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A robust and efficient algorithm for planar competitive location problems

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In this paper we empirically analyze several algorithms for solving a Huff-like competitive location and design model for profit maximization in the plane. In particular, an exact interval branch-and-bound method and a multistart heuristic already proposed in the literature are compared with uego (Universal Evolutionary Global Optimizer), a recent evolutionary algorithm. Both the multistart heuristic and uego use a Weiszfeld-like algorithm as local search procedure. The computational study shows that uego is superior to the multistart heuristic, and that by properly fine-tuning its parameters it usually (in the computational study, always) find the global optimal solution, and this in much less time than the interval branch-and-bound method. Furthermore, uego can solve much larger problems than the interval method. Copyright Springer Science+Business Media, LLC 2009

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  • J. Redondo & J. Fernández & I. García & P. Ortigosa, 2009. "A robust and efficient algorithm for planar competitive location problems," Annals of Operations Research, Springer, vol. 167(1), pages 87-105, March.
    • Handle: RePEc:spr:annopr:v:167:y:2009:i:1:p:87-105:10.1007/s10479-007-0233-x
    DOI: 10.1007/s10479-007-0233-x
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    1. Pierre Hansen & Dominique Peeters & Denis Richard & Jacques-Francois Thisse, 1985. "The Minisum and Minimax Location Problems Revisited," Operations Research, INFORMS, vol. 33(6), pages 1251-1265, December.
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    3. Hansen, Pierre & Mladenovic, Nenad, 2001. "Variable neighborhood search: Principles and applications," European Journal of Operational Research, Elsevier, vol. 130(3), pages 449-467, May.
    4. Drezner, Tammy & Drezner, Zvi & Salhi, Said, 2002. "Solving the multiple competitive facilities location problem," European Journal of Operational Research, Elsevier, vol. 142(1), pages 138-151, October.
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    6. Erkut, Erhan & Neuman, Susan, 1989. "Analytical models for locating undesirable facilities," European Journal of Operational Research, Elsevier, vol. 40(3), pages 275-291, June.
    7. 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.
    8. Plastria, Frank, 1992. "GBSSS: The generalized big square small square method for planar single-facility location," European Journal of Operational Research, Elsevier, vol. 62(2), pages 163-174, October.
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    1. Redondo, Juana L. & Fernández, José & Arrondo, Aránzazu G. & García, Inmaculada & Ortigosa, Pilar M., 2012. "Fixed or variable demand? Does it matter when locating a facility?," Omega, Elsevier, vol. 40(1), pages 9-20, January.

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