Using AHP to Priority Factors Selection of Overseas Expansion
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Recently, the acceleration in the era of globalization is being utilized as motive power for facilitation of advancement of Retail Industry into overseas market. Paradigm of Retail Industry in the present time is being reorganized from Local Retail Market to Globalization structure. In particular, feasibility study for advancement into overseas market for continued growth of the Retail Industry, as new growth model, plays decisive role in establishment of business strategy. Analytic Hierarchy Process (AHP) Artificial Intelligence Methodology, which is one of Multi-Criteria Decision Makings (MCDM), applied in this research is a model through which most preferred important factor can be found through pair-wise comparison between diverse ranges of qualitative variables when determining whether to advance into retail market in overseas country. In particular, it is the most appropriate model in presenting order of important priority in decision-making for each process on non-numeric qualitative factors, rather than quantitative feasibility analysis based on cash-flow centered financial approach. In addition, I presented order of the most important processes and important preferential factors for each process at the time of advancement into overseas retail market by comparing Criteria and Factors of each stage of business planning, advancement into the local market and business management/expansion by dividing decision-making for advancement into overseas market into stages.
Abstract
Recently, the acceleration in the era of globalization is being utilized as motive power for facilitation of advancement of Retail Industry into overseas market. Paradigm of Retail Industry in the present time is being reorganized from Local Retail Market to Globalization structure. In particular, feasibility study for advancement into overseas market for continued growth of the Retail Industry, as new growth model, plays decisive role in establishment of business strategy. Analytic Hierarchy Process (AHP) Artificial Intelligence Methodology, which is one of Multi-Criteria Decision Makings (MCDM), applied in this research is a model through which most preferred important factor can be found through pair-wise comparison between diverse ranges of qualitative variables when determining whether to advance into retail market in overseas country. In particular, it is the most appropriate model in presenting order of important priority in decision-making for each process on non-numeric qualitative factors, rather than quantitative feasibility analysis based on cash-flow centered financial approach. In addition, I presented order of the most important processes and important preferential factors for each process at the time of advancement into overseas retail market by comparing Criteria and Factors of each stage of business planning, advancement into the local market and business management/expansion by dividing decision-making for advancement into overseas market into stages.
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