Allocating procurement to capacitated suppliers with concave quantity discounts
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We consider a procurement problem where suppliers offer concave quantity discounts. The resulting continuous knapsack problem involves the minimization of a sum of separable concave functions. We identify polynomially solvable special cases of this NP-hard problem, and provide a fully polynomial-time approximation scheme for the general problem. 2007 Elsevier B.V. All rights reserved.