Pricing and revenue maximization over a multicommodity transportation network: the nonlinear demand case |
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| Authors: | Aimé Kamgaing Kuiteing Patrice Marcotte Gilles Savard |
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| Institution: | 1.Department of Mathematics and Industrial Engineering,école Polytechnique de Montréal,Montreal,Canada;2.Department of Computer Science and Operations Research,Université de Montréal,Montreal,Canada |
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| Abstract: | This paper is concerned with the design of efficient exact and heuristic algorithms for addressing a bilevel network pricing problem where demand is a nonlinear function of travel cost. The exact method is based on the piecewise linear approximation of the demand function, yielding mixed integer programming formulations, while heuristic procedures are developed within a bilevel trust region framework. |
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