Which of the following statements does not describe the appropriate use of different approaches for site selection?
A) Large retailers often use the Huff Gravity Model to estimate potential sales for a store site before site selection.
B) Regression analysis can consider the effects of wide range of factors affecting sales in stores.
C) The regression analysis is appropriate for small chains to find the best location.
D) Using the analog approach, the retailer describes the site and trade area characteristics for its most successful stores and attempts to find a site with similar characteristics.
E) The analog approach is not recommended for large chain stores like Walmart.

Question

Quizplus · Accepted Answer

To estimate a regression model to predict sales from a site, a retailer needs data about the trade area and site characteristics from a large number of stores. Because small chains cannot use the regression approach, they use the similar but more subjective analog approach.

Which of the Following Statements Does Not Describe the Appropriate