Solving the Huff-Based Competitive Location Model on a Network with Link-Based Demand

Kei-ichi Okunuki () and Atsuyuki Okabe ()

Annals of Operations Research, 2002, vol. 111, issue 1, 239-252

Abstract: This paper shows a computational method for optimizing the location of a store on a network in a competitive environment, assuming that consumers probabilistically choose stores following the Huff model (1963) and that the store can be located on a continuum of a network. This method gives the exact optimal solution with the computational order of n N 2 log n N where n N is the number of nodes of the network. Copyright Kluwer Academic Publishers 2002

Keywords: locational optimization; network; Huff's model; probabilistic choice behavior (search for similar items in EconPapers)
Date: 2002
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DOI: 10.1023/A:1020962005350

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