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The Research and Development Division of the Emax Corporation has developed two new products. A decision to be made on the location where these products

The Research and Development Division of the Emax Corporation has developed two new products. A decision to be made on the location where these products should be products should be produce. management wants primary consideration give two factors: total profit (X) and stability in the workforces (X2)

The next table shows the expected(profit,stability) for each combination and product

student submitted image, transcription available belowstudent submitted image, transcription available below

a) Calculate the Multi-Attribute Utilit for each combination of location/product.

b) Calculate the Expected Utility for each location considering that the probability that the market embrace a high demand for product 1 is 65% and for product 2 is 35%.

Where should the production be located?
 

table shows the expected (Profit, Stat Location for production Brazil Vietnam Product 1 25,4 20,6 Product 2 15,5 30, 2

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