Quantity decisions of two-stage competitive location model based on different location modes

Abstract The facility location of a competing firm in market has great importance supply chain management. two-stage competitive model formulates the decision process an entrant facing both and price competition. In this paper, we incorporated quantity as variable into with objective maximized profit. Sequential mode simultaneous were applied to simulate different behavior. We developed approximate branch bound method accelerate optimal searching speed under premise accuracy. Greedy algorithm used two modes. From evaluation, found that is ideal supplement traditional method, especially for problems large-scale potential locations. Compare results modes, when new going enter competition, sequential advantage strategy, since it can gain more profit than mode.