Lucrative Business Idea | Assignment

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Lucrative Business Idea
Location of business is one of the crucial decisions that operations manager need to
consider carefully. Consider you are proposing to develop a new business or expand an
existing business in New Zealand. Assume that you are the operations manager of the
business. Your task is to evaluate the location strategy and prepare a report. Consider two
different locations in New Zealand and compare suitability of your chosen location and
complete following tasks.
New Zealand is considered as one of the highly ranked countries when it is evaluated on
the basis of health, economic freedom, economic performance and living standards. It also
comes under the populous countries(Asquith, 2012). Auckland the most populous city of new
Zeeland is also the gold bank for the business investors.
1. Introduce your business (i.e., Product/service, target market, industry in which
your business operates) either you are setting up a new business or using an existing
company/business. (5 marks) 150 words
1. Child care is the industry of New Zeeland that is prospering rapidly with the high
demand in the market. Being an operational manager one should look for the lucrative business
model and as per demand of New Zeeland child care services would be the best option.
We are offering child care services under the name of MAMA BABY CARE CENTER.
These services would include taking the immense care of the child along with the medical care,
educational literacy at initial level (Jaye, Mason and Miller, 2013). Children will be assisted,
look after by the trained, experienced and vigilant staff(Grimes, Apatov, Lutchman& Robinson,
2016). Mothers will also be facilitated with 24hours services, such as they can bring their child
round the clock (Fraenkel et al, 2016). There will be an APP citing all the status of their child,

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such as health (Height, internal health, weight etc., Educational status, timings of entry and exit
etc. This app will provide a complete history of the child to his parents.
2. You would need to conduct research on two potential locations (e.g., two cities in
New Zealand) and to find relevant information in regards to the following FOUR criteria:
I) cost and availability of labor ii) customer density and demographics iii) market
demand of the goods/services, IV) attractiveness of the location (e.g., tax, culture, climate).
Explain briefly why and how these factors are relevant to your decision making. (10
marks) 400 words
The capital city of New Zealand is Wellington, whereas Auckland is densely populated.
It has a population of almost 1.5 million people (Gerritsen, 2016). The most suitable place for a
child care business is Auckland that is more populated than any other city. Auckland consists of
more working class with high ratio of women who need to look after their children, house
chores and office as well (Hall et al, 2016).
The average labor cost in Auckland is approximately 1192 kiwi dollars which has been
raised from 1184 kiwi dollars. Auckland is densely populated therefore it is the best suited place
to start a child care center. According to the census of 2016 the total population of Auckland is
1,415,550 (Roper, 2017). The average age of a woman for becoming a mother is 27 years, about
50% of Women are participating in the country’s economy such as serving in police, as judges,
professors, editors (Davies & Gai, 2018). This working class needs a second helping hand to
assist them in their daily life.
The best place to have baby care center must be a residential area with least pollution
and a peaceful place. The suitable area to start this center is Grey Lynn and Devonport. These
two areas are famous for their peaceful environment and affordability. Devonport is the best