Charnes Cooper Transformation on Assortment Optimization

Fischkare

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Nov 10, 2023
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Hello guys,
I need help on the Charnes Cooper Transformation. Bildschirmfoto 2023-11-11 um 00.11.18.png
This is my optimization problem in generic form Bildschirmfoto 2023-11-11 um 00.11.01.png
This is the corresponding approach I used from Davis (2008) for now but there's a slight change in my objective function:Bildschirmfoto 2023-11-11 um 00.13.23.png
I'd like to add the factor loss to my objective so how does it change the linearized model then? Thanks for your help!
 
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