MAXIMUM PROFIT ENSURED FOR INDUSTRY SUSTAINABILITY
DOI:
https://doi.org/10.26458/2203Keywords:
Lagrange multiplier, profit maximization, Hesian matrixAbstract
This article tries to calculate a maximum profit from sale items of an industry. This study has considered three inputs, such as capital, labor, and raw materials and other inputs for the mathematical analysis of the production procedures of the industry. In the present competitive global economy policy, to survive strongly, there is no alternate of sustainable economy. For the survival of an industry, profit maximization policy is vital. To acquire maximum profit, the production unit of the industry must be run in an efficient way. In this study an attempt has been taken to maximize the profit of an industry using Lagrange multiplier technique by applying necessary and sufficient conditions.References
Balcan, F.-M., Sandholm, T., & Vitercik, E. (2021). Generalization Guarantees for Multi-item Profit Maximization: Pricing, Auctions, and Randomized Mechanisms. arXiv:1705.00243v5[cs.LG]10Apr2021
Baxley, J. V., & Moorhouse, J. C. (1984). Lagrange Multiplier Problems in Economics. The American Mathematical Monthly, 91(7), 404-412.
Cobb, C. W., & Douglass, P. H. (1928). A Theory of Production. American Economics Review, 18(1), 139-165.
Creswell, J. W. (2011). Research Design: Qualitative, Quantitative and Mixed Method Approaches (4th Ed.). Los Angeles: Sage Publications.
Dey, A. K. (2014). Profit Maximization. Business Perspective, 9, 41-49.
Islam, J. N., Mohajan, H. K., & Moolio, P. (2010a). Utility Maximization Subject to Multiple Constraints. Indus Journal of Management & Social Sciences, 4(1), 15-29.
Islam, J. N., Mohajan, H. K., & Moolio, P. (2010b). Output Maximization Subject to a Nonlinear Constraint. KASBIT Business Journal, 4(1), 116-128.
Khatun, T., & Afroze, S. (2016). Relationship between Real GDP and Labour & Capital by Applying the Cobb-Douglas Production Function: A Comparative Analysis among Selected Asian Countries. Journal of Business Studies, XXXVII(1), 113-119.
Legesse, B. (2014). Research Methods in Agribusiness and Value Chains. School of Agricultural Economics and Agribusiness, Haramaya University, Ethiopia.
Mohajan, H. K. (2017a). Optimization Models in Mathematical Economics. Journal of Scientific Achievements, 2(5), 30-42.
Mohajan, H. K. (2017b). Two Criteria for Good Measurements in Research: Validity and Reliability. Annals of Spiru Haret University Economic Series, 17(3), 58-82.
Mohajan, H. K. (2018). Qualitative Research Methodology in Social Sciences and Related Subjects. Journal of Economic Development, Environment and People, 7(1), 23-48.
Mohajan, H. K. (2020). Quantitative Research: A Successful Investigation in Natural and Social Sciences. Journal of Economic Development, Environment and People, 9(4), 52-79.
Mohajan, H. K. (2021a). Estimation of Cost Minimization of Garments Sector by Cobb-Douglass Production Function: Bangladesh Perspective. Annals of Spiru Haret University Economic Series, 21(2), 267-299.
Mohajan, H. K. (2021b). Product Maximization Techniques of a Factory of Bangladesh: A Sustainable Procedure. American Journal of Economics, Finance and Management, 5(2), 23-44.
Mohajan, H. K., Islam, J. N., & Moolio, P. (2013). Optimization and Social Welfare in Economics. Lambert Academic Publishing, Germany.
Moolio, P., Islam, J. N., & Mohajan, H. K. (2009). Output Maximization of an Agency. Indus Journal of Management & Social Sciences, 3(1), 38-50.
Onalan, O., & Basegmez, H. (2018). Estimation of Economic Growth Using Grey Cobb-Douglas Production Function: An Application for US Economy. Journal of Business, Economics and Finance, 7(2), 78-190.
Roy, L., Molla, R. M., & Mohajan, H. K. (2021). Cost Minimization is Essential for the Sustainable Development of an Industry: A Mathematical Economic Model Approach. Annals of Spiru Haret University Economic Series, 21(1), 37-69.
Tripathi, A. (2019). Profit Maximization Theory and Value Maximization Theory. International Journal of Scientific Development and Research, 4(6), 284-289.
Downloads
Additional Files
Published
How to Cite
Issue
Section
License
Copyright (c) 2022 Haradhan Kumar Mohajan
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
