MARKOWITZ MODEL APPLICATION IN DETERMINING DISCOUNT PROMOTION ON THREE DISCOUNT PRODUCTS

• Main Author: Satria Putera, Danni
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/69288
• Institution: Institut Teknologi Bandung

As business people, individuals or companies will try to increase their business profit for their sustainable business. They will try to do various business attempts or business strategies in order to obtain as much profit as possible. One of way is to do a promotion campaign. With promotion campaign, businessmen will have to spent some money so they will obtain same or more return from the money that they spent. The promotion which one has to spent money in order to gain more as an investment that has a return with its own risk can be classified as an invenstation that has its own return and risk. Obviously every businessmen want to gain the most return while also receiving the lowest risk possible. In this particular optimizing problem, Markowitz Model can be used to solve this problem. Not only it can obtain the most return with its own risk, Markowitz model also can obtain the lowest risk with its own return. Markowitz model can be applicated not only in investation , but will be applied also in marketing with modification as well. In this journal, we will show the Markowitz model’s application both in stock investment and promotion campaign.