Competitive location strategies for two facilities
TL;DR: In this paper, the problem of locating a facility when competition from another facility is taken into consideration is addressed, and two problems are addressed here: 1) the location of a new facility that will attract the most buying power from an existing facility and 2) the best location of competing facility to be set up in the future.
About: This article is published in Regional Science and Urban Economics.The article was published on 1982-11-01 and is currently open access. It has received 144 citations till now. The article focuses on the topics: Facility management.
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TL;DR: A survey of over 50 representative problems in location research can be found in this paper, where the authors focus on problems for which operations research-type models have been developed, and most of the problems have been formulated as optimization problems.
Abstract: We present a survey of over 50 representative problems in location research. Our goal is not to review all variants of different location models or to describe solution results, but rather to provide a broad overview of major location problems that have been studied, indicating briefly how they are formulated and how they relate to one another. We review standard problems such as median, center, and warehouse location problems, as well as less traditional location problems which have emerged in recent years. Our primary focus is on problems for which operations research-type models have been developed. Most of the problems we review have been formulated as optimization problems.
542 citations
TL;DR: In this paper, the authors provide a review of the competitive supply chain network design literature and highlight the effects of competitive environment on SCND, and develop a general framework for modeling the competitive SCND problems considering managerial insight and propose potential areas for future research.
Abstract: Supply chain network design (SCND) determines the structure of a chain and affects its costs and performance. SCND deals with a variety of decisions such as determining number, size and location of facilities in a supply chain (SC) and may include tactical decisions (such as distribution, transportation and inventory management policies) as well as operational decisions (such as fulfilling customers demand). SCND has a voluminous literature. Most of the literature deals with a single SC and ignores the existing competitor SCs and future emerging ones. However, SCs compete together to capture more market shares. Even if there is not any competitor at the moment, SCs should be prepared for possible future competitive situation at the SCND stage. On the other hand, many competitive models assume that the supply chain network (SCN) and its structure already exist. Few research papers consider both aspects of design and competition. In this paper, we provide a review of SCND literature and highlight the effects of competitive environment on SCND. We review, classify, and introduce the major features of the proposed models in both SCND and competition literature. After investigating proposed competitive SCND models we develop a general framework for modeling the competitive SCND problems considering managerial insight and propose potential areas for future research.
367 citations
TL;DR: The sensitivity of the basic model is emphasized, i.e., the changes that occur when assumptions are dropped or replaced by others, and a number of issues that have, at least so far, not been addressed are addressed.
147 citations
TL;DR: An Ω(n logn) lower bound is proved for these problems under appropriate models of computation for a set ofn demand points with weightWi,i = 1,2,...,n, in the plane.
Abstract: Given a set ofn demand points with weightWi,i = 1,2,...,n, in the plane, we consider several geometric facility location problems. Specifically we study the complexity of the Euclidean 1-line center problem, discrete 1-point center problem and a competitive location problem. The Euclidean 1-line center problem is to locate a line which minimizes the maximum weighted distance from the line (or the center) to the demand points. The discrete 1-point center problem is to locate one of the demand points so as to minimize the maximum unweighted distance from the point to other demand points. The competitive location problem studied is to locate a new facility point to compete against an existing facility so that a certain objective function is optimized. An Ω(n logn) lower bound is proved for these problems under appropriate models of computation. Efficient algorithms for these problems that achieve the lower bound and other related problems are also given.
122 citations
Cites methods from "Competitive location strategies for..."
...Drezner [4] studied the problem and gave an O(n log n) algorithm....
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TL;DR: This paper performs extensive computational tests and concludes that a two-step heuristic procedure combining simulated annealing and an ascent algorithm provides the best solutions for the solution of the multiple competitive facilities location problem.
120 citations
Cites background from "Competitive location strategies for..."
...Drezner (1982) solved the single facility location problem in the plane....
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References
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TL;DR: In this paper, it was shown that if the purveyor of an article gradually increases his price while his rivals keep theirs fixed, the diminution in volume of his sales will in general take place continuously rather than in the abrupt way which has tacitly been assumed.
Abstract: After the work of the late Professor F. Y. Edgeworth one may doubt that anything further can be said on the theory of competition among a small number of entrepreneurs. However, one important feature of actual business seems until recently to have escaped scrutiny. This is the fact that of all the purchasers of a commodity, some buy from one seller, some from another, in spite of moderate differences of price. If the purveyor of an article gradually increases his price while his rivals keep theirs fixed, the diminution in volume of his sales will in general take place continuously rather than in the abrupt way which has tacitly been assumed.
7,932 citations
2,032 citations
TL;DR: In this paper, a model of firm competition for the selling of homogeneous product along a linear market is presented, with assumptions on the competition model; description of the one-dimensional market; Equilibrium of firms.
Abstract: Focuses on a model of firm competition for the selling of homogenous product along a linear market. Assumptions on the competition model; Description of the one-dimensional market; Equilibrium of firms. (Из Ebsco)
549 citations
TL;DR: In this article, the authors studied the problem of finding a vertex such that the sum of the weights of the verticles in V (Y r ) is maximized, where V ( Y r ) = { νeV | d ( ν, Y r) d( ν, X p )}, d (ν, Z ) = min { d (λ, z )| zeZ }, and d(λ, z ) is the length of a shortest path in G from v to z.
331 citations
"Competitive location strategies for..." refers background in this paper
...Another point of view: the Stackelberg equilibrium, was recently suggested by Hakimi (1981) for location problems on a network. in this paper we solve the Stackelberg equilibrium on the plane....
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