An auto manufacturer can manufacture compact cars for an incremental cost of $5,000 apiece. She faces a

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An auto manufacturer can manufacture compact cars for an incremental cost of

$5,000 apiece. She faces a logit price-response function for sales in the next month, with parameters C = 40,000, b = 0.0005, and pˆ = $12,000. What price will maximize the total contribution? How many cars will she sell during the month?

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Pricing And Revenue Optimization

ISBN: 9781503610002

2nd Edition

Authors: Robert L. Phillips

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Question Posted: Sep 19, 2024 08:01 PM

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An auto manufacturer can manufacture compact cars for an incremental cost of $5,000 apiece. She faces a

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Pricing And Revenue Optimization

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