Shampooch Is a Mobile Dog Grooming Service Firm That Has

question 14

Essay

Shampooch is a mobile dog grooming service firm that has been quite successful developing a client base in the Dallas area. The firm plans to expand to other cities in Texas during the next few years. Shampooch would like to use its Dallas subscription data shown below to develop a model for forecasting service subscriptions in cities where it might expand. The first step is to estimate values for p (coefficient of innovation) and q (coefficient of imitation). Formulate the appropriate nonlinear program. $$\begin{array} { c c c } \text { Month } & \text { Subscribers St } & \text { Cum. Subscribers } C _ { t } \\1 & 0.42 & 0.42 \\2 & 2.56 & 2.98 \\3 & 3.81 & 6.79 \\4 & 4.47 & 11.26 \\5 & 3.54 & 14.80 \\6 & 2.61 & 17.41 \\7 & 1.90 & 19.31 \\8 & 0.83 & 20.14 \\9 & 0.59 & 20.73\end{array}$$

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