Location Decision of E-commerce Enterprise Logistics Distribution Center Based on AHP-Entropy Weight Method and TOPSIS

Chengguo Liu; Yatong Xiao

doi:10.62051/ijgem.v10n8.12

Authors

Chengguo Liu School of Management, Southwest Petroleum University, Chengdu 610500, China
Yatong Xiao School of Management, Southwest Petroleum University, Chengdu 610500, China

DOI:

https://doi.org/10.62051/ijgem.v10n8.12

Keywords:

Logistics Distribution Center, Site Selection, AHP, Entropy Weight Method, TOPSIS, E-commerce

Abstract

With the rapid development of e-commerce, logistics distribution speed has become a key competitive factor for e-commerce enterprises. This paper addresses the location decision problem of regional logistics distribution centers for a large e-commerce platform in East China. Four candidate cities—Nanjing, Hangzhou, Suzhou, and Wuxi—are evaluated using a combined AHP-Entropy Weight-TOPSIS model. The Analytic Hierarchy Process (AHP) determines subjective weights reflecting expert experience, while the Entropy Weight Method (EWM) calculates objective weights based on data information content. A multiplicative synthesis method integrates both weights into comprehensive weights. TOPSIS is then applied to rank alternatives by their relative closeness to the positive ideal solution. Six evaluation indicators are constructed: land cost, labor cost, transportation convenience, market radiation capacity, policy preference, and infrastructure completeness. The results show that Nanjing ranks first with a closeness coefficient of 0.7918, followed by Hangzhou (0.6301), Suzhou (0.3056), and Wuxi (0.2125). Sensitivity analysis and comparative analysis with single-weighting methods confirm the robustness and superiority of the combined weighting approach. This study provides a scientific decision-making framework for logistics distribution center location selection.

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