Modelling site location decisions in tourism

Site location analysis and retail location strategy can be considered critical factors and integral elements of an effective organizational business plan in the tourism industry. This paper focuses on two different approaches that can be applied to site location analysis and selection in tourism: spreadsheet models and the analytic hierarchy process (AHP). Rule Based Expert Systems are also discussed. The LOCAT model (a spreadsheet-based algebraic approach) attempts to measure the total attractiveness index of a particular site location on the basis of calculating the impact of components (degrree of accessibility, total catchment population, level of tourist product uniqueness, and probability of tourist patronization). A practical example testing the degree of applicability of the model is also introduced. The Analytic Hierarchy Process provides a general structure capable of representing a wide range of decision problems. It is especially effective when dealing within complex multivariate decisions and with variables which are difficult to quantify