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The study of quasidifferentiable functions is based on the properties of the space of convex sets. One very important concept in convex analysis is that of the gauge of a set. However, the definition of a gauge does not require convexity, and therefore the notion of a gauge can be extended beyond convex sets to a much wider class of sets. In this paper the authors develop a theory of gauge functions and study some properties of star-shaped sets. The results are then used to study nonsmooth extremal problems (of which problems involving quasidifferentiable functions represent a special class).

The space of star-shaped sets and its applications in nonsmooth optimization