Chapter 17 Part 1 - Chapter 17 Markov Processes Part 1...

Info iconThis preview shows pages 1–6. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 17 Markov Processes – Part 1
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Markov Processes Markov process models are useful in studying the evolution of systems over repeated trials or sequential time periods or stages. Examples: Brand Loyalty Equipment performance Stock performance
Background image of page 2
Markov Processes When utilized, they can state the probability of switching from one state to another at a given period of time Examples: The probability that a person buying Colgate this period will purchase Crest next period The probability that a machine that is working properly this period will break down the next period
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Markov Processes A Markov system (or Markov process or Markov chain) is a system that can be in one of several (numbered) states, and can pass from one state to another each time step according to fixed probabilities. If a Markov system is in state i, there is a fixed probability, p ij , of it going into state j the next time step, and p ij is called a transition probability.
Background image of page 4
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 6
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 12/13/2011 for the course BUAD 346 taught by Professor Staff during the Fall '08 term at University of Delaware.

Page1 / 24

Chapter 17 Part 1 - Chapter 17 Markov Processes Part 1...

This preview shows document pages 1 - 6. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online