Abstract
Balancing the amount of advertising and content on a Web page affects the profitability of the Web site and its attractiveness to potential visitors. This tradeoff is modelled as a control problem for a Web site manager who is maximizing the net present value of cash flows by controlling the amount of advertising and content displayed on the Web site over its life. The model is calibrated and justified using Web site advertisement and audience data. A new measure of Web site traffic is developed and it is statistically significant in explaining the market value of firms that own advertising supported Web sites.
Original language | English (US) |
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Article number | 994170 |
Pages (from-to) | 2340-2347 |
Number of pages | 8 |
Journal | Proceedings of the Annual Hawaii International Conference on System Sciences |
Volume | 2002-January |
DOIs | |
State | Published - 2002 |
Externally published | Yes |
Keywords
- Advertising
- Animation
- Business
- Content management
- Costs
- Delay
- Electronic commerce
- Profitability
- Traffic control
- Web pages
ASJC Scopus subject areas
- General Engineering