A new experimental model for profit maximization

DSS Model for Profit Maximization at Customer Enquiry Evaluation Stage

This paper presents an optimal method and a heuristic approach which aims at maximizing the profit when responding to a set of customer enquiries under limited capacity. The model takes into consideration the quantity of available-to-promise (ATP) which measures the capability to fill customer orders, along with enquiry quantity and product price. The optimal method and the heuristic approach a...

Optimal Ad-Ranking for Profit Maximization

Despite the enormous commercial importance of on-line advertisements (ads), there has been little work done to clarify the basis for ranking and displaying them. Most existing methods rank ads as if the user views each of them in isolation. We will consider a more realistic user model that induces three mutual influences between displayed ads: (i) positional bias (for viewing ads placed higher ...

Profit Maximization of a Power Plant

This paper addresses the problem of profit maximization of a power plant by utilizing three different fuel systems in an optimal manner. Pontryagin’s maximum principle is used to derive properties of the optimal control strategy. These properties give rise to a switching function. Subsequently, certain heuristics are introduced and used in combination with discrete optimization to obtain an ini...

Customer Selection and Profit Maximization

Profit Maximization and Supermodular Technology

A dataset is a list of observed factor inputs and prices for a technology; profits and production levels are unobserved. We obtain necessary and sufficient conditions for a dataset to be consistent with profit maximization under a monotone and concave revenue based on the notion of cyclic monotonicity. Our result implies that monotonicity and concavity cannot be tested, and that one cannot deci...