Titre :

The Rank Pricing Problem: models and branch-and-cut algorithms

Auteur(s) :

Calvete, Herminia [Auteur]
University of Zaragoza - Universidad de Zaragoza [Zaragoza]
Domínguez, Concepción [Auteur]
Integrated Optimization with Complex Structure [INOCS]
Universidad de Murcia
Galé, Carmen [Auteur]
University of Zaragoza - Universidad de Zaragoza [Zaragoza]
Labbé, Martine [Auteur]
Integrated Optimization with Complex Structure [INOCS]
Graphes et Optimisation Mathématique [Bruxelles] [GOM]
Marín, Alfredo [Auteur]
Departamento de Estadística e Investigación Operativa, Facultad de Matematicas

Titre de la revue :

Computers and Operations Research

Pagination :

12-31

Éditeur :

Elsevier

Date de publication :

2019-05-01

ISSN :

0305-0548

Mot(s)-clé(s) en anglais :

Bilevel Programming
Rank Pricing Problem
Integer Programming
Set Packing
Pricing Problems

Discipline(s) HAL :

Mathématiques [math]/Combinatoire [math.CO]
Informatique [cs]/Recherche opérationnelle [cs.RO]

Résumé en anglais : [en]

One of the main concerns in management and economic planning is to sell the right product to the right customer for the right price. Companies in retail and manufacturing employ pricing strategies to maximize their revenues. ...
Lire la suite >One of the main concerns in management and economic planning is to sell the right product to the right customer for the right price. Companies in retail and manufacturing employ pricing strategies to maximize their revenues. The Rank Pricing Problem considers a unit-demand model with unlimited supply and uniform budgets in which customers have a rank-buying behavior. Under these assumptions, the problem is first analyzed from the perspective of bilevel pricing models and formulated as a non linear bilevel program with multiple independent followers. We also present a direct non linear single level formulation bearing in mind the aim of the problem. Two different linearizations of the models are carried out and two families of valid inequalities are obtained which, embedded in the formulations by implementing a branch-and-cut algorithm, allow us to tighten the upper bound given by the linear relaxation of the models. We also study the polyhedral structure of the models, taking advantage of the fact that a subset of their constraints constitutes a special case of the Set Packing Problem, and characterize all the clique facets. Besides, we develop a preprocessing procedure to reduce the size of the instances. Finally, we show the efficiency of the formulations, the branch-and-cut algorithms and the preprocessing through extensive computational experiments.Lire moins >

Langue :

Anglais

Comité de lecture :

Oui

Audience :

Internationale

Vulgarisation :

Non

Collections :

• Centre de Recherche en Informatique, Signal et Automatique de Lille (CRIStAL) - UMR 9189

Source :

Harvested from HAL