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Publisher : Elsevier - Science Direct (الزویر - ساینس دایرکت)
Journal : Applied Mathematics and Computation, Volume 182, Issue 2, 15 November 2006, Pages 1725–1734
This article critiques existing store-location models and explains the many mathematical and methodological problems inherent in these models. The key issues are that behavioral factors are completely omitted in these models, emphasis on distance in un-warranted and site-specific and retailer-specific characteristics are typically omitted in these model. The author introduces new site-selection models. The US retailing sector is used an example.
The store location decision has become perhaps the most important decision for many retailers—Internet retail sales and mail order retail sales account for less than 8% and 30% of total US retail sales respectively. Store location sometimes contributes as much to a retailer’s brand value as some forms of marketing. Real estate accounts for more than 30% of retailers’ operating expenses and total assets. Retailing remains the largest industry in the US – in 2005, at least 30% of US GDP was from retail sales. In 2004/2005, the US retail industry had more than 1.5 million establishments, and employed more than 20 million people (17% of the US workforce). (Standard & Poors).
نتیجه گیری انگلیسی
The store-location decision remains critical to the survival of retailing companies—between 2002 and 2005, approximately 80% of all new retail chain stores in the US were single-tenant properties. The US Retailing industry is experiencing substantial and fundamental long-term changes that continue to affect the real estate industry. Most existing store location models are inaccurate and grossly mis-specified.