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Lecture 9

GGR252 Lecture 9

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Stephen Swales

March 11, 2014 GGR252 Lecture 9 - Evaluating actual sites or addresses after using normative techniques o What are the characteristics of the locations? o How do they add up in terms of potential sites? - Site selection approaches Qualitative (selective) o Rules of thumb o Descriptive inventories o Ranking o Ratios o Analogues o Location allocation o Regression models Quantitative (rigorous) o Rules of thumb ƒ Intuition, experience, observation, “gut feeling” o Descriptive inventories ƒ Checklist of key factors Æ which site has most? ƒ Some quantification in terms of adding up the key factors ƒ No rigour because we have not justified the list of factors (e.g., significance of variables) o Ranking ƒ Rank sites on the basis of key factors thought to be important ƒ More quantification ƒ No rigour because we have not evaluated if the variables are relevant in terms of success o Ratios ƒ Sales per population, sales per store, people per square kilometer, etc. ƒ No rigour because we have not justified the variables o Analogues ƒ Duplication of existing well performing sites ƒ We know we are successful at certain sites within a set of existing stores ƒ Evaluate all characteristics in vicinity using census data ƒ Find similar sites elsewhere with similar neighbourhood characteristics based on present experience ƒ Similar concept x If it works here, then it should work in other sites elsewhere ƒ C.f., parasitic approach x Wherever McDonald's goes, we will follow nearby x We won't do as well as them, but we will feed off of them x They have all the resources and knowledge to be successful x Feeding off McDonald's success ƒ More quantification ƒ More justification ƒ Not as rigorous x Where are the other neighbourhoods that are similar to the ones around the successful sites? x Look in the vicinity of those census tracts for a potential site x Able to do this in GIS o Location allocation ƒ Best set of sites to service existing population ƒ Involves verifying the decision making, not just accepting that the variables are valid ƒ Verification of relevance of factors o Regression models ƒ Simple regression ƒ Multiple regression ƒ (Role of intuition?) ƒ Verification of relevance of factors o Collect data for the existing set of stores on sales (the dependent variable) o What variable(s) explains the variation in dollar sales (the independent variable)? - Target market and commercial land use areas in North Toronto o Circles are neighbourhoods with high incidence of family households, high income, and high Jewish ethnicity o Polygons are commercial land u
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