Article ID: | iaor1990451 |
Country: | United States |
Volume: | 8 |
Issue: | 2 |
Start Page Number: | 1 |
End Page Number: | 7 |
Publication Date: | Mar 1989 |
Journal: | Marketing Science |
Authors: | Donthu Naveen, Rust Roland T. |
This paper shows how kernel density estimation may be used to estimate flexibly the geographic distribution of customers in a market. In addition it shows how a density-based product positioning methodology may be applied to site selection, using the estimated geographic customer density to help locate a new or (relocated) store or distribution center. This application provides a conceptual basis for more complicated site selection and spatial demand models which might involve several predictor variables.