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Discretization and resolution of the (r|X p )-medianoid problem involving quality criteria

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Abstract

In this paper an extension of the (r|X p )-medianoid on networks introduced by Hakimi (1983) is studied. In this extension the customer considers not only the distance but some characteristics of the facilities such as store size, quality of service and parking space. A new firm wants to establishr new facilities which have to compete with thep facilities that already exist in the market. The entry firm wants to find their locations and characteristics to maximize profits. Three different customer choice rules (binary, partially binary and proportional preferences) are considered. Some discretization results are obtained and a resolution procedure is proposed. The problem is solved combining a global search algorithm based on a branch and bound procedure with some combinatorial heuristics (greedy, interchange, and tabu search). Some computational experiences are presented.

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Partially supported by Ministerio de Ciencia y Tecnología (Spain) and FEDER, grant BFM2002-04525-C02-01.

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Suárez-Vega, R., Santos-Peñate, D.R. & Dorta-González, P. Discretization and resolution of the (r|X p )-medianoid problem involving quality criteria. Top 12, 111–133 (2004). https://doi.org/10.1007/BF02578927

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