IDEAS home Printed from https://ideas.repec.org/a/eee/soceps/v68y2019ics0038012117300526.html
   My bibliography  Save this article

A hybrid multi-criteria decision making approach for strategic retail location investment: Application to Turkish food retailing

Author

Listed:
  • Yıldız, Nurdan
  • Tüysüz, Fatih

Abstract

Retail location selection decision is a critical and complex process which requires the evaluation and aggregation of multiple criteria and also the usage of appropriate data related to them. This study handles the problem at a strategic level and proposes a Monte Carlo simulation based multi-criteria strategic location decision model for food retailing. This model integrates two multi-criteria decision making (MCDM) methods which are Hesitant Analytic Hierarchy Process (H-AHP) and Grey Relational Analysis (GRA) methods. Firstly, H-AHP method is used to obtain the weights of criteria to be used in GRA based on the experts' judgements. Secondly, simulation based GRA is used for ranking the alternative locations. Finally, the effectiveness and the applicability of the proposed model is illustrated with an application of strategic location investment decision of food retail stores in Turkey.

Suggested Citation

  • Yıldız, Nurdan & Tüysüz, Fatih, 2019. "A hybrid multi-criteria decision making approach for strategic retail location investment: Application to Turkish food retailing," Socio-Economic Planning Sciences, Elsevier, vol. 68(C).
  • Handle: RePEc:eee:soceps:v:68:y:2019:i:c:s0038012117300526
    DOI: 10.1016/j.seps.2018.02.006
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0038012117300526
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Cheng-Ru Wu & Chin-Tsai Lin & Huang-Chu Chen, 2009. "Integrated environmental assessment of the location selection with fuzzy analytical network process," Quality & Quantity: International Journal of Methodology, Springer, vol. 43(3), pages 351-380, May.
    2. Huang, Chao & Dai, Chong & Guo, Miao, 2015. "A hybrid approach using two-level DEA for financial failure prediction and integrated SE-DEA and GCA for indicators selection," Applied Mathematics and Computation, Elsevier, vol. 251(C), pages 431-441.
    3. Wang, Zhiwei & Lei, Tingzhou & Chang, Xia & Shi, Xinguang & Xiao, Ju & Li, Zaifeng & He, Xiaofeng & Zhu, Jinling & Yang, Shuhua, 2015. "Optimization of a biomass briquette fuel system based on grey relational analysis and analytic hierarchy process: A study using cornstalks in China," Applied Energy, Elsevier, vol. 157(C), pages 523-532.
    4. Zhu, Bin & Xu, Zeshui & Zhang, Ren & Hong, Mei, 2016. "Hesitant analytic hierarchy process," European Journal of Operational Research, Elsevier, vol. 250(2), pages 602-614.
    5. Yeh, Tsu-Ming & Huang, Yu-Lang, 2014. "Factors in determining wind farm location: Integrating GQM, fuzzy DEMATEL, and ANP," Renewable Energy, Elsevier, vol. 66(C), pages 159-169.
    6. Matthew Kelly & Sam-ang Seubsman & Cathy Banwell & Jane Dixon & Adrian Sleigh, 2015. "Traditional, modern or mixed? Perspectives on social, economic, and health impacts of evolving food retail in Thailand," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 32(3), pages 445-460, September.
    7. Wang, Qi & Wu, Chong & Sun, Yang, 2015. "Evaluating corporate social responsibility of airlines using entropy weight and grey relation analysis," Journal of Air Transport Management, Elsevier, vol. 42(C), pages 55-62.
    8. Reigadinha, Tânia & Godinho, Pedro & Dias, Joana, 2017. "Portuguese food retailers – Exploring three classic theories of retail location," Journal of Retailing and Consumer Services, Elsevier, vol. 34(C), pages 102-116.
    9. Kabir, Golam & Sumi, Razia Sultana, 2014. "Power substation location selection using fuzzy analytic hierarchy process and PROMETHEE: A case study from Bangladesh," Energy, Elsevier, vol. 72(C), pages 717-730.
