News

 Statistics

Number of Journals34
Number of Issues1,306
Number of Articles9,427
Article View9,188,656
PDF Download5,620,946
(2014). A Bi-Level Competitive Facility Location Model Considering the Reaction of Competitors in the Market, Using the Concept of Compromise. Electronic and Cyber Defense, 16(44), 58-65.
. "A Bi-Level Competitive Facility Location Model Considering the Reaction of Competitors in the Market, Using the Concept of Compromise". Electronic and Cyber Defense, 16, 44, 2014, 58-65.
(2014). 'A Bi-Level Competitive Facility Location Model Considering the Reaction of Competitors in the Market, Using the Concept of Compromise', Electronic and Cyber Defense, 16(44), pp. 58-65.
A Bi-Level Competitive Facility Location Model Considering the Reaction of Competitors in the Market, Using the Concept of Compromise. Electronic and Cyber Defense, 2014; 16(44): 58-65.

A Bi-Level Competitive Facility Location Model Considering the Reaction of Competitors in the Market, Using the Concept of Compromise

مدیریت زنجیره تأمین
Article 6, Volume 16, Issue 44, July 2020, Pages 58-65    PDF (401.12 K)
Receive Date: 19 April 2014,  Revise Date: 05 June 2014,  Accept Date: 24 May 2014 
Abstract
A facility location is said to be competitive when other facilities are present in the market and new facilities have to compete with these existing facilities for a market share. In other words, in a competitive facility location problem we do not see monopoly that exists in classic location models. In such a situation, existing facilities react to locate new facilities by adjusting their attractiveness level with the objective of maximizing their own profits. In this study, we have used Huff's gravity-based rule to model the behavior of the customers where the probability that a customer visit a certain facility is proportional to the facility attractiveness and inversely is related to the distance between customer and that certain facility. Then, the problem is formulated as a bi-level programming model. To solve the model, a solution approach that for the first time provides a compromise between the competitors is proposed. In the solution method, in addition to the competitors, a minimum utility level is considered for customers. Finally, a case from the literature is demonstrated to show the feasibility of the model and solution approach
Keywords
Competitive Facility Location; Bi-Level Programming; Efficient Solution; Facilities Reaction
References

[1] Hotelling, H.," Stability in competition. Economics". 39: p. 41-57.1929.

[2] بشیری، مهدی، حسینی­ جو، سید عباس، حسین ی­نژاد، سید جواد؛ "طراحی سیستم­ های صنعتی (مکان­یابی و استقرار تسهیلات)"، ویرایش دوم، تهران: انتشارات دانشگاه شاهد، 1388.

[3] Drezner, T.,"Locating a single new facility among existing unequally attractive facilities".Journal of Regional Science,. 34: p. 237-252.1994.

[4] Plastria, F. and L. Vanhaverbeke," Discrete models for competitive location with foresight". Computers and Operations Research. 35(3): p. 683-700.2008.

[5] Huff, D.L., "Defining and estimating a trade area". Journal of Marketing Research,. 28: p. 34-38.1964.

[6] Nakanishi, M.C., L.G., "Parameter Estimation for a Multiplicative Competitive". Interaction Model Least Squares Approach. Journal of Marketing Research,. 11: p. 303-311. 1974.

[7] Achabal, D., W. Gorr, and M. V., MULTILOC: "A multiple store location decision model". J Retailing,. 2: p. 5-25. 1982.

[8] Drezner, T., Z. Drezner, and S. Salhi, "Solving the multiple competitive facilities location problem". European Journal of Operational Research,. 142(1): p. 138-151. 2002.

[9] Drezner, T. and Z. Drezner, "Finding the optimal solution to the Huff based competitive location model". Comput Mngt Sci,. 2: p. 193-208. 2004.

[10] Drezner, T. and Z. Drezner, "Multiple facilities location in the plane using the gravity model". Geogr Anal. 38: p. 391-406.2006.

[11] Benati, S. and P. Hansen, "The maximum capture problem with random utilities: Problem formulation and algorithms". European Journal of Operational Research. 143: p. 518-530. 2002.

[12] Aboolian, R., O. Berman, and D. Krass, "Competitive facility location and design problem". European Journal of Operational Research. 182(1): p. 40-62. 2007.

[13] Aboolian, R., O. Berman, and D. Krass, "Competitive facility location model with concave demand". European Journal of Operational Research. 181(2): p. 598-619. 2007.

[14] Drezner, T. and Z. Drezner. "Validating the gravity-based competitive location model using inferred attractiveness". Operations Research. 111: p. 227-237. 2002.

[15] Saidani, N., F. Chu, and H. Chen. "Competitive facility location and design with reactions of competitors already in the market". European Journal of Operational Research. 219(1): p. 9-17.2012.

[16] H., K., N. Aras, and I. Kuban Altinel, Competitive facility location problem with attractiveness adjustment of the follower: A bilevel programming model and its solution. European Journal of Operational Research, 208(3): p. 206-220.2011.

[17] Emam, O.E., "A fuzzy approach for bi-level integer non-linear programming problem". Applied Mathematics and Computation. 172: p. 62-71. 2006.

Statistics
Article View: 1,291
PDF Download: 397