A multi-criteria competitive facility location model and its solution

Author

Yu Hongtao ; Gao Liqun ; Wang Yan ; Bao Yan

Author_Institution

Coll. of Inf. Sci. & Eng., Northeastern Univ., Shenyang, China

fYear

2013

fDate

22-25 Oct. 2013

Firstpage

1

Lastpage

4

Abstract

We are concerned with a problem in which a firm wants to set up several facilities in a competitive environment. The goal of the firm is to maximize its market share within its service radius. A new utility function based on market research is proposed and facility attributes, such as size, distance, service radius and price are considered. These factors weights are obtained by using the Analytic Hierarchy Process (AHP) instead of empirical estimate. Furthermore we discuss the application of our models to a case, and ant colony algorithm is used in order to find the optimal solution.

Keywords

analytic hierarchy process; ant colony optimisation; facility location; market research; pricing; AHP; analytic hierarchy process; ant colony algorithm; competitive environment; facility attributes; firm; market research; market share maximization; multicriteria competitive facility location model; price; service radius; utility function; Analytic hierarchy process; Europe; Least squares approximations; Linear programming; Market research; Operations research; Optimization; Analytic Hierarchy Process; Ant Colony Algorithm; Competitive Location; Multi-Criteria;

fLanguage

English

Publisher

ieee

Conference_Titel

TENCON 2013 - 2013 IEEE Region 10 Conference (31194)

Conference_Location

Xi´an

ISSN

2159-3442

Print_ISBN

978-1-4799-2825-5

Type

conf

DOI

10.1109/TENCON.2013.6718861

Filename

6718861