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.
Definitions:
Operant Conditioning
An approach to behavior modification that relies on the leveraging of rewards or the infliction of punishments to adjust behavior levels.
Token Economy
A behavior modification system that utilizes tokens as a form of currency for positive behaviors, which can later be exchanged for desired rewards or privileges.
Systematic Desensitization
A type of behavioral therapy used to gradually reduce phobic reactions and anxiety through counterconditioning.
Cognitive Therapy
A form of psychotherapy that focuses on changing unhelpful or unhealthy thought patterns that contribute to emotional distress and mental health issues.
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