Stability of utility functions and apportionment rules in location models

H. A. Eiselt () and Vladimir Marianov ()
Additional contact information
H. A. Eiselt: University of New Brunswick
Vladimir Marianov: Instituto Sistemas Complejos de Ingeniería (ISCI), Pontificia Universidad Católica de Chile

TOP: An Official Journal of the Spanish Society of Statistics and Operations Research, 2020, vol. 28, issue 3, No 12, 772-792

Abstract: Abstract This paper investigates how demand is apportioned to facilities by customers, given that they apply one of a number of utility functions according to which they satisfy their demand at the facilities. After delineating the basic decision-making process, a number of reasonable assumptions are formulated regarding the behavior of the utility functions after a scaling of their different parameters. The individual apportionment rules are examined so as to whether or not they satisfy these assumptions. The results are of importance for decision-makers that must use these utility functions when facing locational decisions.

Keywords: Competitive location; Market share; Customers' preferences; Apportionment rules analysis; 90B80; 91B42 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://link.springer.com/10.1007/s11750-020-00569-8 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:topjnl:v:28:y:2020:i:3:d:10.1007_s11750-020-00569-8

Ordering information: This journal article can be ordered from
http://link.springer.de/orders.htm

DOI: 10.1007/s11750-020-00569-8

Access Statistics for this article

TOP: An Official Journal of the Spanish Society of Statistics and Operations Research is currently edited by Juan José Salazar González and Gustavo Bergantiños

More articles in TOP: An Official Journal of the Spanish Society of Statistics and Operations Research from Springer, Sociedad de Estadística e Investigación Operativa
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().