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FOB Mill Pricing and Plant Location when Demand is Linear but Non-uniform

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  • Yeung-Nan Shieh

    (Department af Economics, San Jose State University, San Jose, CA 95192, USA and at the University of Alaska, Fairbanks, Alaska)

Abstract

This paper examines the impact of non-uniform linear demand on plant location under FOB mill pricing. It shows that the principle of median location and the Rydell principle fail to apply, and some well-established results in plant location theory no longer hold when demand is linear but non-uniform.

Suggested Citation

  • Yeung-Nan Shieh, 1990. "FOB Mill Pricing and Plant Location when Demand is Linear but Non-uniform," Urban Studies, Urban Studies Journal Limited, vol. 27(5), pages 719-723, October.
    • Handle: RePEc:sae:urbstu:v:27:y:1990:i:5:p:719-723
    DOI: 10.1080/00420989020080681
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    References listed on IDEAS

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    1. Beckmann, Martin J, 1988. "Spatial Price Policy and the Distribution of Scientific Journals," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 22(0), pages 1-7, February.
    2. Martin Beckmann, 1988. "Spatial price policy and the distribution of scientific journals," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 22(1), pages 1-7, February.
    3. JASKOLD GABSZEWICZ, Jean & THISSE, Jacques-François, 1986. "Spatial competition and the location of firms," LIDAM Reprints CORE 713, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    4. Martin J. Beckmann, 1976. "Spatial Price Policies Revisited," Bell Journal of Economics, The RAND Corporation, vol. 7(2), pages 619-630, Autumn.
    5. Shieh, Yeung-Nan, 1989. "The beckmann-zipf effect and plant location under uniform pricing," Economics Letters, Elsevier, vol. 30(1), pages 89-92.
    6. Greenhut, M. L. & Mai, Chao-Cheng & Norman, George, 1986. "Impacts on optimum location of different pricing strategies, market structures and customer distributions over space," Regional Science and Urban Economics, Elsevier, vol. 16(3), pages 329-351, August.
    7. Beckmann, Martin J., 1989. "A note on spatial price policy when demand is linear but non-uniform," Regional Science and Urban Economics, Elsevier, vol. 19(1), pages 103-106, February.
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