Competitive Location Assessment – the MCI Approach

In this paper, we have investigated the list of determinants that influence customers to create a short-term preference to a particular store. A survey among 240 households in Sarajevo was conducted in order to reveal their preferences. The results of the MCI model have identified several main stores’ characteristics which have a key influence on customers’ patronage decisions. The findings also suggest that customers, in making their patronage decisions, and hence making their preferences to a particular store, choose among a limited list of alternatives, which implies that competition among outlets is more space limited than had been expected.