A Joint Dynamic Pricing, Advertising, and Production Model with Inventory-Level-Dependent Goodwill

<div>The total profit with respect to <svg height="9.39034pt" id="M182" style="vertical-align:-3.42943pt" version="1.1" viewbox="-0.0498162 -5.96091 6.54569 9.39034" width="6.54569pt" xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink"><g transform="matrix(.013,0,0,-0.013,0,0)"><path d="M471 401C471 442 455 448 440 448C421 448 389 439 366 424C314 390 233 331 165 242H163L187 345C193 372 197 393 197 409C197 435 189 448 174 448C146 448 80 408 23 349L40 327C64 351 97 373 107 373C115 373 118 366 111 337L29 -4L36 -12C56 -4 83 3 110 9C123 69 136 126 150 172C227 283 336 381 377 381C392 381 396 370 379 298L326 74C290 -77 273 -172 273 -197C273 -219 316 -261 346 -261L353 -246C348 -227 352 -174 374 -66L457 310C467 352 471 381 471 401Z"></path></g></svg> under different initial goodwill <span class="nowrap"><svg height="11.927pt" id="M183" style="vertical-align:-3.291101pt" version="1.1" viewbox="-0.0498162 -8.6359 13.9062 11.927" width="13.9062pt" xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink"><g transform="matrix(.013,0,0,-0.013,0,0)"><path d="M673 297H417L411 270C517 261 522 258 506 183L487 92C476 38 428 19 360 19C207 19 123 132 123 287C123 472 243 631 441 631C557 631 617 583 617 469L647 472C650 545 655 604 658 632C625 643 554 666 467 666C201 666 23 502 23 278C23 90 156 -16 339 -16C410 -16 501 6 569 24C566 43 567 70 573 101L589 183C604 259 607 262 667 271L673 297Z"></path></g><g transform="matrix(.0091,0,0,-0.0091,8.827,3.132)"><path d="M245 635C92 635 37 457 37 312C37 149 91 -12 244 -12C395 -12 449 166 449 312C449 469 395 635 245 635ZM243 598C332 598 358 454 358 312C358 173 334 26 245 26C158 26 128 174 128 313S152 598 243 598Z"></path></g></svg>.</span> (a)<span class="nowrap"><svg height="11.927pt" id="M184" style="vertical-align:-3.291101pt" version="1.1" viewbox="-0.0498162 -8.6359 41.3563 11.927" width="41.3563pt" xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink"><g transform="matrix(.013,0,0,-0.013,0,0)"><path d="M673 297H417L411 270C517 261 522 258 506 183L487 92C476 38 428 19 360 19C207 19 123 132 123 287C123 472 243 631 441 631C557 631 617 583 617 469L647 472C650 545 655 604 658 632C625 643 554 666 467 666C201 666 23 502 23 278C23 90 156 -16 339 -16C410 -16 501 6 569 24C566 43 567 70 573 101L589 183C604 259 607 262 667 271L673 297Z"></path></g><g transform="matrix(.0091,0,0,-0.0091,8.827,3.132)"><path d="M245 635C92 635 37 457 37 312C37 149 91 -12 244 -12C395 -12 449 166 449 312C449 469 395 635 245 635ZM243 598C332 598 358 454 358 312C358 173 334 26 245 26C158 26 128 174 128 313S152 598 243 598Z"></path></g><g transform="matrix(.013,0,0,-0.013,17.405,0)"><path d="M535 323V373H52V323H535ZM535 138V188H52V138H535Z"></path></g><g transform="matrix(.013,0,0,-0.013,28.668,0)"><path d="M384 0V27C293 34 287 42 287 114V635C232 613 172 594 109 583V559L157 557C201 555 205 550 205 499V114C205 42 199 34 109 27V0H384Z"></path></g><g transform="matrix(.013,0,0,-0.013,34.908,0)"><path d="M153 550H386L412 615L406 623H120L82 318C104 327 142 338 184 338C294 338 347 275 347 187C347 112 305 39 221 39C160 39 119 71 97 89C88 97 80 96 71 90C59 80 50 67 49 57C48 45 52 36 66 23C80 9 123 -12 169 -12C221 -11 288 15 342 59C403 109 431 165 431 225C431 308 366 395 238 395C212 395 165 379 127 364L153 550Z"></path></g></svg>.</span> (b)<span class="nowrap"><svg height="11.927pt" id="M185" style="vertical-align:-3.291101pt" version="1.1" viewbox="-0.0498162 -8.6359 35.0929 11.927" width="35.0929pt" xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink"><g transform="matrix(.013,0,0,-0.013,0,0)"><path d="M673 297H417L411 270C517 261 522 258 506 183L487 92C476 38 428 19 360 19C207 19 123 132 123 287C123 472 243 631 441 631C557 631 617 583 617 469L647 472C650 545 655 604 658 632C625 643 554 666 467 666C201 666 23 502 23 278C23 90 156 -16 339 -16C410 -16 501 6 569 24C566 43 567 70 573 101L589 183C604 259 607 262 667 271L673 297Z"></path></g><g transform="matrix(.0091,0,0,-0.0091,8.827,3.132)"><path d="M245 635C92 635 37 457 37 312C37 149 91 -12 244 -12C395 -12 449 166 449 312C449 469 395 635 245 635ZM243 598C332 598 358 454 358 312C358 173 334 26 245 26C158 26 128 174 128 313S152 598 243 598Z"></path></g><g transform="matrix(.013,0,0,-0.013,17.405,0)"><path d="M535 323V373H52V323H535ZM535 138V188H52V138H535Z"></path></g><g transform="matrix(.013,0,0,-0.013,28.668,0)"><path d="M153 550H386L412 615L406 623H120L82 318C104 327 142 338 184 338C294 338 347 275 347 187C347 112 305 39 221 39C160 39 119 71 97 89C88 97 80 96 71 90C59 80 50 67 49 57C48 45 52 36 66 23C80 9 123 -12 169 -12C221 -11 288 15 342 59C403 109 431 165 431 225C431 308 366 395 238 395C212 395 165 379 127 364L153 550Z"></path></g></svg>.</span></div>

Discrete Dynamics in Nature and Society

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Figure 6

Figure 6: A Joint Dynamic Pricing, Advertising, and Production Model with Inventory-Level-Dependent Goodwill 