Picking the Right Area and Design.

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Picking the Right Area and Design. a choice is the move an official must make when he has data so inadequate that the answer does not present itself … Chief naval officer Radford. SCORE Marketable strategy.
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Picking the Right Location and Layout a choice is the move an official must make when he has data so fragmented that the answer does not present itself …Admiral Radford

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SCORE Business Plan Marketing Plan Market research Economics Product Customers Competition Niche Strategy Promotion Promotional Budget Pricing Sales Forecast

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SCORE Business Plan II. Operational Plan Production Location Legal Environment Personnel Inventory Suppliers Credit Policies Managing Your Accounts Receivable Managing Your Accounts Payable

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Location-Source of Competitive Advantage Choosing the Region Choosing the State Proximity to business sectors Proximity to required Raw materials Wage Rates Labor Supply Needs Business Climate Tax Rates Internet Access Total Operating Costs

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Location (cont’d) Choosing the City Population Trends Competition Clustering (centralizations of interconnected organizations, particular suppliers, and administration suppliers) Compatibility with the group Local laws and regulations (zoning: a framework that partitions a city into little cells or regions to control the utilization of area, structures and destinations) Transportation systems Police and fire insurance Cost of utilities and open administrations Quality of life Choosing the Site

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Criteria for Retail and Service Businesses Trade zone size Retail similarity Degree of rivalry Index of retail immersion Reilly’s Law of Retail Gravitation Transportation system Physical, racial, or passionate obstructions Political boundaries Customer movement Adequate stopping Reputation Room for extension Visibility Location (cont’d)

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Location (cont’d) Retail similarity : the advantages an organization gets by situating close different organizations that offer corresponding items and benefits or create high volumes of activity

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Location (cont’d) Index of retail immersion : a potential\'s measure deals for each square foot of store space for a given item inside of a particular exchanging range: proportion of an exchanging area’s deals potential for an item or administration to its business limit IRS= (CxRE)/RF, where IRS is record of retail immersion C is number of clients in exchanging zone RE is normal retail consumption per individual for the item in the exchanging region RF is aggregate square feet of offering space dispensed to the item in the exchanging territory

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Location (cont’d) Reilly’s Law of Retail Gravitation : a business’ capacity to draw clients is straightforwardly identified with the degree to which clients consider it to be a ‘destination’ and is conversely identified with the separation clients must go to achieve it. BP=d/1+SQRPb/Pa, where BP, separation from area A to break pt d, separation between areas An and B Pb, populace encompassing B Pa, populace encompassing A

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Location (cont’d) Location Options for Retail and Service Businesses Central Business District Neighborhood areas Shopping Centers and Malls Near Competitors Outlying Areas Home-Based Businesses

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Shopping Centers and Malls Neighborhood strip malls Community strip malls Power focuses Theme or celebration focuses Outlet focuses Lifestyle focuses Regional shopping centers Super local shopping centers Location (cont’d)

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Location (cont’d) Evaluation criteria for shopping center: Is there a solid match with different items sold in the shopping center? Who are different occupants? Which are grapple stores? Demographically, is the middle a solid match for your items/administrations? What amount of pedestrian activity does the shopping center create? The particular site? What amount of vehicle movement does the shopping center produce? (significant populace focus, volume of vacationers, volume of drive-by activity) What is mall’s opening rate? Turnover rate? What amount is rent and how is it ascertained? Is the shopping center fruitful?

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Location (cont’d) Location Decision For Manufacturers Foreign Trade Zones : exceptionally assigned territory in or almost a traditions port of section that permits occupant organizations to import materials and segments from remote nations; amass, process, make or bundle them and afterward send the completed item pull out while either decreasing or disposing of taxes and obligations. Strengthening Zones : a zone assigned as monetarily impeded in which organizations get tax reductions on the speculations they make inside of zone limits. Business Incubators : an association that consolidates ease, adaptable rental space with a large number of bolster administrations for its little business inhabitants

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Layout and Design Considerations Size Construction and External Appearance (straightforward, perfect and current, mixed bag) Entrances Americans with Disabilities Act Signs Building Interiors - ergonomics: the exploration of adjusting work and the earth to supplement employees’ qualities and to suit customers’ needs Lighting and Scent

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Layout: Maximizing Revenues, Increasing Efficiency or Reducing Costs Retailers framework format

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Layout (cont’d) Retailers freestyle format

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Layout (cont’d) Retailers boutique format

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Layout (cont’d) Retailers Space Values for a Small Store

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Layout for Manufacturers Factors in Manufacturing Layout: Type of item Type of creation procedure Ergonomic contemplations Economic contemplations Space accessibility inside of the office

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Layout (cont’d) Types of Manufacturing Layouts Product Layouts : as per the grouping of operations performed on an item Process Layouts : as per the general capacity they perform, with no respect to the specific item or client Fixed-Position Layouts : in which materials don\'t move down a generation line but instead, on account of size or mass, are collected on the spot Functional Layouts : mixes

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Principles of Lean Manufacturing Planned materials stream design Straight-line design at whatever point conceivable Straight, plainly stamped walkways Backtracking kept to a base Related operations found near one another Minimum measure of in-procedure stock close by Easy acclimation to changing conditions Minimum materials taking care of separations Minimum of manual treatment of materials and items Ergonomic work focuses Minimum separations between work stations and procedures No superfluous rehandling of materials Minimum taking care of between operations Minimum stockpiling Materials conveyed in the nick of time Materials productively expelled from the work region Maximum perceivability to spot issues and enhance wellbeing Orderly materials taking care of and stockpiling Good housekeeping; least disarray Maximum adaptability Maximum correspondence Layouts (cont’d)

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Dell Heavy lifting Flexible assembling Teamwork Speed testing Lean stock Victoria’s Secret ‘Landing Strip’ Central center Classier shading plan Bring in

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