Efficient solution approaches for a discrete multi-facility competitive interaction model |
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Authors: | Robert Aboolian Oded Berman Dmitry Krass |
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Affiliation: | (1) College of Business Administration, California State University San Marcos, San Marcos, CA 92096, USA;(2) Rotman School of Management, University of Toronto, 105 St. George Street, Toronto, ON, M5S 3E6, Canada |
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Abstract: | In this paper, we present efficient solution approaches for discrete multi-facility competitive interaction model. Applying the concept of “Tangent Line Approximation” presented by the authors in their previous work, we develop efficient computational approaches—both exact and approximate (with controllable error bound α). Computational experiments show that the approximate approach (with small α) performs extremely well solving large scale problems while the exact approach performs very well for small to medium-sized problems. |
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Keywords: | Competitive facility location Spatial interaction models Nonseparable convex knapsack problem Approximation |
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