A Purchase Model with Unascertained Information

Author

Li, Wei ; Wang, Gui-Xiang

Author_Institution

Sch. of Sci., Hangzhou Dianzi Univ.

fYear

2006

fDate

13-16 Aug. 2006

Firstpage

1840

Lastpage

1844

Abstract

This paper presents a purchase model in which the price variables are unascertained numbers. First, the basic theory of unascertained information proposed recently is applied to construct a dynamical programming model of purchase problem. Then by using recursive method in a reverse order, the optimal solution in the meaning of minimizing the unascertained expectation of the purchase cost, is obtained. Sensitivity analysis of the optimal solution of this model indicates the model is robust. A numeral example is also constructed to illustrate the detail of the steps for finding an optimal solution

Keywords

dynamic programming; pricing; purchasing; dynamical programming model; optimal solution; price variable; purchase model; recursive method; sensitivity analysis; unascertained information; Cost function; Cybernetics; Dynamic programming; Electronic mail; Fluctuations; Fuzzy sets; Machine learning; Probability distribution; Random variables; Robustness; Sensitivity analysis; Stochastic processes; Purchase problem; recursion; unascertained expectation; unascertained rational number;

fLanguage

English

Publisher

ieee

Conference_Titel

Machine Learning and Cybernetics, 2006 International Conference on

Conference_Location

Dalian, China

Print_ISBN

1-4244-0061-9

Type

conf

DOI

10.1109/ICMLC.2006.259047

Filename

4028364