A manufacturer is considering five alternative locations for setting up its factory. Using the information given in the table obtain a ranking and tell the best location for setting the factory?
| Factors | Relative Weight | Location 1 | Location 2 | Location 3 | Location 4 | Location 5 |
| Availability of infrastructure | 0.28 | 20 | 40 | 55 | 35 | 60 |
| Size of market | 0.18 | 30 | 30 | 80 | 60 | 40 |
| Industrial relation climate | 0.15 | 80 | 30 | 50 | 60 | 50 |
| Tax benefits | 0.09 | 80 | 20 | 20 | 20 | 10 |
| Availability of cheep labour | 0.09 | 70 | 70 | 50 | 50 | 45 |
| Nearness to port | 0.20 | 20 | 40 | 60 | 50 | 90 |
A. Location 2
B. Location 3
C. Location 4
D. Location 1 and 5
Answer: Option B
Related Questions on Operations Research
A. Is possible when the variables value is known
B. Reduces the scope of judgement & intuition known with certainty in decision-making
C. Require the use of computer software
D. None of the above
A. Must be deterministic
B. Requires computer aid for its solution
C. Represents data in numerical form
D. All of the above
A physical model is example of.
A. An iconic model
B. An analogue model
C. A verbal model
D. A mathematical model
The qualitative approach to decision analysis relies on.
A. Experience
B. Judgement
C. Intuition
D. All of the above

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