GGR252H1 Lecture : Marketing Geography Lecture- Feb 16.doc
Document Summary
Theissen polygon technique: draw construction lines between a center and all adjacent centers, bisect each of the construction lines. Assumptions: proximity/distance to the center is the factor that determines where the consumer will obtain service, they will patronize the nearest location, this is because there is a disincentive nature to distance. If relative proximity is the only variable that differentiates the stores, then the stores are identical in all aspects of supply. Goods, prices, service, etc: retail centers service spatial monopoly trade areas ex. markets do not overlap, all areas [space] is serviced, consumers are fully informed, fully rational, decision makers in this assumption about consumer behaviour. We consider the consumers to be economic operaters. They know all the locations, all the distances to them, and based on this full information they will make the most rational choice by travelling to the nearest center: uniform travel on an uninterrupted travel surface.