Abstract
In this paper, we study how the two classical location models, the simple plant location problem and thep-median problem, are transformed in a two-stage stochastic program with recourse when uncertainty on demands, variable production and transportation costs, and selling prices is introduced. We also discuss the relation between the stochastic version of the SPLP and the stochastic version of thep-median.
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Louveaux, F.V. Discrete stochastic location models. Ann Oper Res 6, 21–34 (1986). https://doi.org/10.1007/BF02027380
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DOI: https://doi.org/10.1007/BF02027380