Question: She feels that rent is absolutely the most important factor to be considered, although walk-in traffic is 80% as important as rent. Further, the more
She feels that rent is absolutely the most important factor to be considered, although walk-in traffic is 80% as important as rent. Further, the more distant the new store is from her two existing stores, the better. She weights this factor to be 70% as important as walk-in traffic. Katie developed the following table, in which she graded each site from A to D, with A being best. Which site is preferable?
| Downtown | Shopping Mall | Coral Gables House | |
| Rent | C | D | B |
| Walk-in traffic | C | B | D |
| Distance from existing stores | C | B | A |
To aid in this analysis, we assign a rating to each grade.
| Grade | Rating |
| A | 4 |
| B | 3 |
| C | 2 |
| D | 1 |
Calculate the average weighted score for each location. Assume the weight for rent is 1.
a) The average weighted score for Downtown is ____ (round your response to two decimal places).
b) The average weighted score for Shopping Mall ____ (round your response to two decimal places).
c) The average weighted score for Coral Gables House ____ (round your response to two decimal places).
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
