Question & Answer: Subway, with more than 20,000 outlets in the U.S., is planning for a new restaurant in Buffalo, New…..

Subway, with more than 20,000 outlets in the U.S., is planning for a new restaurant in Buffalo, New York. Three locations are being considered. The following table gives the factors for each site.

Factor Weight Maitland Baptist Church Northside Mall
Space 0.35 55 75 85
Costs 0.25 35 85 35
Traffic density 0.20 55 85 65
Neighborhood income 0.15 45 75 40
Zoning laws 0.05 80 20 95

a.) Based on the given information, the best location in Buffalo for Subway to open the new restaurant is _______, with a total weighted score of ___. (Enter your response rounded to two decimal places.)

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b.) If the weights for Space and Traffic density are reversed, the best location in Buffalo for Subway to open the new restaurant will be ___, with a total weighted score of ___. (Enter your response rounded to two decimal places.)

Expert Answer

 a)Maitland=0.35*55+0.25*35+0.2*55+0.15*45+0.05*80=49.75

Baptist=0.35*75+0.25*85+0.2*85+0.15*75+0.05*20=76.75

Northside=0.35*85+0.25*35+0.2*65+0.15*40+0.05*95=62.25

As per the weighted score Baptist is the best location with weighted score of 76.25

b)

Maitland=0.20*55+0.25*35+0.35*55+0.15*45+0.05*80=49.75

Baptist=0.20*75+0.25*85+0.35*85+0.15*75+0.05*20=78.25

Northside=0.20*85+0.25*35+0.35*65+0.15*40+0.05*95=59.25

The new location should be Baptist with Total weighted score of 78.25

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