AI RESEARCH

Sequential Service Region Design with Capacity-Constrained Investment and Spillover Effect

arXiv CS.LG

ArXi:2603.08188v1 Announce Type: new Service region design determines the geographic coverage of service networks, shaping long-term operational performance. Capital and operational constraints preclude simultaneous large-scale deployment, requiring expansion to proceed sequentially. The resulting challenge is to determine when and where to invest under demand uncertainty, balancing intertemporal trade-offs between early and delayed investment and accounting for network effects whereby each deployment reshapes future demand through inter-regional connectivity.