Export country selection with fuzzy AHP and PROMETHEE - a case study of a shoe sole manufacturer

Elia Oey, Yu Sekiguchi and Yunanto Adi Nugroho

International Journal of Business Excellence, 2020, vol. 22, issue 2, 166-197

Abstract: With the advancement of technology and communication, international business gives opportunity for firms to expand its coverage beyond its domestic markets. The research is a case study of a shoe sole manufacturer in Indonesia sought to expand its business to international market. Seven potential countries were shortlisted, and 15 sub-criteria were identified for the export market selection of the studied company. The study employed combination of fuzzy AHP and PROMETHEE for its analysis. Fuzzy AHP was used to calculate weight of (sub)-criteria, whilst PROMETHEE was used for ranking the alternatives. Two scenarios were performed using different preference functions in PROMETHEE to gain insights and ensure stability of the recommendation. Using PROMETHEE's stability interval, sensitivity analysis was also performed and recommended two stages of export plan. As the first stage it recommended three countries (Italy, China and Thailand) as the starting export countries for the studied company.

Keywords: fuzzy; analytical hierarchical process; AHP; PROMETHEE; export; country selection. (search for similar items in EconPapers)
Date: 2020
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