Company HR Vice President for café development, Person OM, has the job to select the ideal country, region and city for expansion of company HR and establish its new site. Though the job seems easy as it is said, it involves lot of front and back end work. Person OM has to do lot of research to choose the country and the city and has to negotitate with the local dealers to fix a reasonable cost for setting up the new plant and he stays with the plant for sales up to one year. Person OM is currently engaged in global expansion in country E, LA and A and has to look at the polititical risk, currency and social norms and proper fitting of the brand in the particular region. His research consists of extensive checklist such as demographics, market, trend analysis, transportation, restaurants, night clubs, political risks, real estate market and HR comparable market analysis. The site location has been focused on city centeres like city M and B and to find local franchise partner in both location. The company has made decision for 10-15 year of commitment in its operation in the selected location and it employs tools like location cost-volume analysis. It helps to make decision whether to purchase or reconstruct an existing facility. The data obtained are given below. Factor European city under construction Importance of this factor at this time A B C D A. Demographcis 70 70 60 90 20 B. Visitor market 80 60 90 75 20 C. Transportation 100 50 75 90 20 D. Restaurants/night clubs 80 90 65 65 10 E. Low political risk 90 60 50 70 10 F. Real estate market 65 75 85 70 10 G. Comparable market analysis 70 60 65 80 10 To determine : The highest rated of the four European citites.

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Answer 1

Question

Chapter 8, Problem 2.2VC

Summary Introduction

Introduction:

Company HR Vice President for café development, Person OM, has the job to select the ideal country, region and city for expansion of company HR and establish its new site. Though the job seems easy as it is said, it involves lot of front and back end work. Person OM has to do lot of research to choose the country and the city and has to negotitate with the local dealers to fix a reasonable cost for setting up the new plant and he stays with the plant for sales up to one year.

Person OM is currently engaged in global expansion in country E, LA and A and has to look at the polititical risk, currency and social norms and proper fitting of the brand in the particular region. His research consists of extensive checklist such as demographics, market, trend analysis, transportation, restaurants, night clubs, political risks, real estate market and HR comparable market analysis.

The site location has been focused on city centeres like city M and B and to find local franchise partner in both location. The company has made decision for 10-15 year of commitment in its operation in the selected location and it employs tools like location cost-volume analysis. It helps to make decision whether to purchase or reconstruct an existing facility. The data obtained are given below.

Factor European city under construction Importance of this factor at this time
A B C D
A. Demographcis 70 70 60 90 20
B. Visitor market 80 60 90 75 20
C. Transportation 100 50 75 90 20
D. Restaurants/night clubs 80 90 65 65 10
E. Low political risk 90 60 50 70 10
F. Real estate market 65 75 85 70 10
G. Comparable market analysis 70 60 65 80 10

To determine: The highest rated of the four European citites.

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Calculate the weighted score for each location (A, B, C, and D) shown in Table. Which location would you recommend? Factor Score for Each Location Location Factor Factor Weight A B C D 1. Labor climate 2. Quality of life 3. Transportation system 4. Proximity to markets 5. Proximity to materials 6. Taxes 7. Utilities Total 5 30 5 25 5 15 15 100 5 2 3 5 3 2 5 4 3 4 3 2 5 4 3 5 3 4 3 5 2 5 1 5 4 5 4 1

Answer 2

Question

Chapter 8, Problem 2.2VC

Summary Introduction

Introduction:

Company HR Vice President for café development, Person OM, has the job to select the ideal country, region and city for expansion of company HR and establish its new site. Though the job seems easy as it is said, it involves lot of front and back end work. Person OM has to do lot of research to choose the country and the city and has to negotitate with the local dealers to fix a reasonable cost for setting up the new plant and he stays with the plant for sales up to one year.

Person OM is currently engaged in global expansion in country E, LA and A and has to look at the polititical risk, currency and social norms and proper fitting of the brand in the particular region. His research consists of extensive checklist such as demographics, market, trend analysis, transportation, restaurants, night clubs, political risks, real estate market and HR comparable market analysis.

The site location has been focused on city centeres like city M and B and to find local franchise partner in both location. The company has made decision for 10-15 year of commitment in its operation in the selected location and it employs tools like location cost-volume analysis. It helps to make decision whether to purchase or reconstruct an existing facility. The data obtained are given below.

