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Competitive Location Assessment – the MCI Approach

Author

Listed:
  • Oruc Nermin

    (Assistant Professor at IUS, Sarajevo and Affiliate Fellow at CERGE-EI, Prague)

  • Tihi Boris

    (University of Sarajevo, School of Economic and Business)

Abstract

In this paper, we have investigated the list of determinants that influence customers to create a short-term preference to a particular store. A survey among 240 households in Sarajevo was conducted in order to reveal their preferences. The results of the MCI model have identified several main stores’ characteristics which have a key influence on customers’ patronage decisions. The findings also suggest that customers, in making their patronage decisions, and hence making their preferences to a particular store, choose among a limited list of alternatives, which implies that competition among outlets is more space limited than had been expected.

Suggested Citation

  • Oruc Nermin & Tihi Boris, 2012. "Competitive Location Assessment – the MCI Approach," South East European Journal of Economics and Business, Sciendo, vol. 7(2), pages 35-49, November.
    • Handle: RePEc:vrs:seejeb:v:7:y:2012:i:2:p:35-49:n:3
    DOI: 10.2478/v10033-012-0013-7
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    Cited by:

    1. Andrii Galkin & Popova Yuliia & Bodnaruk Oksana & Zaika Yuliia & Chuprina Elena & Denys Shapovalenko & Oleg Kolonataievskyi, 2019. "Attractiveness Modeling of Retail on Emotional Fatigue of Consumers," South East European Journal of Economics and Business, Sciendo, vol. 14(2), pages 106-116, December.
    2. Thomas Wieland, 2023. "Spatial shopping behavior during the Corona pandemic: insights from a micro-econometric store choice model for consumer electronics and furniture retailing in Germany," Journal of Geographical Systems, Springer, vol. 25(2), pages 291-326, April.
    3. Wieland, Thomas, 2014. "Räumliches Einkaufsverhalten und Standortpolitik im Einzelhandel unter Berücksichtigung von Agglomerationseffekten: Theoretische Erklärungsansätze, modellanalytische Zugänge und eine empirisch-ökonome," MPRA Paper 77163, University Library of Munich, Germany.

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