The owner of a fast-food franchise has exclusive rights to operate in a medium sized metropolitan area. Currently, the owner has one outlet open, which has proved very popular, often with lines of waiting customers. Thus, the owner is considering opening additional outlets in the area. You are engaged as a consultant to advise the owner on the following: -What key Factors should the owner be aware of before making a final decision? -What trade-offs would there be in opening one additional site versus opening several additional sites?

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
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The owner of a fast-food franchise has exclusive rights to operate in a medium sized
metropolitan area. Currently, the owner has one outlet open, which has proved very
popular, often with lines of waiting customers. Thus, the owner is considering
opening additional outlets in the area.
You are engaged as a consultant to advise the owner on the following:
-What key Factors should the owner be aware of before making a final decision?
-What trade-offs would there be in opening one additional site versus opening
several additional sites?
Transcribed Image Text:The owner of a fast-food franchise has exclusive rights to operate in a medium sized metropolitan area. Currently, the owner has one outlet open, which has proved very popular, often with lines of waiting customers. Thus, the owner is considering opening additional outlets in the area. You are engaged as a consultant to advise the owner on the following: -What key Factors should the owner be aware of before making a final decision? -What trade-offs would there be in opening one additional site versus opening several additional sites?
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