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Two shopping centers (A and B) are attracting customers from four districts C1, C2, C3 and Ca. Shopping center A has 400,000 square feet of

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Two shopping centers (A and B) are attracting customers from four districts C1, C2, C3 and Ca. Shopping center A has 400,000 square feet of selling area whereas center B has 900,000. The customer clusters in the four districts have a buying potential of $10, $7, $8 and $12 million, respectively. Suppose that a company would like to build a new shopping center in the region. They identified two possible locations for the new shopping center (Xi and X2). Selling area of these locations are 500,000 (for X) and 800,000 (for X2) square feet, respectively. They will select one of the locations (X or X2) to build the new shopping center. Please use Huff's Gravity Model to predict the expected demand (sales potential) of the possible locations, one by one. Which location would you recommend to the company? Assume the parameter a is equal to 2. Use the following coordinates given in minutes to find the Euclidean distances between points. Table 3. Coordinates of the locations (in minutes) X Y 15 25 60 5 C3 55 10 55 60 55 15 30 25 X1 X2 45 50 20 45

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