An Application of Analytic Hierarchy Process (AHP) in a Real World Problem of Store Location Selection

In today’s competitive business environment, opening a new business store has a strong influence on both financial and corporational appearance. For this reason, it can be clearly stated that a location selection problem presents a very complex structure which includes several matters such as, profitability, cost cutting, boosting durability and efficiency, etc. In order to reach their goals regarding above mentioned issues, companies have to select their locations by considering relevant criteria and using convenient methods. Therefore it can be said that this issue has to be handled within all its aspects. In this study a new store location selection problem of Carglass Turkey is handled. As this problem includes both tangible and intangible criteria, analytic hierarchy process (AHP) was accepted as the main methodology. During the solution process a strict cooperation was ensured with the Carglass Turkey’s administration. Obtained results were presented to the management as a report and its feasibility was confirmed accordingly.