Título: Mixed Integer Optimization for Buyers Combinatorial Coalition Formation
Abstract: Companies often offer wholesale prices that decrease as the size of the purchase increases. However, buyers may not be willing or able to purchase a large size. Therefore, forming groups of buyers can improve bargaining power. In this work, we focus on a mathematical model to form buyer groups optimally where the products are offered in bundles. Mixed-integer programming models for non-increasing price and step price functions are presented. To solve large instances, a Benders decomposition for step price formulation is proposed. Computational experiments showed the efficiency of the method for synthetic instances.