Business Studies – 4.6.1 Main factors which influence location decisions | e-Consult
4.6.1 Main factors which influence location decisions (1 questions)
Login to see all questions.
Click on a question to view the answer
Recommended Location: A high footfall area in a medium-sized city like Bristol or Nottingham.
Justification:
- High Footfall: The Daily Grind relies on walk-in customers. A location with high foot traffic, such as a city centre shopping street or near a university, is essential for visibility and attracting customers.
- Medium-Sized City: A medium-sized city offers a good balance. It provides a large enough population to support the business but avoids the intense competition and high rental costs of a major city like London.
- Target Market Alignment: Bristol and Nottingham have a strong student population and a vibrant cultural scene, which aligns well with The Daily Grind's target market of young professionals and students.
- Accessibility: The location should be easily accessible by public transport and have adequate parking facilities.
- Competition Analysis: A thorough analysis of the existing coffee shops in the area is necessary to identify gaps in the market and differentiate The Daily Grind.
- Rent Costs: Rent costs in Bristol and Nottingham are generally lower than in London, making the expansion more financially viable.
Alternative Considerations: A suburban location near a shopping centre could also be considered, but this would require a different marketing strategy to attract customers.