Formulations of a Carsharing Pricing and Relocation Problem

This article presents and compares two formulations for a pricing-based carsharing relocation problem. Given a target planning period, the problem consists of deciding simultaneously the price of carsharing rides between different zones of the city and the relocations of vehicles to perform to better serve demand. Customers response to pricing decisions are captured by utility functions. Results illustrate that the more compact of the two formulations is superior in terms of ease of solution and scalability.