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Modeling the Location of Retail Facilities: An Application to the Postal Service

In: Applications of Location Analysis

Author

Listed:
  • Anthony M. Yezer

    (George Washington University)

  • James W. Gillula

    (IHS Economics)

Abstract

There is a substantial theoretical literature on the location of retail facilities in space assuming that the spatial demand curve is known, or that the ideal data needed to estimate such a curve is available. This study shows how to implement a formal location analysis for a retail activity (postal services) when all that is known is revenue of currently operating facilities. Further complications, such as the delivery of retail services through two different types of outlets are also accommodated by the method. In the end, it is possible to implement a formal business model for the delivery of retail postal services that allows the user to simulate the consequences of dramatic changes in the way that those services are supplied to the public.

Suggested Citation

  • Anthony M. Yezer & James W. Gillula, 2015. "Modeling the Location of Retail Facilities: An Application to the Postal Service," International Series in Operations Research & Management Science, in: H. A. Eiselt & Vladimir Marianov (ed.), Applications of Location Analysis, edition 1, chapter 10, pages 243-271, Springer.
  • Handle: RePEc:spr:isochp:978-3-319-20282-2_10
    DOI: 10.1007/978-3-319-20282-2_10
    as

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