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Driving innovation convergence?

Companies constantly grapple with ways to accurately model the pricing dynamics of products, leases and other supply-chain problems. Navroz Patel talks to Hewlett-Packard and Ford about how experimental economics and game theory provides an answer

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How can automobile manufacturers understand the interaction between lease agreements that embed an option to buy, and the second-hand car market? And how can hedging be optimised to take into account changes in product demand and pricing due to currency fluctuations? Some tentative answers are being provided by the research of Kay-Yut Chen - a principal scientist at Hewlett-Packard (HP)

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