Which of the following statements about locating facilities in the service sector is BEST?
A)The factors that apply to manufacturing firms often also apply to service facilities,but the impact of the location on sales and customer satisfaction is an important addition.
B)Management should avoid locating facilities where competitors are already well established,as illustrated by new car showrooms.
C)Creating a critical mass is a strategy that avoids locating near competing firms.
D)"Site specific" factors are the main reason for locating warehousing and distribution operations near the customer.

Question

Quizplus · Accepted Answer

While some factors that apply to manufacturing may also apply to service facilities, the impact of location on sales and customer satisfaction is much more important in the service sector. Factors such as accessibility, visibility, and proximity to certain customer segments are crucial when locating service facilities.

Which of the Following Statements About Locating Facilities in the Service