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Facility Dependent Distance Decay in Competitive Location

Author

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  • Tammy Drezner

    (California State University-Fullerton)

  • Zvi Drezner

    (California State University-Fullerton)

  • Dawit Zerom

    (California State University-Fullerton)

Abstract

In this paper we propose a simple general framework for obtaining facility dependent distance decay function in competitive location models. As the distance increases, the decay in patronage by more attractive facilities is slower than the decay by less attractive facilities. This implies that by using only the distribution patterns of neighborhoods from which facility’s patrons originated, the facility dependent decay approach implicitly accounts for the varying degrees of facilities’ attractiveness. No modifications are required in order to apply existing solution algorithms to the new model. The effectiveness and accuracy of the new approach is demonstrated using a real data set.

Suggested Citation

  • Tammy Drezner & Zvi Drezner & Dawit Zerom, 2020. "Facility Dependent Distance Decay in Competitive Location," Networks and Spatial Economics, Springer, vol. 20(4), pages 915-934, December.
    • Handle: RePEc:kap:netspa:v:20:y:2020:i:4:d:10.1007_s11067-020-09507-4
    DOI: 10.1007/s11067-020-09507-4
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    References listed on IDEAS

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    7. T Drezner & Z Drezner & P Kalczynski, 2011. "A cover-based competitive location model," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 62(1), pages 100-113, January.
    8. Tammy Drezner & Zvi Drezner, 2004. "Finding the optimal solution to the Huff based competitive location model," Computational Management Science, Springer, vol. 1(2), pages 193-208, July.
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    Cited by:

    1. Tammy Drezner & Morton O’Kelly & Zvi Drezner, 2023. "Multipurpose shopping trips and location," Annals of Operations Research, Springer, vol. 321(1), pages 191-208, February.
    2. Drezner, Zvi & Eiselt, H.A., 2024. "Competitive location models: A review," European Journal of Operational Research, Elsevier, vol. 316(1), pages 5-18.
    3. Tammy Drezner & Zvi Drezner & Dawit Zerom, 2023. "The Obnoxious Competitive Facility Location Model," Networks and Spatial Economics, Springer, vol. 23(4), pages 885-903, December.
    4. Xianyuan Chang & Zhaoping Wu & Yi Chen & Yuanyuan Du & Longfei Shang & Ying Ge & Jie Chang & Guofu Yang, 2021. "The Booming Number of Museums and Their Inequality Changes in China," Sustainability, MDPI, vol. 13(24), pages 1-19, December.
    5. Dolores R. Santos-Peñate & Rafael R. Suárez-Vega & Carmen Florido de la Nuez, 2023. "A Location-allocation Model for Bio-waste Management in the Hospitality Sector," Networks and Spatial Economics, Springer, vol. 23(3), pages 611-639, September.
    6. Zvi Drezner & Dawit Zerom, 2023. "Competitive facility location under attrition," Computational Management Science, Springer, vol. 20(1), pages 1-19, December.

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