Location Optimization Model for Urban Taxi Service Lots

Urban taxi service lots are the basic facilities need to guarantee the taxi system runs normally. This paper analyzes taxi movement characteristics and considers the unoccupied taxies to be the main service objects. The process of receiving service from lots is regarded as the intermediate process in regards to taxis searching for passengers. Taking driving distance and passenger demand as the two major factors to be considered, this paper puts forward a choice model for simulating the taxi service lot selection process. Further, a location optimization model for taxi service lots is given, with the aim to minimize the total travel distance of unoccupied taxis. Moreover, the numerical example provided show this model has good applicability, an will serve as a good tool in planning the locations of urban taxi service lots.