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Gradual cover competitive facility location

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Abstract

A new gradual cover competitive facility location model is proposed and tested. In cover competitive models, it is assumed that up to a certain distance a demand point is attracted to a facility and beyond this distance it is not. The decline in attraction and cover is abrupt. It is either 0 or 1. We propose a gradual decline in attraction from 1 to 0. As the distance increases the attraction and cover decline. The buying power captured by a facility cannot exceed its attraction level, and the total buying power captured by all facilities cannot exceed the buying power available at the demand point. The single-facility location is optimally solved. The largest problem of 1000 demand points is solved in less than one second. The multiple facility version is solved by SNOPT and other solvers.

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Notes

  1. We are thankful to Atsuo Suzuki and Kokichi Sugihara for the Delaunay triangulation Fortran program based on Ohya et al. (1984), Sugihara and Iri (1994).

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Authors and Affiliations

  1. Steven G. Mihaylo College of Business and Economics, California State University-Fullerton, Fullerton, CA, 92834, USA

    Tammy Drezner, Zvi Drezner & Pawel Kalczynski

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  1. Tammy Drezner
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  2. Zvi Drezner
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  3. Pawel Kalczynski
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Correspondence to Zvi Drezner.

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Drezner, T., Drezner, Z. & Kalczynski, P. Gradual cover competitive facility location. OR Spectrum 42, 333–354 (2020). https://doi.org/10.1007/s00291-020-00585-x

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