Nash Equilibria in Network Facility Location Under Delivered Prices

摘要: This paper addresses a location-price problem on transportation network. We suppose that the competing firms select their facility locations, and then they compete delivered prices with aim of profit maximization. The sell an homogeneous product customers buy from one offers lowest price. Under some general conditions, for any locations facilities, existence unique price equilibrium is shown. Then location reduced to game if set prices. this study number which locate multiple facilities. For essential products, it proved global minimizers social cost are Nash equilibria. In particular, there exists at least minimizer nodes network marginal costs concave. case, Integer Linear Programming (ILP) formulation proposed minimize cost. non may not be best response algorithm find equilibrium. If concave, ILP given maximization firm, assuming its competitors fixed. Finally, selection when equilibria discussed.