Location-spatial intreaction models: 2. Competition between independent firms

The sizes and locations of an arbritrary number of retail stores in oligopolistic competition are sought through a representation and solution of an <i>N</i>-centre profit-maximising model. The Nash - Cournot equilibrium states, which correspond to this competitive configuration are determined under variation in the number of stores and the parameters which govern spatial behaviour of consumers. This allows a comparison to be made of configurations generated by competitive processes with those which maximise consumer benefits. The relationship between profits and store numbers is explored theoretically and numerically.