Solving the multiple competitive facilities location problem

In this paper we propose five heuristic procedures for the solution of the multiple competitive facilities location problem. A franchise of several facilities is to be located in a trade area where competing facilities already exist. The objective is to maximize the market share captured by the franchise as a whole. We perform extensive computational tests and conclude that a two-step heuristic procedure combining simulated annealing and an ascent algorithm provides the best solutions. (C) 2002 Elsevier Science B.V. All rights reserved.