Competitive location and pricing on networks

Daniel Serra () and Charles Revelle

Economics Working Papers from Department of Economics and Business, Universitat Pompeu Fabra

Abstract: In this paper we consider a location and pricing model for a retail firm that wants to enter a spatial market where a competitor firm is already operating as a monopoly with several outlets. The entering firms seeks to determine the optimal uniform mill price and its servers' locations that maximizes profits given the reaction in price of the competitor firm to its entrance. A tabu search procedure is presented to solve the model together with computational experience.

Keywords: Competitive location; discrete network location; spatial pricing (search for similar items in EconPapers)
JEL-codes: C61 L81 R12 R32 (search for similar items in EconPapers)
Date: 1997-06
New Economics Papers: this item is included in nep-tid
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (13)

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Persistent link: https://EconPapers.repec.org/RePEc:upf:upfgen:219

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