Location of a business

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Many factors will have influenced where a business is located. The success or failure of a business frequently depends on its location. The right location will increase the chance of a business succeeding whereas the wrong location could increase the chances of a business failing. The amount and cost of land clearly depends on the business’s choice of location, but so do things such as the nature of land. Businesses like oil refilling and superstores need large, flat sites, which can bear heavy loads and have a lot of open space.

A site in bad condition needs more money spent on it and local planning restriction must also be considered. The factors which affect a businesses location have changed in relative importance in recent years; for example, the quality of modern-day transport and communications means that it is less important nowadays for a firm to be based either near the source of its raw materials or very close to the market for its finished products. However in order to generate revenue, certain businesses, like coffee shops, need to be accessible and it is very useful for them to be near train stations and main roads.

Rent is obviously an important factor but first the company has to consider the new premises, whether the building is correct type or it is large enough. A small manufacture will need 60% to 70% of the floor space for production, 20% for storage and 10% to 15% for offices. The site also must have easy access for Lorries and the privilege of allowing Lorries to turn easily on the site. Other businesses will need 90% for selling their products and only 10% for storage. Other factors affecting the location of a business are the surrounding people; how wealthy are they? What is the average age etc and are there suitable people who could work for the business.

In terms of my 3 chosen business ideas, the transport is important only for delivery as in all my ideas I won’t be exporting goods. My business site is on a road with a space behind it for deliveries. The train station helps all businesses for access in particular the coffee shop which will heavily benefit from the passing commuters. In terms of the school supply shop, it is a good location as it is close to family homes and 25 schools within a 3 mile radius. The sports shop would do well as Horsley is a centre point of many sports clubs and teams.

Competition for my business ideas Sport Shop (in yellow are closest shops to their respective maps and titles) Coffee Shop School Supply Shop Doing this research helped me to identify local competition. I found that there were a lot of sports shops although they weren’t particularly local whereas there is only one school supply shop but it is very near to Horsley. Coffee shops are scarce and scattered The 17 schools closest to Horsley in a 5 mile radius.

Explain what is good/poor about the location of the business premises I chose and why it is a good choice for my short listed ideas. The location of my business site is useful for my short listed ideas. It has good road access and a train station nearby. Nearby people are wealthy and so plenty of revenue could be made if the right business idea was executed in the right fashion. As you can see in the map below it is a 5 minute drive from the M25 and even less to the A3 which are both major roads providing excellent access to my premises.

Horsley is near to places like Guildford and Leatherhead which both contain a large shopping complex and many high street shops. This puts it at a disadvantage because it cannot compete and attract as many customers. However it is very accessible so if the shop becomes a success, customers could visit it with ease. My business site suits my business ideas because there is little competition nearby and there are valid reasons for all 3 business ideas being chosen. Right outside my shop is plenty of parking spaces meaning it is easy and hassle free to visit the premises.

In terms of my 3 chosen business ideas, the transport is important only for delivery as in all my ideas I won’t be exporting goods. My business site is on a road with a space behind it for deliveries. The train station helps all businesses for access in particular the coffee shop which will heavily benefit from the passing commuters. In terms of the school supply shop, it is a good location as it is close to family homes and 25 schools within a 3 mile radius. The sports shop would do well as Horsley is a centre point of many sports clubs and teams.

Undertake detailed market research to see if my short-listed business ideas will be successful in my location. Hello my name is Oliver Carpenter and I am a gcse business studies student. For my coursework assignment I must ask the public to determine which of my 3 business ideas would be best suited for the vacant business site in station parade. I am asking a sample size of 50 people. I asked 15 people on a Saturday and 15 on a Sunday. I also asked 10 people on Tuesday and 10 on Thursday. On the weekdays I stood outside my vacant business site at 16:30 and on week-ends I stood outside at 10:30

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