An exact algorithm for the network pricing problem

Authors:
L. Brotcorne;F. Cirinei;P. Marcotte;G. Savard
Affiliations:
INRIA Lille Nord Europe, Parc Scientifique de la Haute Borne, 40 Avenue Halley, BAT A Park Plaza 59650 Villeneuve d'Ascq, France;ExPretio, 200 Laurier Street West, Suite 400, Montréal (QC), H2T 2N8, Canada;CIRRELT and Département d'Informatique et de Recherche Opérationnelle, Université de Montréal C.P. 6128, Succursale Centre-Ville, Montréal (QC), H3C 3J7, Canada;GERAD and Département de Mathématiques et de Génie Industriel, Ecole Polytechnique de Montréal C.P. 6079, Succursale Centre-Ville, Montréal (QC), H3C 3A7, Canada
Venue:
Discrete Optimization
Year:
2011

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Abstract

This work focuses on an improved exact algorithm for addressing an NP-hard network pricing problem. The method involves an efficient and partial generation of candidate solutions, a recursive scheme for generating improved upper bounds, and a column generation procedure for solving the network-structured subproblems. Its efficiency is assessed against both randomly generated instances involving three distinct topologies as well as instances based on real life situations in telecommunication and freight transportation.