Case Study on Expanding a One-store Operation to a Two-store Operation
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Buster’s will be participating in an exciting, growing market. Buster’s as a retail business that sells mixed bag of items are now planning to extend from one-store operation to a two-store operation. With the increasing demand of products offered by Buster’s the need of opening another store that occupies 1000 square feet of space is necessary. Aside from these Buster’s will also need to hire another two employees in accordance to the desired two-store operation.
Buster’s is a full line store, one stop shop for both retail and commercial business. We fill the need for over 12,000 different types of bags and related accessories and products. We sell everything concerning mixed bag of items such as items that occupants of the office building will want, including snacks, pre-wrapped sandwiches, bottled/canned beverages, greeting cards, newspapers, paperback books, and small gift items that the building’s tenants might find attractive.
· Retail – Consumers need a one stop store with exceptional value to get the products they need. Our breadth of line, knowledge, and service is what sets us apart from the competition.
· Commercial – From small companies to large companies, businesses and service organizations are constantly seeking availability and quality for a range of bag items needs. We meet those needs and companies have come to depend on us for superior product knowledge, product conditioning, as well as maintenance and delivery services.
· Tech Center – For, technology related items, Buster’s is equipped with an onsite Tech Center where we have the capabilities to test, recondition, and build tech packs for any customer. The Tech Center gives us an inroad to many unique applications and industries.
Buster’s will become a profitable venture. Margins are forecasted to be at 50%. Year one sales will be $ 500,000 with a 15 to 20% growth rate over the next 5 years.
Buster’s is opening another store. However, Buster’s has been well received, and marketing is now critical to its continued success and future profitability. The store offers an extensive offering of high-quality retail products. Buster‘s mission is to deliver superior quality products and services for the customers and communities through leadership, innovation and partnerships. Buster’s aims to become the market leader in the retail industry and to have a solid base of pleased clients who will eventually spread the word of the business. We exist to attract and maintain customers. When we adhere to this maxim, everything else will fall into place. Our services will exceed the expectations of our customers.
To satisfy our clients’ in accordance to their needs.
To provide an atmosphere where clients could have a place with friends and loved ones to spend quality time while enjoying our products. To provide our patrons service with a smile.
To be socially responsible in the carrying out of business operations. To contribute to the economy of (name of location).
To build an image that (name of location) has some of the world’s best retail business.
1. Maintain positive, steady, growth each month.
2. Generate at least £20,000 in sales per month in (name of location).
3. Experience an increase in new customers who are turned into long-term customers.
4. Realize a growth strategy of one store per year.
1. A double-digit growth rate for each future year.
2. Reduce the overhead per store through disciplined growth.
3. Continue to decrease the variable costs associated with production.
Organization of the Business and Key players
When running a business project, it is important to understand the values and issues that key...
References: Abbott, P. & Sheldon, I. (1996). Industrial Organization and Trade in the Food Industries. (Ed.) Boulder, CO: Westview Press.
Arter, D, (2002). Quality Audits for Improved Performance. ASQ Quality Press;3 edition.
Burke, R. (2003). Project Management: Planning and Control Techniques. (4th ed.). West Sussex, England: John Wiley & Sons.
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