The stochastic p-median problem with unknown cost probability distribution
We want to find the location of p facilities which minimize the expected total cost, when the
cost for using a facility is a stochastic variable with unknown probability distribution. Using
the method of the asymptotic approximations the expected optimal value of the allocation
variables is shown to be a multinomial Logit model.
cost for using a facility is a stochastic variable with unknown probability distribution. Using
the method of the asymptotic approximations the expected optimal value of the allocation
variables is shown to be a multinomial Logit model.
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