111 9th street NW E-mail: rrubio@research.k&gsport.com
Waco, TX 40385 Date: November 17, 2009
100 Excel Circle NE Phone: (254) 886-0190
Nashville, TN 37201 Fax: (254) 997-0191
Purpose
The purpose of this documentation and city analysis is to
find a city
that is best suited for this company. The four possible locations are
Italy, Paris, Sulpher Springs, and Waco. The cities are graded on four
criteria; Market Size, Labor Pool, Local Taxes, and Operating costs.
Each one of these criteria are then assigned a weight to them that
symbolizes their importance. Each city iss graded on each of these
criteria and given a score. All of the weights equal out to one. The
criteria with the highest weight is Market Size, so it could be said that
this is the most important thing that K&G Sport is looking at. I first
calculated a final score by calculating all the scores given to each of
the cities criteria, by the weight of each criteria. I calculated that
Sulpher Springs yielded the highest score and would be the best suited
location. After completing the calculation i was told that some data had
changed. Waco recieved a score of 6 instead of 5 for the Market Size
criteria. This changed the results, and Waco was now the best location
to set up a store. I inserted graphs to display the data.
Page 1
Cities Analysis
Unweighted Scores
Factor Weight Italy Paris Sulpher Spring Waco
Market Size 0.4 5 4 6 5
Labor Pool 0.2 7 8 4 5
Local Taxes 0.2 4 6 5 6
Operating Costs 0.2 6 4 8 7
Weighted Scores
Factor Italy Paris Sulpher Spring Waco
Market Size 2 1.6 2.4 2
Labor Pool 1.4 1.6 0.8 1
Local Taxes 0.8 1.2 1 1.2
Operating Costs 1.2 0.8 1.6 1.4
Italy Paris Sulpher Spring Waco
Total 5.4 5.2 5.8 5.6
Location Vs.Total Score
Waco, 5.6,
25% Italy, 5.4, 25%
Italy
Paris
Sulpher Spring, Paris, 5.2, 24%
5.8, 26% Sulpher Spring
Waco
Modified Cities Analysis
Unweighted Scores
Factor Weight Italy Paris Sulpher Spring Waco
Market Size 0.4 5 4 6 6
Labor Pool 0.2 7 8 4 5
Local Taxes 0.2 4 6 5 6
Operating Costs 0.2 6 4 8 7
Weighted Scores
Factor Italy Paris Sulpher Spring Waco
Market Size 2 1.6 2.4 2.4
Labor Pool 1.4 1.6 0.8 1
Local Taxes 0.8 1.2 1 1.2
Operating Costs 1.2 0.8 1.6 1.4
Italy Paris Sulpher Spring Waco
Total 5.4 5.2 5.8 6
Total
Waco, 6, 27% Italy, 5.4, 24%
Italy
Paris
Paris, 5.2, 23%
Sulpher Spring,
Sulpher Spring
5.8, 26%
Waco