20 Jun Decisions On Management
Peter is the owner and operator of a tailored suit store. His shop does not only offer tailored suits, it sells regular suits, alterations, and tuxedo rentals. His store’s location is in a high-end shopping district in Clearwater, FL. Clearwater, FL is approximately 23 miles West of Tampa, FL – a much larger city with many shopping options, including Men’s Warehouse. Peter’s small business is doing very well in his market mainly due to a lack of immediate competition.
News is brought to Peter that Men’s Warehouse – a franchise suit store – is going to open 2 miles down the street. Men’s Warehouse offers the same products and services that Peter’s store does. However, Men’s Warehouse is often cheaper because its ability to receive bulk discounts because of its national size. Peter understands that his products are superior and his customer service is the appreciated by his clients. Yet, he acknowledges his business environment is going to change quickly.
Address the following questions in a 1-page paper about the situation Daryl faces. Explain your answers with critical thinking and reasoning. Use the book to refer to any principles involved.
Ø IdIdentify the components that will affect Peter’s business. Will it be positive or negative?
Ø Will the business environment change as much as Peter fears?
Ø What are the opportunities and threats Peter is facing?
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