Solving parameter estimation problem in new product diffusion models

  • Authors:
  • Rudolf Scitovski;Marcel Meler

  • Affiliations:
  • Department of Mathematics, University of Osijek, Trg Lava Mirskog 1, HR-31000 Osijek, Croatia;Department of Economics, University of Osijek, Gajev trg 7 HR-31000 Osijek, Croatia

  • Venue:
  • Applied Mathematics and Computation
  • Year:
  • 2002

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Abstract

In this paper we propose a new method for the parameter identification in new product diffusion models. The method can be used regardless of whether the analytical solution of the differential equation describing the model is known or not. This is the main advantage of our method over the known methods. Another advantage of this method is the simplicity of its implementation and negligible computing time. The method is based on finite differences method and the moving least squares method for data smoothing.