Exam 14: Choosing the Right Location and Layout

Choosing a location in which many other businesses have failed can create a negative image, even for a "new" business.

A type of business that does well when located near competition is ________.

The "friendliness" of the overall business environment is an important consideration in location selection and information is available to offer objective insight for this assessment.

The "Best and Worst States for Doing Business" indicates that California is one of the least attractive states in which to do business based on these factors ________.

Reilly's Law of Retail Gravitation ________.

To calculate the IRS, a retailer needs to know the number of customers, the number of competitors, and the total square feet of space allocated to selling her/his kind of product in the trading area.

Which of the following information is not available from Census data?

Mini-Case 14-1: Hungarian Heaven Mike Pontya has operated a neighborhood restaurant in Cleveland for over 30 years. Mike is planning to move to Arizona because of his health, and has put the business up for sale. The restaurant, which caters to the local trade, is well known in the Hungarian community of Cleveland as having the best authentic Hungarian food in town, but it is not in a traditional restaurant district. The restaurant has parking for 10 cars. Most customers park on the street. In the past, this was not a problem as there was a great deal of walk-in business from the neighborhood. Now, however, a new four-lane highway passes by the front door of the restaurant. There is a stoplight on the corner the restaurant is on to improve access to the highway for drivers emerging from the neighborhood. The flight to the suburbs has taken a heavy toll on the neighborhood. However, the restaurant is still doing well financially. Terry and Judy Kozma are brother and sister who share a love for cooking and a desire to be in the restaurant business. All of their relatives have encouraged them to quit their jobs and buy the restaurant. Terry and Judy were reared two blocks from the restaurant, and both worked part-time for Mike Pontya while in college. -What site analysis criteria are relevant to Terry and Judy's evaluation of the restaurant's location?

When conducting a regional evaluation, one of the first places an entrepreneur should turn for information is the U.S. Census Bureau.

A labor force that has technical training would be most important to a ________.

By studying the demographics of a proposed location, a small business owner can determine how well it matches the market for the owner's product or service.

What is the state's overall attitude toward your kind of business? Has it passed laws that impose restrictions on the way a company can operate? Does the state offer small business support programs of financial assistance to entrepreneurs? These questions help an entrepreneur to assess the overall ________.

A glass manufacturer that requires an extremely pure, very fine sand in its production process would be most concerned about the ________.

The first level of the location decision is the selection of a particular region of the country.

A ________ contains from 12 to 50 stores and serves a population of 40,000 to 150,000 people.

Generally, the larger a retail store and the greater its selection, the broader its trade area size.

Which of the following is an important consideration for an entrepreneur evaluating a shopping mall or center location?

Retail compatibility describes the benefits a company receives by locating near other businesses selling complementary products and services.

TIGER ________.

Shopping centers are always a wise location for a small business owner to choose.