Professional Documents
Culture Documents
Labor productivity
Employee with poor training, poor education, or
poor work habits may not be a good buy even at
low wages
Exchange rates and currency risk
Attitudes
Worker views regaridgn turnover, unions, and
absenteeism
It differ from country to country, region to region
Ex . Turnover is extremly hight in saudi arabia espeicially
saudi labor
Proximity to markets
The factor-ratin
methods
1 2 3 4 5
Critical success weight Score Weighted score Weighted
factors scores scores
Riyadh Jeddah
Damame
6000
Annual cost
4000
Jeddah
3000 Damame
2000
Riyadh
1000
North- south
20,30
15 ,60
East- west
Center- of – gravity methods
X=2*800+3*900+5*200+8*100/2000=3
Y=2*800+5*900+4*200+5*100/2000=3.7
Service location strategy