Structural equation modeling combined with extension method for evaluating factors affecting location selection of proposed senior daycare facilities

Abstract

With the tendency of population aging continues in our nation, problems associated with the elderly become major concerns in our society. If daycare centers for seniors can be established to care for the elderly just like daycare facilities for caring pre-school age children, seniors will have a place to enjoy day-time activities and return home to enjoy normal family life. The senior center that allows seniors to enjoyable their remaining years with dignity will be a demanding neighborhood facility. However, the location of such a facility is of great importance for its acceptance by the general public; a location that pleases seniors and their family is expected by all involved. The senior daycare center is a fixed and permanent facility; its location is also the key to affect the return of investors. A properly selected location will maximize the economic benefit while lowering the risks associated with the investment. Hence, in this research, the CFA (Confirmatory Factor Analysis) available in SEM (Structural Equation Modeling) is applied to evaluate important factors that affect the selection of senior daycare center and the degree of suitability for implementing the model to conduct such evaluations. The results on selecting the most appropriate location for establishing a senior daycare center are verified with case study data using the extension method. The combination of structural equation modeling and extension method leads to results that comfort to model evaluation indices when the suitability of individual models and the overall modeling are concerned. Using the extension method allows one to find the most appropriate location based on case study information. This proves that the method implemented in this research is capable of solving problems that are contradictory and incompatible in nature.