Introduction To Management Science, Global Edition
Introduction To Management Science, Global Edition
13th Edition
ISBN: 9781292263045
Author: Bernard W. Taylor III
Publisher: PEARSON
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Chapter 9, Problem 18P

a)

Summary Introduction

To develop: An overall ranking of the three companies.

a)

Expert Solution
Check Mark

Explanation of Solution

Pairwise comparisons:

Formulas:

Introduction To Management Science, Global Edition, Chapter 9, Problem 18P , additional homework tip  1

Answer:

Introduction To Management Science, Global Edition, Chapter 9, Problem 18P , additional homework tip  2

Normalized matrix:

Formulas:

Introduction To Management Science, Global Edition, Chapter 9, Problem 18P , additional homework tip  3

Answer:

Introduction To Management Science, Global Edition, Chapter 9, Problem 18P , additional homework tip  4

Ranking:

Formulas:

Introduction To Management Science, Global Edition, Chapter 9, Problem 18P , additional homework tip  5

Answer:

Introduction To Management Science, Global Edition, Chapter 9, Problem 18P , additional homework tip  6

b)

Summary Introduction

To check: The pairwise comparisons for consistency.

b)

Expert Solution
Check Mark

Explanation of Solution

Consistency:

Formulas:

Introduction To Management Science, Global Edition, Chapter 9, Problem 18P , additional homework tip  7

Answer:

Introduction To Management Science, Global Edition, Chapter 9, Problem 18P , additional homework tip  8

For profitability. 0.07 < 0.10, therefore the preference comparison is consistent.

For growth, 0.003 < 0.10, therefore the preference comparison is consistent.

In the given scenario, there are two preferences for the criteria matrix and they are the exact reciprocals. Therefore, the preference comparison is perfectly consistent.

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