Patent ID: 7877286

Claim:
A system for implementing a preferred set of prices for a subset of a plurality of products, comprising computer readable media, the system comprising: a database storing initial prices for a plurality of products; a modeling engine creating, using a processor, a demand model for the plurality of products based on Bayesian modeling; a subset generator configured to perform the steps of: designating, using the processor, a subset of products of the plurality of products, wherein the number of products in the subset of products is less than the number of products in the plurality of products, the designating a subset of products comprising: generating a set of candidate products of the plurality of products; designating a number N; determining which N products of the candidate products have the largest impact on a business objective by solving an integer problem, wherein the business objective is at least one of profit maximization, and sales volume goal; and selecting no more than N products of the plurality of products to form the subset of products using the determination of which N products have the largest impact on the business objective; an optimizer optimizing prices for products in the subset of products, using the created demand model, while maintaining the initial prices of products of the plurality of products that are not in the subset of products, wherein the optimization includes relaxation of constraints; and an interface reporting the optimized prices of the subset of products for price setting, wherein the price setting establishes the amount of money consumers pay for each product of the subset of product.