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Optimization
Definition: the action of making the best or most effective use of a business situation or resource. Multiple techniques allow for decisions to be made using logical math.
Linear Optimization- Aka Linear Programming was developed during WWII. The model applies the simplex method as a solution procedure, which in turn guarantees finding a global optimum whenever an optimum of any kind exists.
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*When given the choice linear formulation is the most ideal*
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Non-Linear Optimization- At least one term in the objective function or the constraint is non-linear. Example in quadratic or trigonometric equations. A quantity of a product demanded is a non-linear variable to the price/cost.
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