A MODEL FOR DECENTRALIZED DECISION-MAKING OF MULTI-PRODUCTS MARKETING
The marketing of multi-products in a decentralized system is discussed. Three models are formulated to analyze the incentive problem under distinct conditions, which are complete information, uncertainty in revenue function with risk-averse division, and both uncertainty in revenue function and asymmetric information. The analytical solutions are got that express the bonus coefficient and the level of the division’s effort. An interval in which the headquarters will give subsidies to the division is found. Both the bonus coefficient and the level of effort are negatively related with the measure of absolute risk aversion of the division.
decentralized system principal-agent model Optimization asymmetric information
Zhang Lei Zhao Wei Xin Zhanhong
Key Lab of MII in Information Management and Information Economics, School of Economics and Manageme School of Economics and Management, Beijing University of Posts and Telecommunications, Beijing, Chi
国际会议
北京
英文
2007-11-01（万方平台首次上网日期，不代表论文的发表时间）