Small Business Management: Restaurant Location Analysis and Report

This report analyzes the selection of a restaurant location based on provided data, specifically focusing on Darien, Connecticut. The analysis supports the decision to choose Darien due to its higher population density, average income, and commuting patterns, suggesting a greater potential customer base. The report emphasizes the importance of considering factors beyond population size, advocating for the identification of a specific market niche to optimize marketing efforts and reduce costs. The report references key business management texts to support its findings and recommendations, offering insights into effective small business strategies and decision-making processes.

Running head: SMALL BUSINESS MANAGEMENT 1
Small Business Management
Name
Institution

SMALL BUSINESS MANAGEMENT 2
SMALL BUSINESS MANAGEMENT
Question 7:
Based on the actual data provided in Appendix 16, I support the view of Robert and frank
to choose on Darien, Connecticut as the site for 2 restaurants. This is due to the fact that the
performances of the location is a head of the other available options in terms of metrics as
average income, population size, percentage of population and then lastly travel times(Hodgetts
& Kuratko, 1989). For instance, it had a higher population density, and a higher population
income. However, most of the people who stay in the location are the original family members of
the same households. Lengthier commuting periods better the possible need for ready meal as
compared to any available locations. In essence, in real life situation, this implies that
Connecticut will gain more client than other locations since they have bigger population and
better average income. I therefore, accept the decision due to the fact that even if the available
factors are to be put into consideration, they would not alter the decision as the initial preferred
choice were the major ones(Scarborough, Zimmerer & Naumes 1991). Nevertheless, Frank and
Robert are oblige to consider the remaining factors proceeding forward to make available a good
niche rather than taking into consideration the actual population size. When these individuals sit
down together with an intention of considering a specific niche they are intended to preserve,
they will aim on a narrow segment which is more efficient than the actual entry to the market
without a good understanding of their client’s base. Identification of the services to a particular
niche is quite effective because it reduces the total cost of marketing.

SMALL BUSINESS MANAGEMENT 2
Reference
Hodgetts, R. M., & Kuratko, D. F. (1989). Effective small business management. Harcourt Brace
Jovanovich.
Scarborough, N. M., Zimmerer, T., & Naumes, W. (1991). Effective small business management.
Merrill Pub. Co..