Am 05-Jun-2017 17:48:00 +0200 schrieb xxxxxx@mail.de:
Well, if you entertain the possibility that there might be a mistake or two in the formula, it looks like a Present Value computation for an investment to me. Nothing to do with marketing, just a general econ/management principle.Suppose you have an investment wich costs I at period t=0 (today), and gives you a Cash-Flow of CF(t) at period t from 1 to infinity (or a large period T), so starting tomorrow. The interest rate is µ (mu in case it does not translate via email), then the discount rate is 1/(1+µ), because a dollar today is worth 1+µ dollars tomorrow . Then the cost is I and the benefit at period t is CF(t) / (1+µ)^t. So the Present Value isPV = -I + ∑CF(t) / (1+µ)^tand if you now make the rather-awful mistake to forget the t symbols, you have the student's formula. Which as it is makes little sense, because there is no indication what the summtion is about (mathematically, you should write "t=1" below the summation sign and "infinity" or T above it)So it might be a case of poorly-understood, quickly-copied formulae?
--
Carlos Alós-Ferrer
Chair of Microeconomics, University of Cologne
http://www.decisions.uni-koeln.de
Am 05-Jun-2017 16:29:17 +0200 schrieb xxxxxx@port.ac.uk:(If that doesn't translate via email, you can see it here in a tweet from the academic: https://twitter.com/MickHayes1/status/869853226144849924 with a sentence of context:which a student has quoted without reference.We have a lecturer looking for this equation:Hi there,This is not a Traveller question, but I know that there's such a wide range of arcane knowledge that I thought it might worth a quick query.
VPL =-I+∑CF/(1+µ)
"The impacts of marketing innovation strategies on a company’s serviceability can best be deduced from" [the formula])It's from a marketing dissertation in the Business school.A couple of us have had a scratch round but I wondered if anyone here recognized it or has better googlefu to track down what they might be talking about?Many thankstc(OB Trav: A business school sets its final year students a project to calculate to investigate the effects of "vicinity marketing" (which the student defines as worlds within Jump-2) on small merchant ships . The PC's vessel gets a request (or several if in a quiet port) from a student wanting to use them as a case study. They've got a small amount of research funding to try out various approaches on nearby planets - low tech, social media, word of mouth, etc. They want to Jump with the ship and investigate but their funds don't include passage fees.1) All is as represented and if the student is given a berth will do their best to produce some results but with no effect.2) As #1 but the marketing does get the PC's ship better deals on 1 in 3 of the worlds visited. (DM +2 to broker rolls)3) As #2 but another student is ahead of this one and gets the better deals first (DM -1 to broker rolls)4) As #1 or #2 or #3 but the student is less than diligent and gets into trouble at least one of the worlds and the local law enforcement consider the PCs to be liable for the behaviour/actions.5) It's merely a scam to get a free Jump to the next world.6) The student is actually in the employ of a rival small merchant line trying to get an insight into the movements or actions of the PC's ship or company.----- The Traveller Mailing List Archives at http://archives.simplelists.com/tml Report problems to xxxxxx@simplelists.com To unsubscribe from this list please go to http://archives.simplelists.com
FreeMail powered by mail.de - mehr Sicherheit, Seriosität und Komfort----- The Traveller Mailing List Archives at http://archives.simplelists.com/tml Report problems to xxxxxx@simplelists.com To unsubscribe from this list please go to http://www.simplelists.com/confirm.php?u=7nCbo4nKBtQOpWWDpQ32i3Rs9oYS7IvZ