A Dual Decomposition Method for Minimizing Transportation Costs in Multifacility Location Problems

This paper develops the dual program of the constrained multifacility location problem in which total transportation cost in the system is proportional to the sum of the weighted Euclidean distances between facilities. A decomposition solution method is presented in which the master program is linear and each subprogram is a nonlinear programming problem. Computation results are presented and discussed.