Flashcards in chapter 8 Deck (18)
24. Nearness to raw materials would be most important to a ... A. grocery storeB. tax preparation serviceC. manufacturing companyD. post office E. hospital
C. manufacturing company**Manufacturers especially value proximity to raw materials.
25. A one-hour photo processing machine in a Wal-Mart store is an example of a _________. A. micro-factoryB. downsize strategyC. diversified strategyD. lean production system E. falling price strategy
A. micro-factory**A micro-factory is a very efficient means of serving a small slice of a broad market.
26. Which statement best characterizes a typical search for location alternatives? A. identify the best location choiceB. minimize cost consequencesC. maximize associated profitsD. locate near marketsE. identify acceptable locations
E. identify acceptable locations**Finding alternatives requires that we find which alternatives might be suitable and which might not.
27. Which of the following is not a location option that management can consider in location planning? A. expand an existing facilityB. add a new locationC. relocate from one location to anotherD. do nothingE. All are possible options.
E. All are possible options.**All of these should or might be considered.
28. Which of the following is the last step in the procedure for making location decisions? A. determine the evaluation criteriaB. identify important factorsC. develop location alternativesD. evaluate alternatives and make a selection E. request input regarding alternatives
D. evaluate alternatives and make a selection **When all alternatives have been evaluated it is time to make a decision.
29. When a location evaluation includes both quantitative and qualitative inputs, a technique that can be used is ___________.A. Linear programmingB. Consumer surveysC. Factor ratingD. Transportation modelsE. Center of gravity methods
C. Factor rating**Factor rating approaches can incorporate both quantitative and qualitative considerations.
30. The center of gravity method is used to _______ travel time, distance and costs. A. NormalizeB. EliminateC. AverageD. Minimize E. Document
D. Minimize **The center of gravity method minimizes travel time, distance and costs.
31. In location planning, the location of raw materials, the location of markets, and labor factors are: A. regional factorsB. community factorsC. site-related factorsD. national factorsE. minor considerations
A. regional factors**These are regional factors.
32. Software systems known as GIS help in location analysis. The initials GIS stand for _______. A. Graphic Interface SystemsB. Global Integrated SoftwareC. Graded Information SystemsD. Geo Intensive SoftwareE. Geographical Information System
E. Geographical Information System**GIS stands for Geographical Information System.
33. Facilities, personnel and operations that are located around the world are called: A. non-domesticB. diversified operationsC. globalizationD. worldwide presence E. virtual organization
C. globalization**Globalization involves facilities, personnel and operations that are located around the world.
34. Some communities offer financial and other incentives to ______ new businesses. A. TaxB. AttractC. MarginalizeD. Incorporate E. Zone
B. Attract**Businesses often weigh such incentives in their location decision processes.
35. Location options don't usually include: A. expansionB. a contractC. adding new facilitiesD. movingE. doing nothing
B. a contract**A contract has little to do with location options.
36. Cultural differences, Customer preferences, Labor and Resources are factors relating to: A. Regional choicesB. Site selectionC. ZoningD. Product design E. Foreign locations
E. Foreign locations**Foreign locations concerns with respect to these issues.
37. The method for evaluating location alternatives which uses their total cost curves is: A. cost-volume analysisB. transportation model analysisC. factor rating analysisD. linear regression analysis E. MODI analysis
A. cost-volume analysis**Cost-volume analysis is based on total cost curves.
38. The method for evaluating location alternatives which minimizes shipping costs between multiple sending and receiving locations is:A. cost-volume analysisB. transportation model analysisC. factor rating analysisD. linear regression analysis E. MODI analysis
B. transportation model analysis**Transportation model analysis minimizes shipping costs between multiple sending and receiving locations.
39. The method for evaluating location alternatives which uses their composite (weighted-average) scores is: A. cost-volume analysisB. transportation model analysisC. factor rating analysisD. linear regression analysis E. MODI analysis
C. factor rating analysis**Factor rating analysis evaluates by using their composite (weighted-average) scores.
40. An approach to location analysis that can include both qualitative and quantitative considerations is: A. location cost-volumeB. factor ratingC. transportation modelD. expected value (net present value) E. financial analysis
B. factor rating**Factor rating can include both qualitative and quantitative considerations.