On the lot-type design problem

We consider the problem of approximating the branch- and size-dependent demand of a fashion discounter with many branches by a distributing process being based on the branch delivery restricted to integral multiples of lots from a small set of available lot-types. We propose a formalized model that arises from a practical cooperation with an industry partner. Besides an integer linear programming formulation, we provide an appropriate primal heuristic for this problem.

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