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Location Models or Methods
Factor rating system
Factor Rating System are perhaps the most widely used of the general location techniques because they provide a mechanism to combine diverse factors in an easy to understand format. In this method, factor ratings are used to evaluate alternative locations.
The method has the following advantages:
The steps involved are:
Decision: Select the location alternative which has the maximum sum of the product ratings as the choice.
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The influence an organisation will normally have over its macro environment will be Limited or non existent
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