The advertising causes a constant fraction of the potential adopter population to adopt each time period. A fraction of these contacts results in the purchase of the new product. Potential adopters come into contact with adopters through social interactions. Adoption of a new product driven by word of mouth is likewise an epidemic.
Potential adopters of a product are influenced into buying the product by advertising and by word of mouth from adopters – those who have already purchased the new product. The model describes a product diffusion process. The first 10 steps will take you through the process of construction of the classic Bass diffusion model. We will create a simple illustrative example - the product life cycle model, used for forecasting sales of new products. It is intended to introduce you to AnyLogic interface and many of its main features. This tutorial will briefly take you through the process of constructing a simulation model using AnyLogic. AnyLogic allows you to create complex dynamic models using standard SD graphical notation. There are many spheres where system dynamics simulation can be successfully applied - the range of SD applications includes business, urban, social, ecological types of systems. This document covers System Dynamics modeling approach. Bass Diffusion Model ĪnyLogic supports different modeling techniques.