PSU Mark
Eberly College of Science Mathematics Department

Meeting Details

For more information about this meeting, contact Becky Halpenny.

Title:"Control Models of Lehman's 7th Law of Software Engineering in Single and Duoplastic Markets"
Speaker:Jim Fan, Adviser: Chris Griffin, Penn State
This thesis proposes an optimal control model and a differential game model of a firm's costly effort towards product maintenance in the digital software market. Both models analyze a digital vendor's profit maximization problem, where dedication to maintenance is expensive but also increases market share. Through a rumor-spreading state equation explained with a Bass-like model, digital vendors can capture market share by focusing efforts on post-launch product maintenance. We first derive theoretical results expressing market share, the state variable, in terms of effort put towards maintenance, the control variable. We then use numerical examples to illustrate optimal control paths for vendors facing various market conditions. Both models demonstrate that optimal product maintenance always declines over a product's life cycle, consistent with Lehman's 7th law of software evolution. Furthermore, we see that initial market conditions can heavily influence the optimal path to pursue and affect final market share.

Room Reservation Information

Room Number:MB114
Date:03 / 18 / 2016
Time:02:00pm - 04:00pm