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Leader-Follower Models in Facility Location

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Spatial Interaction Models

Part of the book series: Springer Optimization and Its Applications ((SOIA,volume 118))

Abstract

Facility location models deal, for the most part, with the location of plants, warehouses, distribution centers, retail facilities among others. In this chapter we review the game theoretical concept of the leader-follower in facility location models which addresses specific circumstances: (i) competitive location of two facilities anywhere on the plane; (ii) covering a large area by chain facilities so that a future competitor will not be able to attract much demand; (iii) competitive location of two facilities applying the gravity (Huff) rule; (iv) competitive location of multiple facilities using the cover-based rule; and (v)locating facilities on the nodes of a network to cover as much demand as possible following a removal of a link by a follower.

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Notes

  1. 1.

    Environmental Systems Research Institute, supplier of GIS software such as ArcGIS, ArcView.

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  1. California State University, Fullerton, CA, USA

    Tammy Drezner & Zvi Drezner

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  1. Tammy Drezner
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  2. Zvi Drezner
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  1. Department of Mathematics and Applications, University of Naples Federico II, Napoli, Italy

    Lina Mallozzi

  2. Department of Industrial and Information Engineering, Second University of Naples, Aversa, Italy

    Egidio D'Amato

  3. Department of Industrial and Systems Engineering, University of Florida, Gainesville, Florida, USA

    Panos M. Pardalos

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Drezner, T., Drezner, Z. (2017). Leader-Follower Models in Facility Location. In: Mallozzi, L., D'Amato, E., Pardalos, P. (eds) Spatial Interaction Models . Springer Optimization and Its Applications, vol 118. Springer, Cham. https://doi.org/10.1007/978-3-319-52654-6_5

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