Please use this identifier to cite or link to this item:
Title: Alternate solution approaches for competitive hub location problems
Authors: Tiwari, Richa
Jayaswal, Sachin
Sinha, Ankur
Keywords: Competitive Hub - Spoke Network;Non-Linear Integer Program;Kelly - Cutting Plane;Second Order Conic Program;Lagrangian Relaxation
Issue Date: 2019
Publisher: Indian Institute of Management Ahmedabad
Abstract: In this paper, we study the hub location problem of an entrant airline that tries to maximize its share in a market with already existing competing players. The problem is modelled as a nonlinear integer program, which is intractable for off-the-shelf commercial solvers, like CPLEX and Gurobi, etc. Hence, we propose four alternate approaches to solve the problem. The first among them uses the Kelly’s cutting plane method, the second is based on a mixed integer second order conic program reformulation, the third uses the Kelly’s cutting plane method within Lagrangian relaxation, while the fourth uses second order conic program within Lagrangian relaxation. The main contribution of this paper lies in the fourth approach, which along with refinements is the most efficient. Many of the problem instances that were not solvable using standard techniques, like the Kelly’s cutting plane method, have been solved in less than 2 hours of CPU time within 1% optimality gap.
Appears in Collections:Working Papers

Files in This Item:
File Description SizeFormat 
WP_2019_12_01.pdfWP_2019_12_01373.17 kBAdobe PDFView/Open

Items in IIMA Institutional Repository are protected by copyright, with all rights reserved, unless otherwise indicated.