The generalized discrete (r|p)-centroid problem

Abstract

The (Formula presented.) -centroid problem or leader–follower problem is generalized considering different customer choice rules where a customer may use facilities belonging to different firms, if the difference in travel distance (or time) is small enough. Assuming essential goods, some particular customer choice rules are analyzed. Linear programming formulations for the generalized (Formula presented.) -medianoid and (Formula presented.) -centroid problems are presented and an exact solution approach is applied. Some computational examples are included.