We are trying to locate a distribution facility that will serve four markets. These markets, mapped along X- and Y- dimensions, and their demands are as follows:
Market X-Location Y-Location Demand
A 7 9 363
B 0 -3 1,029
C -3 5 958
D -9 6 3,102
Where, along the X dimension, would be the ideal location?
Expert Answer
We can solve this problem using Center of Gravity Method .
Let the X coordinate of ideal location = P
Sum of all demands x P = Sum of all ( X location x Corresponding demand )
Or, ( 363 + 1029 + 958 + 3102 ) x P = 7 x 363 + 0 x 1029 – 3 x 958 – 9 x
OR
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