    10. Alan T. Murray & Daoqin Tong & Kamyoung Kim, 2010. "Enhancing Classic Coverage Location Models," International Regional Science Review, , vol. 33(2), pages 115-133, April.
    11. Karande, Kiran & Lombard, John R, 2005. "Location strategies of broad-line retailers: an empirical investigation," Journal of Business Research, Elsevier, vol. 58(5), pages 687-695, May.
    12. Choudhary, Devendra & Shankar, Ravi, 2012. "An STEEP-fuzzy AHP-TOPSIS framework for evaluation and selection of thermal power plant location: A case study from India," Energy, Elsevier, vol. 42(1), pages 510-521.
    13. A. Cagri Tolga & Fatih Tuysuz & Cengiz Kahraman, 2013. "A Fuzzy Multi-Criteria Decision Analysis Approach For Retail Location Selection," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 12(04), pages 729-755.
    14. Zhu, Bin & Xu, Zeshui, 2014. "Analytic hierarchy process-hesitant group decision making," European Journal of Operational Research, Elsevier, vol. 239(3), pages 794-801.
    15. Xu, Gang & Yang, Yong-ping & Lu, Shi-yuan & Li, Le & Song, Xiaona, 2011. "Comprehensive evaluation of coal-fired power plants based on grey relational analysis and analytic hierarchy process," Energy Policy, Elsevier, vol. 39(5), pages 2343-2351, May.
    16. Sánchez-Lozano, J.M. & García-Cascales, M.S. & Lamata, M.T., 2016. "GIS-based onshore wind farm site selection using Fuzzy Multi-Criteria Decision Making methods. Evaluating the case of Southeastern Spain," Applied Energy, Elsevier, vol. 171(C), pages 86-102.
    17. David L. Huff, 1963. "A Probabilistic Analysis of Shopping Center Trade Areas," Land Economics, University of Wisconsin Press, vol. 39(1), pages 81-90.
    18. Hui-Ping Ho & Ching-Ter Chang & Cheng-Yuan Ku, 2013. "On the location selection problem using analytic hierarchy process and multi-choice goal programming," International Journal of Systems Science, Taylor & Francis Journals, vol. 44(1), pages 94-108.
    19. Wang, Ying & Jung, Kyung-Ae & Yeo, Gi-Tae & Chou, Chien-Chang, 2014. "Selecting a cruise port of call location using the fuzzy-AHP method: A case study in East Asia," Tourism Management, Elsevier, vol. 42(C), pages 262-270.
    20. Hashemi, Seyed Hamid & Karimi, Amir & Tavana, Madjid, 2015. "An integrated green supplier selection approach with analytic network process and improved Grey relational analysis," International Journal of Production Economics, Elsevier, vol. 159(C), pages 178-191.
    21. Tuncay Ozcan & Fatih Tuysuz, 2016. "Modified Grey Relational Analysis Integrated with Grey Dematel Approach for the Performance Evaluation of Retail Stores," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 15(02), pages 353-386, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Deveci, Muhammet & Cali, Umit & Kucuksari, Sadik & Erdogan, Nuh, 2020. "Interval type-2 fuzzy sets based multi-criteria decision-making model for offshore wind farm development in Ireland," Energy, Elsevier, vol. 198(C).
    2. Fatih Tüysüz, 2018. "Simulated Hesitant Fuzzy Linguistic Term Sets-Based Approach for Modeling Uncertainty in AHP Method," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 17(03), pages 801-817, May.
    3. Yasir Ahmed Solangi & Qingmei Tan & Muhammad Waris Ali Khan & Nayyar Hussain Mirjat & Ifzal Ahmed, 2018. "The Selection of Wind Power Project Location in the Southeastern Corridor of Pakistan: A Factor Analysis, AHP, and Fuzzy-TOPSIS Application," Energies, MDPI, Open Access Journal, vol. 11(8), pages 1-26, July.
    4. Tuncay Ozcan & Fatih Tuysuz, 2016. "Modified Grey Relational Analysis Integrated with Grey Dematel Approach for the Performance Evaluation of Retail Stores," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 15(02), pages 353-386, March.
    5. Kheybari, Siamak & Rezaie, Fariba Mahdi & Farazmand, Hadis, 2020. "Analytic network process: An overview of applications," Applied Mathematics and Computation, Elsevier, vol. 367(C).
    6. Xu, Jiuping & Song, Xiaoling & Wu, Yimin & Zeng, Ziqiang, 2015. "GIS-modelling based coal-fired power plant site identification and selection," Applied Energy, Elsevier, vol. 159(C), pages 520-539.
