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A branch-and-cut algorithm for the discrete (r∣p)-centroid problem

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  • Roboredo, Marcos Costa
  • Pessoa, Artur Alves

Abstract

The environment of the (r∣p)-centroid problem is composed of two noncooperative firms, a leader and a follower, competing to serve the demand of customers from a given market. The demand of each customer is totally served by a facility of the leader or follower according to a customer choice rule. The goal of both the leader and the follower is to maximize its own market share. The (r∣p)-centroid problem consists of deciding where the leader should place p facilities knowing that the follower will react by placing r facilities. The discrete version of the problem is a ∑2p-hard one, where both the applicant facilities and the customers are nodes on a graph. In spite of it, we present an integer programming formulation with polynomially many variables and exponentially many constraints. Moreover, we report several experiments with different number of customers and applicant facilities and different values of p and r. Our results show that our method requires less computational time than the two exact algorithms found in the literature, being able to optimally solve 29 previously open instances with up to 100 customers, 100 applicant facilities and p=r=15.

Suggested Citation

  • Roboredo, Marcos Costa & Pessoa, Artur Alves, 2013. "A branch-and-cut algorithm for the discrete (r∣p)-centroid problem," European Journal of Operational Research, Elsevier, vol. 224(1), pages 101-109.
  • Handle: RePEc:eee:ejores:v:224:y:2013:i:1:p:101-109
    DOI: 10.1016/j.ejor.2012.07.042
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    References listed on IDEAS

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    4. Noltemeier, H. & Spoerhase, J. & Wirth, H.-C., 2007. "Multiple voting location and single voting location on trees," European Journal of Operational Research, Elsevier, vol. 181(2), pages 654-667, September.
    5. Kress, Dominik & Pesch, Erwin, 2012. "Sequential competitive location on networks," European Journal of Operational Research, Elsevier, vol. 217(3), pages 483-499.
    6. Campos Rodriguez, Clara M. & Moreno Perez, Jose A., 2003. "Relaxation of the Condorcet and Simpson conditions in voting location," European Journal of Operational Research, Elsevier, vol. 145(3), pages 673-683, March.
    7. Eiselt, H. A. & Laporte, Gilbert, 1997. "Sequential location problems," European Journal of Operational Research, Elsevier, vol. 96(2), pages 217-231, January.
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    Cited by:

    1. repec:eee:ejores:v:265:y:2018:i:3:p:872-881 is not listed on IDEAS
    2. repec:spr:annopr:v:246:y:2016:i:1:d:10.1007_s10479-015-1793-9 is not listed on IDEAS
    3. Ekaterina Alekseeva & Yury Kochetov & Alexandr Plyasunov, 2015. "An exact method for the discrete $$(r|p)$$ ( r | p ) -centroid problem," Journal of Global Optimization, Springer, vol. 63(3), pages 445-460, November.
    4. Zhang, Ying & Snyder, Lawrence V. & Ralphs, Ted K. & Xue, Zhaojie, 2016. "The competitive facility location problem under disruption risks," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 93(C), pages 453-473.
    5. Ivan Davydov & Yury Kochetov & Alexandr Plyasunov, 2014. "On the complexity of the (r|p)-centroid problem in the plane," TOP: An Official Journal of the Spanish Society of Statistics and Operations Research, Springer;Sociedad de Estadística e Investigación Operativa, vol. 22(2), pages 614-623, July.
    6. repec:eee:ejores:v:262:y:2017:i:2:p:449-463 is not listed on IDEAS

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