An equipment manufacturer wants to decide on the location of a new facility. Currently, the company has
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An equipment manufacturer wants to decide on the location of a new facility. Currently, the company has a plant in Egypt and a plant in Turkey. The company is deciding where to build a new plant—Morocco or United Arab Emirates. Use the following table to find the total transportation costs for each potential site. Which location should the company select? ki7 WAREHOUSE PLANT SAUDI ARABIA SUDAN TUNISIA CAPACITY Egypt $4 $7 $5 10,000 Turkey $6 $4 $2 20,000 Morocco $3 $6 $4 15,000 United Arab Emirates
$5 $3 $2 15,000 Demand 15,000 10,000 15,000 45,000
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