Evaluating Chinese Automobile Manufacturers to Select Business Partner Using Choquet Integral & Shannon Entropy

Maleki, Nazanin; Gholamian, Mohammad Reza; Rashidi, Hossein; Khandakhand, Masoud

Document Type : Original Article

Authors

¹ Master's student in Macrosystems, Department of Industrial Engineering, Faculty of Industrial Engineering, University of Science and Technology, Tehran, Iran

² Associate Professor, Department of Logistics and Supply Chain Engineering, Faculty of Industrial Engineering, University of Science and Technology, Tehran, Iran

³ Master's student in Macrosystems, Department of Industrial Engineering, Faculty of Technology and Engineering, Science and Research Unit, Islamic Azad University, Tehran, Iran

⁴ Bachelor of Business Administration, Department of Business Administration, Faculty of Management, Center Tehran Branch, Islamic Azad University, Tehran, Iran

Abstract

In the current competitive market of automobile in Iran and the world, business partners play a key role in the success or failure of any organization. In fact, the survival, growth and development of businesses will depend on determining a strategic business partner. Therefore, choosing an experienced business partner is essential and requires the use of a precise decision-making method. In this paper, a multi-criteria decision-making method with the purpose of evaluating business partners is presented. This evaluation and ranking method is able to identify the interaction between criteria and consider it in the ranking process. At first, 22 variables corresponding to the conditions of the Iranian automobile industry were selected as criteria and 15 Chinese automobile companies were selected as alternatives. Then, Shannon's entropy technique was applied for weighting the criteria. Finally, the alternatives were ranked by the Choquet integral method. Next, the proposed technique was validated through comparison with TOPSIS method and the results were analyzed and compared. The results of the implementation of introduced technique indicate that the combination of Choquet integral decision-making method and Shannon's entropy is a simple, novel and also practical method and will be applicable in the real world.

Keywords

References

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Evaluating Chinese Automobile Manufacturers to Select Business Partner Using Choquet Integral & Shannon Entropy

References

References

Volume 27, Issue 4January 2024Pages 1-25

Volume 27, Issue 4
January 2024
Pages 1-25