A New Chance-Constrained Maximum Capture Location Problem
UPF Economics and Business Working Paper No. 661
35 Pages Posted: 16 Jul 2003
The paper presents a new model based on the basic Maximum Capture model, MAXCAP. The New Chance-Constrained Maximum Capture model introduces a stochastic threshold constraint, which recognises the fact that a facility can be open only if a minimum level of demand is captured. A metaheuristic based on MAX-MIN ANT system and TABU search procedure is presented to solve the model. This is the first time that the MAX-MIN ANT system is adapted to solve a location problem. Computational experience and an application to 55-node network are also presented.
Keywords: stochastic location, capture models
JEL Classification: C61, J80
Suggested Citation: Suggested Citation