A Clothing Chain Is Considering Two Different Locations for a New

question 94

Essay

A clothing chain is considering two different locations for a new retail outlet. The organization has identified the four factors listed in the following table as the basis for evaluation, and has assigned weights as shown on the right side of this table. The manager has rated each location on each factor, on a 100-point basis (higher scores are better), as shown in the right-hand table.
a. Calculate the composite score for each alternative location.
b. Which site should be chosen?
c. Are you concerned about the sensitivity and subjectivity of this solution? Comment.
$$\begin{array} { | l | r | r | r | } \hline & \text { Weight } & { \text { Kelowna } } & \text { Vernon } \\\hline \text { Income } & 0.5 & 82 & 61 \\\hline \text { Growth } & 0.3 & 78 & 92 \\\hline \text { Public Transit } & 0.08 & 47 & 78 \\\hline \text { Labour Cost } & 0.12 & 77 & 53 \\\hline\end{array}$$

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Definitions:

Consumers

Individuals or groups that purchase goods or services for personal use and not for manufacture or resale.

Commercial Ventures

Business projects or enterprises initiated with the intent to make a profit, often by meeting consumer needs or offering innovative products.

User Trends

Patterns or changes in consumer behavior, often analyzed within digital platforms to understand preferences, usage, and engagement over time.

LGBTQ Community

refers to the collective of individuals who identify as lesbian, gay, bisexual, transgender, queer, or questioning, along with their allies.