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1

Factor rating scales is a proven method of choosing the best of a set of decision alternatives.
A)True
B)False
2

A location decision may be to expand an existing facility, add a new one, or replace an existing facility with another one.
A)True
B)False
3

It is more important to be near the potential market for a service facility than for a production facility.
A)True
B)False
4

Companies which use multiple plant strategies may have plants devoted to specific products, specific markets, or specific processes.
A)True
B)False
5

The center of gravity method is used to minimize production costs.
A)True
B)False
6

Which one of the following is more a community factor than a site factor?
A)Rail access
B)Zoning
C)Environmental regulations
D)Room for expansion
E)Utility hookups
7

Here is a list of steps used in making location decisions. Which step should occur first?
A)Identify a general region
B)Identify factors that are important. such as location of markets
C)Identify some community-site alternatives
D)Identify criteria that will be used to evaluate alternatives
E)Evaluate the alternatives
8

Probably the least likely reason for a U.S. firm to choose to locate a plant in a foreign country is:
A)financial incentives
B)raw materials
C)productivity
D)labor cost
E)markets
9

In location planning, environmental regulations, availability of utilities, and direct and indirect taxes are:
A)regional factors
B)community factors
C)site-related factors
D)national factors
E)none of the above





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