Application of a nonlinear optimization model subject to constraints for the optimization of department store layouts

Abstract

Thanks to the linear relationship between a department's productivity and its sales floor space, it is possible
to construct a quadratic equation that provides the Total Gross Profit of a Department Store, for which a maximum
can easily be found through differentiation. However, the objective function must be subject to restrictions in
order to obtain real-world solutions, so the Lagragne multiplier technique is used to solve the problem.