Question: Your company is developing a medical device that will define a new market. You have been tasked with generating a Bass diffusion model that could
Your company is developing a medical device that will define a new market. You have been tasked with generating a Bass diffusion model that could be used to give your company some insight into the possible growth patterns of this market. You get started by finding an analogous device that also defined a new market and capture yearly sales data for this device, as shown in the table below:
tableYearSales per year
a Using the sales per year data provided, and regression techniques, estimate the initial probability of adoption, diffusion rate, and market size. Hint: The general form of the model that you will want to use is shown below, where reflects the cumulative sales to the given time period.
b Create plots for the sales per year as a function of years, and the cumulative sales
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
