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Simulation of Marketing Mix – Placement of Business Mendel Chen TJHSST Computer Systems Lab Senior Research Project 2009-2010 Abstract Purpose: to create a program that finds the optimal location of a business given competition and ease of access to customers Methods: Marketing mix Distribution channels Heuristic Language: Java/Python Background Flaws of previous models Location problems Flexible heuristic Maximizing profit and market share Factors Economic variables Marketing mix Ceteris Paribus Discussion Fluid heuristic Adjustable weighting Multiple variables/inputs Testing through previous businesses models Goals Third Quarter Local business finder Fine tuning of heuristic Testing for multiple applications Improved run time Adjustable heuristic Long Run More variables (possibly outside distribution channel) Higher accuracy Current Results GUI (shown below) Raw data processors Basic heuristic • Checks density of neighboring pixels and checks the distance Coordinate system Output image Map displayed on GUI with marked optimal point Raw population density map Optimum location was calculated to be at 288406. Image is 780 x 780 pixels so the row is 288406/780 = 369. Column is 288406 – 780 * 369 = 586. Heuristic value is 849,841.