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Production‐location problems with demand considerations

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  • Enrique R. Venta
  • Arthur P. Hurter

Abstract

The production‐location problem of a profit maximizing firm is considered. A model is developed for a single firm, facing the joint problems of determining the optimal plant location, the optimal input mix, and the optimal plant size. A homothetic production function is used as the model of the production technologies, and the existence of a sequential “separability” between the production, or input mix, problem and the location problem is demonstrated.

Suggested Citation

  • Enrique R. Venta & Arthur P. Hurter, 1985. "Production‐location problems with demand considerations," Naval Research Logistics Quarterly, John Wiley & Sons, vol. 32(4), pages 625-630, November.
    • Handle: RePEc:wly:navlog:v:32:y:1985:i:4:p:625-630
    DOI: 10.1002/nav.3800320409
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