Factor European city under construction Importance of this factor at this time
A B C D
A. Demographcis 70 70 60 90 20
B. Visitor market 80 60 90 75 20
C. Transportation 100 50 75 90 20
D. Restaurants/night clubs 80 90 65 65 10
E. Low political risk 90 60 50 70 10
F. Real estate market 65 75 85 70 10
G. Comparable market analysis 70 60 65 80 10

To determine: The highest rated of the four European citites.

Expert Solution & Answer

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Check out a sample textbook solution

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Answer 3

Question

Chapter 8, Problem 2.2VC

Summary Introduction

Introduction:

Company HR Vice President for café development, Person OM, has the job to select the ideal country, region and city for expansion of company HR and establish its new site. Though the job seems easy as it is said, it involves lot of front and back end work. Person OM has to do lot of research to choose the country and the city and has to negotitate with the local dealers to fix a reasonable cost for setting up the new plant and he stays with the plant for sales up to one year.

Person OM is currently engaged in global expansion in country E, LA and A and has to look at the polititical risk, currency and social norms and proper fitting of the brand in the particular region. His research consists of extensive checklist such as demographics, market, trend analysis, transportation, restaurants, night clubs, political risks, real estate market and HR comparable market analysis.

The site location has been focused on city centeres like city M and B and to find local franchise partner in both location. The company has made decision for 10-15 year of commitment in its operation in the selected location and it employs tools like location cost-volume analysis. It helps to make decision whether to purchase or reconstruct an existing facility. The data obtained are given below.

Factor European city under construction Importance of this factor at this time
A B C D
A. Demographcis 70 70 60 90 20
B. Visitor market 80 60 90 75 20
C. Transportation 100 50 75 90 20
D. Restaurants/night clubs 80 90 65 65 10
E. Low political risk 90 60 50 70 10
F. Real estate market 65 75 85 70 10
G. Comparable market analysis 70 60 65 80 10

To determine: The highest rated of the four European citites.

Expert Solution & Answer

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Answer 4

Question

Chapter 8, Problem 2.2VC

Summary Introduction

Introduction:

Company HR Vice President for café development, Person OM, has the job to select the ideal country, region and city for expansion of company HR and establish its new site. Though the job seems easy as it is said, it involves lot of front and back end work. Person OM has to do lot of research to choose the country and the city and has to negotitate with the local dealers to fix a reasonable cost for setting up the new plant and he stays with the plant for sales up to one year.

Person OM is currently engaged in global expansion in country E, LA and A and has to look at the polititical risk, currency and social norms and proper fitting of the brand in the particular region. His research consists of extensive checklist such as demographics, market, trend analysis, transportation, restaurants, night clubs, political risks, real estate market and HR comparable market analysis.

The site location has been focused on city centeres like city M and B and to find local franchise partner in both location. The company has made decision for 10-15 year of commitment in its operation in the selected location and it employs tools like location cost-volume analysis. It helps to make decision whether to purchase or reconstruct an existing facility. The data obtained are given below.

Factor European city under construction Importance of this factor at this time
A B C D
A. Demographcis 70 70 60 90 20
B. Visitor market 80 60 90 75 20
C. Transportation 100 50 75 90 20
D. Restaurants/night clubs 80 90 65 65 10
E. Low political risk 90 60 50 70 10
F. Real estate market 65 75 85 70 10
G. Comparable market analysis 70 60 65 80 10

To determine: The highest rated of the four European citites.

Expert Solution & Answer

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Answer 5

Chapter 8, Problem 2.2VC

Summary Introduction

Introduction:

Company HR Vice President for café development, Person OM, has the job to select the ideal country, region and city for expansion of company HR and establish its new site. Though the job seems easy as it is said, it involves lot of front and back end work. Person OM has to do lot of research to choose the country and the city and has to negotitate with the local dealers to fix a reasonable cost for setting up the new plant and he stays with the plant for sales up to one year.

Person OM is currently engaged in global expansion in country E, LA and A and has to look at the polititical risk, currency and social norms and proper fitting of the brand in the particular region. His research consists of extensive checklist such as demographics, market, trend analysis, transportation, restaurants, night clubs, political risks, real estate market and HR comparable market analysis.

The site location has been focused on city centeres like city M and B and to find local franchise partner in both location. The company has made decision for 10-15 year of commitment in its operation in the selected location and it employs tools like location cost-volume analysis. It helps to make decision whether to purchase or reconstruct an existing facility. The data obtained are given below.

