In distribution system with product differentiation

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review


This study is concern with the development of model to determine the optimal flow of distribution system of a Public Service Obligation state-owned company in order to maximize its profit. Basic form of the model is minimum cost flow (MCF) problem which is composed of production cost, transportation cost and revenue. The particular issue considered in the proposed model is the split of demand into public demand and commercial one. Public demands have to be fully satisfied, while the commercial ones are satisfied in case of excess plant capacity exists. MCF problem is approached by network representation (NR). Some dummy links and nodes are added to the physical distribution network to represent all model's components. In order to guarantee the equivalency of total supply and demand, we add Excess Supply/Demand Control Subnetwork into basic NR. Modified primal-dual algorithm is utilized to solve MCF problem of such NR.

Original languageEnglish
Title of host publicationProceedings of the 14th HKSTS International Conference
Subtitle of host publicationTransportation and Geography
Number of pages10
Publication statusPublished - 2009
Event14th HKSTS International Conference: Transportation and Geography - Kowloon, Hong Kong
Duration: 10 Dec 200912 Dec 2009

Publication series

NameProceedings of the 14th HKSTS International Conference: Transportation and Geography


Conference14th HKSTS International Conference: Transportation and Geography
Country/TerritoryHong Kong


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