Research Article

Offensive, Defensive, and Generic Advertising Strategies in a Dynamic Oligopolistic Market

Table 3

Nomenclature.

NotationDescription

Index of players (companies)
Index of players (companies) other than
Number of players (companies)
The market share of company
The offensive advertising effort rate of company at time
Defensive advertising effort rate of company at time
The generic advertising effort rate of company at time
The total generic advertising effort rate of all companies other than
The attraction rate function of company
The generic advertising effort rate function of company
The share that has not been covered yet
The offensive advertising constant of company
The defensive advertising constant of company
The generic advertising constant of company
Profit present value of i-th company when it uses , , and strategies
The marginal profit of company
The potential market
The offensive advertising cost function of company
The defensive advertising cost function of company
The generic advertising cost function of company
Constant parameter of offensive strategy
Constant parameter of defensive strategy
Constant parameter of generic strategy
The time horizon
The vector of state variables
The state variable of company at time t
The control variable of company in state x and at time t
The Hamiltonian for company
Costate variable
The belief of the i-th company about the response of the k-th company to change in the state variable of the j-th company