Revival Policy of a Ruined Firm

Abstract

This article examines the problem of a manager who plans to combat with the disaster of war and epidemic with reducing the social costs simultaneously.  If we move forward to slow policies then it may regulate the effective spread rate of the disease with randomness. We present a comprehensive theoretical analysis demonstrating the formation of the most favourable policy. In all our tests the latter is demonstrated by three different stages: the disaster is first freely affect the units of a firm and damaged it vigorously and then the manager of the firm tries to put up a fight against the disaster and finally a regeneration policy is adopted to revive the damaged units. Stochastic process indicates the premature position of the disease in its first stage with the positions of the boost growing rate of the disaster which is controlled after a long time.