In: Statistics and Probability
22. Alex Wall is shopping for a new four-wheel-drive utility vehicle and has identified three models from which she will choose—an Explorer, a Trooper, and a Passport. She will make her selection based on Consumer Digest ratings, price, and each vehicle’s appearance. Following are Alex’s pairwise comparisons for the vehicles for each of her criteria and her criteria preferences:
Consumer Digest Rating |
||||
Vehicle |
Explorer |
Trooper |
Passport |
|
Explorer |
1 |
4 |
3 |
|
Trooper |
1/4 |
1 |
1/2 |
|
Passport |
1/3 |
2 |
1 |
|
Price |
||||
Vehicle |
Explorer |
Trooper |
Passport |
|
Explorer |
1 |
1/4 |
1/6 |
|
Trooper |
4 |
1 |
2 |
|
Passport |
6 |
1/2 |
1 |
|
Appearance |
||||
Vehicle |
Explorer |
Trooper |
Passport |
|
Explorer |
1 |
4 |
3 |
|
Trooper |
1/4 |
1 |
1/2 |
|
Passport |
1/3 |
2 |
1 |
|
Criterion |
Consumer Digest Rating |
Price |
Appearance |
Consumer Digest Rating |
1 |
2 |
4 |
Price |
1/2 |
1 |
3 |
Appearance |
1/4 |
1/3 |
1 |
Using AHP, determine which vehicle Alex should purchase.
First take this data into Excel then calculate SUM of columns for each table as shown in below image:
devide each table cell value by sum of that coumn in a table. like for "Consumer Digest Rating" table 1/1.583333=0.63157.
To calculate Priority value take sum of row and divide by 3,
like for Explorer=(0.631578+0.571428+0.6666666)/3=0.623225calculate this for each cell value in table. and the
Calculated vaules are in below image:
Then take priority valuse for each criteria and put that into table and in 1 row place priorty values from Criterion table as show in below image.
calculate Overall Priorities by taking sumproduct of criterion priority and Vahical.
for Explorer= (0.5571*0.62322 + 0.3202*0.0954 + 0.1226*0.62322)= 0.4542
Since Explorer have highest overall priority value 0.4542 hence Alex should buy Explorer.
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