A major retailer is planning to build a new distribution warehouse in the Midlands. Five possible sites have been identied: Alverscombe, Beneld, Cadthorpe, Derrington and Eltin. The choice of site will be based on four attributes: 0 Costs ii) Distance from nearest motonlvay iii) Availability of a local labour force and iv) Scope for future expansion. The costs have been discounted to present value, while scores have been assigned to the options to measure their performance on the non-monetary attributes (100= best on that attribute, 0 = worst). The results are shown below. m Distance Labour Expansion $m m -a m .1m The retailer was asked to consider a hypothetical site that was optimal for each factor. She was then asked, if she could improve the site so that its performance on just one of these attributes was equivalent to the best option on that attribute, which attribute would she choose? She indicated that improving the scope for expansion from the motonrvay was the most desirable change. Similar improvements to distance and labour availability were respectively considered to be 40% and 10% as desirable as the improvement in distance. a) Calculate the swing weights and normalized weights for the drivers (Distance, Labour, and Expansion. b) The retailer has provided information that can be used to obtain swing weights for the three non-monetary attributes. What would have been the danger of using weights based simply on the decision-maker's view of the relative importance of the attributes and how do swing weights overcome this danger? c) Aggregate scores for each site d) Identify the site (or sites) on the efcient frontier. e) If a site had the worst scope for expansion, the retailer would be prepared to pay an extra $4m to improve the site so that it had the best scope for expansion, all else remaining equal. Identify the site that the retailer should choose. Explain your decision. Fill in the table based on your decisionsl Extra Cost Extra Benet Cost . er Benet