In Business Analyst, you can solve three different problem types with location-allocation:
1) Maximize Attendance - Good for specialty stores such as coffee shops, medical offices, or electronic stores… assumes that the farther people have to travel to reach your location, the less likely they are to use it.
2) Maximize Market Share – Large discount stores benefit… given the presence of competitors, captures as much market share as possible with a given number of locations.
3) Target Market Share – For a given target market share, tries to solve using the fewest potential locations necessary. Large discount stores also benefit by determining the expansion required to reach a certain level of the market share or see what strategy is needed to maintain the current market share given the introduction of new competitors.