Factor European city under construction Importance of this factor at this time
A B C D
A. Demographcis 70 70 60 90 20
B. Visitor market 80 60 90 75 20
C. Transportation 100 50 75 90 20
D. Restaurants/night clubs 80 90 65 65 10
E. Low political risk 90 60 50 70 10
F. Real estate market 65 75 85 70 10
G. Comparable market analysis 70 60 65 80 10

To determine: The highest rated of the four European citites.

Answer 6

Chapter 8, Problem 2.2VC

Summary Introduction

Introduction:

Company HR Vice President for café development, Person OM, has the job to select the ideal country, region and city for expansion of company HR and establish its new site. Though the job seems easy as it is said, it involves lot of front and back end work. Person OM has to do lot of research to choose the country and the city and has to negotitate with the local dealers to fix a reasonable cost for setting up the new plant and he stays with the plant for sales up to one year.

Person OM is currently engaged in global expansion in country E, LA and A and has to look at the polititical risk, currency and social norms and proper fitting of the brand in the particular region. His research consists of extensive checklist such as demographics, market, trend analysis, transportation, restaurants, night clubs, political risks, real estate market and HR comparable market analysis.

The site location has been focused on city centeres like city M and B and to find local franchise partner in both location. The company has made decision for 10-15 year of commitment in its operation in the selected location and it employs tools like location cost-volume analysis. It helps to make decision whether to purchase or reconstruct an existing facility. The data obtained are given below.

Factor European city under construction Importance of this factor at this time
A B C D
A. Demographcis 70 70 60 90 20
B. Visitor market 80 60 90 75 20
C. Transportation 100 50 75 90 20
D. Restaurants/night clubs 80 90 65 65 10
E. Low political risk 90 60 50 70 10
F. Real estate market 65 75 85 70 10
G. Comparable market analysis 70 60 65 80 10

To determine: The highest rated of the four European citites.

Answer 7

Chapter 8, Problem 2.2VC

Summary Introduction

Introduction:

Company HR Vice President for café development, Person OM, has the job to select the ideal country, region and city for expansion of company HR and establish its new site. Though the job seems easy as it is said, it involves lot of front and back end work. Person OM has to do lot of research to choose the country and the city and has to negotitate with the local dealers to fix a reasonable cost for setting up the new plant and he stays with the plant for sales up to one year.

Person OM is currently engaged in global expansion in country E, LA and A and has to look at the polititical risk, currency and social norms and proper fitting of the brand in the particular region. His research consists of extensive checklist such as demographics, market, trend analysis, transportation, restaurants, night clubs, political risks, real estate market and HR comparable market analysis.

The site location has been focused on city centeres like city M and B and to find local franchise partner in both location. The company has made decision for 10-15 year of commitment in its operation in the selected location and it employs tools like location cost-volume analysis. It helps to make decision whether to purchase or reconstruct an existing facility. The data obtained are given below.

Factor European city under construction Importance of this factor at this time
A B C D
A. Demographcis 70 70 60 90 20
B. Visitor market 80 60 90 75 20
C. Transportation 100 50 75 90 20
D. Restaurants/night clubs 80 90 65 65 10
E. Low political risk 90 60 50 70 10
F. Real estate market 65 75 85 70 10
G. Comparable market analysis 70 60 65 80 10

To determine: The highest rated of the four European citites.

Answer 8

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Answer 9

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Answer 10

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Answer 11

Ch. 8 - Prob. 1ED Ch. 8 - Prob. 1DQ Ch. 8 - Prob. 2DQ Ch. 8 - Prob. 3DQ Ch. 8 - Prob. 4DQ Ch. 8 - Prob. 5DQ Ch. 8 - Prob. 6DQ Ch. 8 - Prob. 7DQ Ch. 8 - Prob. 8DQ Ch. 8 - Prob. 9DQ

Solution Summary: The author explains that HR vice president for café development, Person OM, has to select the ideal country, region, and city for expansion of company HR and establish its new site.

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Chapter 8 Solutions

Factor	European city under construction				Importance of this factor at this time
Factor	A	B	C	D	Importance of this factor at this time
A. Demographcis	70	70	60	90	20
B. Visitor market	80	60	90	75	20
C. Transportation	100	50	75	90	20
D. Restaurants/night clubs	80	90	65	65	10
E. Low political risk	90	60	50	70	10
F. Real estate market	65	75	85	70	10
G. Comparable market analysis	70	60	65	80	10