H. I. Calvete, C. Galé, A. Hernández, J. A. Iranzo
This research focuses on a facility location problem under a mill pricing policy that integrates customer preferences into the decision-making process. The presence of ties in customer preferences may lead to a not well-posed bilevel problem caused by the possible existence of multiple optima to the lower level problem. Due to the nature of this particular problem, neither the optimistic nor the pessimistic approaches, that are commonly used in the literature to deal with this issue, are adequate. Instead, an intermediate approach that considers customers' rational behavior is adopted. We propose a bilevel formulation for the problem, which in turn can be reformulated into a single level one. Finally, a computational experiment is conducted to assess the performance of solving exactly the reformulated model using off-the-shelf optimization software.
Palabras clave: Facility location problem, Pricing, Customer preferences, Bilevel optimization
Programado
Localización (GELOCA2)
12 de junio de 2025 15:30
MR 3