Step 1: Recall the concept of pairwise comparison matrix.
A pairwise comparison matrix is used when criteria or alternatives are compared two at a time using relative importance scales (for example, Saaty's 1–9 scale). Such a matrix is positive, reciprocal, and diagonal entries are equal to 1.
Step 2: Method that uses this.
The Analytical Hierarchy Process (AHP) directly employs pairwise comparison matrices to determine weights of decision criteria. By finding the principal eigenvector of the matrix, AHP derives relative weights of the criteria.
Step 3: Why not the others?
- (B) Exploratory factor analysis works on correlation matrices, not pairwise comparison matrices.
- (C) Latent class analysis is a clustering method, no pairwise judgments.
- (D) Multiple linear regression estimates coefficients from data, not subjective comparisons.
Step 4: Final conclusion.
Only AHP matches the requirement.
\[
\boxed{(A) \; \text{Analytical hierarchy process}}
\]
% Quicktip
P and Q play chess frequently against each other. Of these matches, P has won 80% of the matches, drawn 15% of the matches, and lost 5% of the matches.
If they play 3 more matches, what is the probability of P winning exactly 2 of these 3 matches?