Question
Cutlery Corner sells specialty knives to knife enthusiasts. They have a generous advertising budget to spread among four media channels: their recurring TV show, newspaper
Cutlery Corner sells specialty knives to knife enthusiasts. They have a generous advertising budget to spread among four media channels: their recurring TV show, newspaper ads, radio spots, and social media. Tom, the owner and star of the TV show is adamant that the show air at least twice a day, seven days a week but decides you can allocate the rest of the budget as you see fit. The TV shows draws 20,000 interested viewers per airing and costs $2,000 per episode. Daily newspaper ads cost $1500 and can be run up to seven days a week. Given the level of readership for newspapers, you settle on a figure of 10,000 people reached per ad. Radio spots come in 15 second and 30 second durations - 15 second spots in drive time cost $500 per airing and 30 second spots any other time of the day are a relative bargain at $250. Drive time spots are available twice a day (morning and evening commute) five days a week and reach 12,000, and the "any other time" spots could air up to six times a day seven days a week and reach 5,000 listeners per airing. The social media campaign is run out of a specialist's office and a burst of blogging, tweeting, vining and whatever else happens to be in fashion at the time costs $700 and reaches 10,000.
Naturally, it occurs to you that this could be modeled as a linear program, so you define your variables as:
T = dollars spent on a TV campaign
N = dollars spent on newspaper advertisements
RF = dollars spent on fifteen second drive time radio advertisements
RT = dollars spent on thirty second radio advertisements
S = dollars spent on the social media campaign
For the scenario in Table 8-8, how many constraints exclusive of the non-negativity constraint, are required if the problem is set up to minimize advertising costs as long as you reach 1,000,000 customers?
5
6
4
3
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