Centre of Gravity Method in Logistics
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Questions and Answers

Which outlet would the distribution warehouse be most likely to be located near to?

  • Outlet C with shipment volume of 600 units
  • Outlet A with shipment volume of 200 units
  • Outlet B with shipment volume of 400 units
  • Outlet D with shipment volume of 800 units (correct)

    • What is the primary factor that determines the location of the distribution warehouse using the centre of gravity method?

  • Distance between outlets
  • Size of the outlets
  • Shipment volume of each outlet (correct)
  • Type of products being shipped

    • Which outlet is least likely to be the location of the distribution warehouse using the centre of gravity method?

  • Outlet A with shipment volume of 200 units (correct)
  • Outlet C with shipment volume of 600 units
  • Outlet D with shipment volume of 800 units
  • Outlet B with shipment volume of 400 units

    • What is the relationship between the shipment volume of an outlet and its likelihood of being the location of the distribution warehouse?

    <p>Higher shipment volume, higher likelihood</p> Signup and view all the answers

    Which of the following outlets would experience the minimum transportation cost if the distribution warehouse is located near Outlet D?

    <p>Outlet D</p> Signup and view all the answers

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