Locating Your Business
Finding a site for your business is crucial. In the retail business,your sales potential depends mainly on your location. Like a tree, a store draws its nourishment from the area around it. A storeowner is already half successful if he sets up shop in a good place.
Study the population in the trading area. Is the neighborhood starting to be run down? Is the population moving away? Is it new and on the way up? Assess the purchasing power of the population. Do they own cars? Do they live in nice homes?
Look at the competition. Are the stores doing well? Or barely getting by? How many went out of business in the area last year? How many stores opened? Identify which could be your biggest competitors. If you intend to put up a sporting goods store, for example, you may find it advantageous to locate your store near your competitors’ because the combined appeal of two or more similar stores creates greater customer traffic.
Watch out for factors that might be detrimental to your business, such as smoke, dust, disagreeable odors and noises, proximity to garages, bars and pub-houses, hospitals, etc.
Locating Your Business
Study the population in the trading area. Is the neighborhood starting to be run down? Is the population moving away? Is it new and on the way up? Assess the purchasing power of the population. Do they own cars? Do they live in nice homes?
Look at the competition. Are the stores doing well? Or barely getting by? How many went out of business in the area last year? How many stores opened? Identify which could be your biggest competitors. If you intend to put up a sporting goods store, for example, you may find it advantageous to locate your store near your competitors’ because the combined appeal of two or more similar stores creates greater customer traffic.
Watch out for factors that might be detrimental to your business, such as smoke, dust, disagreeable odors and noises, proximity to garages, bars and pub-houses, hospitals, etc.
Locating Your Business
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