A Model of Optimal Production Planning Based on the Hysteretic Demand Curve

The article considers a hysteretic model of consumer behaviour in mono-product markets. Demand generation with regard to an individual is modeled using non-ideal relay inverted thresholds. Therefore, the sales rate defined as analogue Preisach converter. problem optimal production, storage, and distribution goods, taking into account nature demand curve. reduced non-classical control non-linearities. latter solved Pontryagin’s maximum principle. adopted economic based on binary relationship consumers product: product bought or not bought. Transitions between these states are determined within framework our only by price goods; therefore, operator can accurately describe such dependence. presents results computational experiments illustrating theoretical assumptions.