Question
Zev's Sporting Goods is looking to expand its chain and is searching for a location for its new store. The chain has narrowed it down
Zev's Sporting Goods is looking to expand its chain and is searching for a location for its new store. The chain has narrowed it down to a suburb of Hampton, a large city with a population of 2 million people. However, not too far away is a smaller city of Gordon, which has a population of 800,000 and is 43 km away. How far can the company assume is the point of indifference measured from Hampton? What other factors should the company consider when choosing the location, as Hampton is a bustling CBD, while Gordon is made up of high-income households. If the average annual household income is $145,000, what other variables should Zev's look at from an index of retail saturation perspective?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started