 pages
Date of creation: Nov 2008
Date of revision:
Handle: RePEc:vnm:wpaper:176
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  1. Prasad A. Naik & Kalyan Raman & Russell S. Winer, 2005. "Planning Marketing-Mix Strategies in the Presence of Interaction Effects," Marketing Science, INFORMS, vol. 24(1), pages 25-34, June.
  2. Salma Karray & Georges Zaccour, 2007. "Effectiveness Of Coop Advertising Programs In Competitive Distribution Channels," International Game Theory Review (IGTR), World Scientific Publishing Co. Pte. Ltd., vol. 9(02), pages 151-167.
  3. Lambert Schoonbeek & Peter Kooreman, 2007. "The Impact Of Advertising In A Duopoly Game," International Game Theory Review (IGTR), World Scientific Publishing Co. Pte. Ltd., vol. 9(04), pages 565-581.
  4. Pradeep K. Chintagunta & Dipak Jain, 1992. "A Dynamic Model of Channel Member Strategies for Marketing Expenditures," Marketing Science, INFORMS, vol. 11(2), pages 168-188.
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