Abstract
The maximum capture (MAXCAP) model and its variants have been widely used to find the maximum capture that a firm can get as it enters a spatial market where there are already existing (competitor's) facilities. While the model obtains the optimal demand capture, it however allows the customers to be assigned to the non-closest facility which may incur additional operating costs. A two stage method can be used that overcomes the drawback of the original model while requiring a negligible extra computational effort. To make the original model mathematically self contained and more concise two revised formulations of the problem RMAXCAP-1 and RMAXCAP-2 are proposed which assure that the customers patronize only their closest entering facilities. These models are tested on different sizes of datasets and their performances are compared.
| Original language | English |
|---|---|
| Pages (from-to) | 281-293 |
| Number of pages | 13 |
| Journal | Journal of Mathematical Modelling and Algorithms |
| Volume | 11 |
| Issue number | 3 |
| DOIs | |
| State | Published - Sep 2012 |
Bibliographical note
Funding Information:This research was partially supported by the Algerian Ministry of Education, PNR (Sciences Fondamentales 8/U160/64), and also by the Ministry of Science and Innovation of Spain under the research project ECO2011-24927, in part financed by the European Regional Development Fund (ERDF), and the Fundacion Seneca under the research project 15254/PI/10
Keywords
- Customer allocation
- Location analysis
- MAXCAP
- Maximum capture model
ASJC Scopus subject areas
- Modeling and Simulation
- Applied Mathematics