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- 1. What is the right business location? 2. What are the general criteria in selecting business location? Note: Please cite your reference1. Using the center-of-gravity method, compute the centralized coordinates among the following locations, which are indicated via black cells with white text in LOCATION.xlsx: 7,1 10,1 4,2 2,5 6,6 9,6 2,8 6,10 2. Using the weighted average center-of-gravity, which accounts for quantities to be shipped from locations, compute the centralized coordinates among the following locations: 7,1 10,1 4,2 2,5 6,6 9,6 2,8 6,10 *Quantities to be shipped are listed within the existing locations (i.e. Location 7,1 ships 17 units) in LOCATION.xlsxAccel Express, Inc., collected the following information on where to locate a warehouse (1 = poor, 10 = excellent): Location Score Location Factor Factor Weight A B Construction costs 10 8 5 Utilities available 10 7 7 Business services 10 4 7 Real estate cost 20 7 4 Quality of life 20 4 8 Transportation 30 7 6 a. Which location, A or B, should be chosen on the basis of the total weighted score?b. If the factors were weighted equally, would the choice change?
- Xun Xu Health and Fitness has several productionfacilities scattered around the central and northern pa rt ofIowa. It would be desirable to have a distribution center fromwhich to send product to retailers such as Sears, WaiMart,Kmart, and large sporting equipment re tailers. Using the datain the following table, calculate the center of gravity locationfor the proposed new facility.A supply chain manager faced with choosing among four possible locations has assessed each location according to the following criteria, where the weights reflect the importance of the criteria. 2 3 4 -Select- is the best location and -Select- -Select- Location 1 Location 2 Location 3 Location 4 Criteria Raw material availability Infrastructure Transportation costs Using this information, determine the best and the worst location. Round your answers to two decimal places. Location Total Points 1 is the worst location. Labor relations Quality of life Weight 0.11 0.13 0.23 0.23 0.30 1 VG G P G G W Location 2 OK OK OK P VG 3 OK VG OK VG G VG Very good 5 pts; G = Good 4 pts; OK = Acceptable 3 pts; P = Poor 1 pt. 4 OK OK G VG OKEvaluating location alternatives by comparing their composite(weighted-average) scores involvesa) factor-rating analysis.b) cost–volume analysis.c) transportation model analysis.d) linear regression analysis.e) crossover analysis.
- A manager received an analysis of several cities being considered for a new office complex. The data (10 points maximum) are as follows: Factor Business services Community services Real estate cost Construction costs Cost of living Taxes Transportation A с Thus, Location Score A A B с Thus, 17 17 17 8 6 4 3 2 8 9 B 6 6 Click here for the Excel Data File a. If the manager weights the factors equally, how would the locations stack up in terms of their composite factor rating scores? 8 7 7 19 19 19 5 7 is/are the best. C 6 7 7 6 8 b. If business services and construction costs are given weights that are double the weights of the other factors, how would the locations stack up? is/are best and 4 8 is/are least desirable.Dennison Manufacturing makes large helical springs used inaircraft landing gear. The company has narrowed its potentialchoices for its new manufacturing facility to four cities. Thefollowing information is known about the manufacturing andshipping costs of locating in each of these four cities: a. Use break-even point analysis to determine where Den-nison should locate.b. Based solely on break-even quantity, if Dennison’s manu-facturing forecast for the foreseeable future is 40,000 unitsannually, where should he locate?A newly formed firm must decide on a plant location. There are two alternatives under consideration: locate near the major raw materials or locate near the major customers. Locating near theraw materials will result in lower fixed and variable costs than locating near the market, but theowners believe there would be a loss in sales volume because customers tend to favor local suppliers. Revenue per unit will be $185 in either case. Using the following information, determinewhich location would produce the greater profit.Omaha Kansas CityAnnual fixed costs ($ millions) $1.2 $1.4Variable cost per unit $36 $47Expected annual demand (units) 8,000 12,000
- A food manufacturer wants to locate a warehouse to serve its major The customers, annual volume, and the X and Y coordinates are shown in the table below. Customer Annual Volume X-Coordinate Y-Coordinate Judy inc. 25 3 7 Zac Supermarket 13 5 2 Harry Inc. 6 8 4 Sky Productions 4 1 5 Using the center of gravity location technique, determine the location coordinates that will minimize the transportation costs for their family of products.The Zhao family of Atlanta, Georgia, is planning its annual summer vacation. Three vacation locations along with criteria weights and location ratings follow. What is the recommended vacation location? Criteria Travel distance Vacation Entertainment available Outdoor activities Unique experience Family fun O Myrtle Beach, South Carolina OSmoky Mountains Branson, Missouri Weight 2 5 3 2 4 5 Myrtle Beach, South Carolina 5 5 7 9 5 8 Ratings Smoky Mountains 9 6 4 6 9 9 Branson, Missouri 3 8 4 5 9 8For each of the four types of organizations shown, rate the importance of each factor in terms ofmaking location decisions using L = low importance, M = moderate importance, and H = highimportance.Factor Local Bank Steel Mill Food Warehouse Public SchoolConvenience for customersAttractiveness of buildingNearness to raw materialsLarge amounts of powerPollution controlsLabor cost and availabilityTransportation costsConstruction costs