    7. Rui Zhao & Han Su & Xiaolang Chen & Yanni Yu, 2016. "Commercially Available Materials Selection in Sustainable Design: An Integrated Multi-Attribute Decision Making Approach," Sustainability, MDPI, Open Access Journal, vol. 8(1), pages 1-15, January.
    8. Ceren Erdin & Halil Emre Akbaş, 2019. "A Comparative Analysis of Fuzzy TOPSIS and Geographic Information Systems (GIS) for the Location Selection of Shopping Malls: A Case Study from Turkey," Sustainability, MDPI, Open Access Journal, vol. 11(14), pages 1-22, July.
    9. Büyüközkan, Gülçin & Karabulut, Yağmur & Mukul, Esin, 2018. "A novel renewable energy selection model for United Nations' sustainable development goals," Energy, Elsevier, vol. 165(PA), pages 290-302.
    10. Derya Celik Turkoglu & Mujde Erol Genevois, 2017. "An Analytical Approach for Evaluation of ATM Deployment Problem Criteria," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 16(05), pages 1247-1278, September.
    11. Wenjun Chen & Yanlei Zhu & Meng Yang & Jiahai Yuan, 2017. "Optimal Site Selection of Wind-Solar Complementary Power Generation Project for a Large-Scale Plug-In Charging Station," Sustainability, MDPI, Open Access Journal, vol. 9(11), pages 1-22, October.
    12. Carnero, María Carmen & Gómez, Andrés, 2017. "Maintenance strategy selection in electric power distribution systems," Energy, Elsevier, vol. 129(C), pages 255-272.
    13. repec:gam:jeners:v:9:y:2016:i:3:p:157:d:64969 is not listed on IDEAS
    14. Sellak, Hamza & Ouhbi, Brahim & Frikh, Bouchra & Palomares, Iván, 2017. "Towards next-generation energy planning decision-making: An expert-based framework for intelligent decision support," Renewable and Sustainable Energy Reviews, Elsevier, vol. 80(C), pages 1544-1577.
    15. Yunna Wu & Meng Yang & Haobo Zhang & Kaifeng Chen & Yang Wang, 2016. "Optimal Site Selection of Electric Vehicle Charging Stations Based on a Cloud Model and the PROMETHEE Method," Energies, MDPI, Open Access Journal, vol. 9(3), pages 1-20, March.
    16. Yunna Wu & Chao Xie & Chuanbo Xu & Fang Li, 2017. "A Decision Framework for Electric Vehicle Charging Station Site Selection for Residential Communities under an Intuitionistic Fuzzy Environment: A Case of Beijing," Energies, MDPI, Open Access Journal, vol. 10(9), pages 1-25, August.
    17. repec:gam:jsusta:v:8:y:2016:i:1:p:79:d:62349 is not listed on IDEAS
    18. Strantzali, Eleni & Aravossis, Konstantinos, 2016. "Decision making in renewable energy investments: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 55(C), pages 885-898.
    19. Al Garni, Hassan Z. & Awasthi, Anjali, 2017. "Solar PV power plant site selection using a GIS-AHP based approach with application in Saudi Arabia," Applied Energy, Elsevier, vol. 206(C), pages 1225-1240.
    20. Jeong, Byongug & Oguz, Elif & Wang, Haibin & Zhou, Peilin, 2018. "Multi-criteria decision-making for marine propulsion: Hybrid, diesel electric and diesel mechanical systems from cost-environment-risk perspectives," Applied Energy, Elsevier, vol. 230(C), pages 1065-1081.
    21. Alizadeh, Reza & Soltanisehat, Leili & Lund, Peter D. & Zamanisabzi, Hamed, 2020. "Improving renewable energy policy planning and decision-making through a hybrid MCDM method," Energy Policy, Elsevier, vol. 137(C).
    22. Shen-Tsu Wang, 2016. "Integrating grey sequencing with the genetic algorithm--immune algorithm to optimise touch panel cover glass polishing process parameter design," International Journal of Production Research, Taylor & Francis Journals, vol. 54(16), pages 4882-4893, August.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:soceps:v:68:y:2019:i:c:s0038012117300526. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Nithya Sathishkumar). General contact details of provider: http://www.elsevier.com/locate/seps .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.