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A bi-level capacitated P-median facility location problem with the most likely allocation solution

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  • Abareshi, Maryam
  • Zaferanieh, Mehdi

Abstract

In this paper, a bi-level model is introduced to evaluate the capacitated p-median facility location problem with the most likely allocation solution. The classical capacitated p-median problem is considered in the upper-level to minimize the cost of locating facilities and serving demands while a log-based model resulting from the minimum information approach is used in the lower-level to determine the most likely allocation solution based on the available information. Using Lagrangian dual theory, the proposed bi-level problem is reduced to a new one-level nonlinear mixed-integer problem whose solution is obtained by comparing two mixed-integer linear problems. Some numerical examples are provided to illustrate the added value of the proposed model.

Suggested Citation

  • Abareshi, Maryam & Zaferanieh, Mehdi, 2019. "A bi-level capacitated P-median facility location problem with the most likely allocation solution," Transportation Research Part B: Methodological, Elsevier, vol. 123(C), pages 1-20.
    • Handle: RePEc:eee:transb:v:123:y:2019:i:c:p:1-20
    DOI: 10.1016/j.trb.2019.03.013
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