Location (DP IB Business Management: HL)

W H Hausman operates a chain of greenhouse farming facilities that grow fresh herbs and vegetables. The business selected its current location in a rural area due to the availability of large, affordable land plots and easy access to renewable energy sources.

While the location supports sustainable operations, it limits W H Hausman’s access to urban markets, requiring additional transportation to reach customers. The company is considering relocating to an area closer to its key customers but faces challenges such as higher rental costs and the potential disruption of its eco-friendly initiatives.

W H Hausman operates a chain of greenhouse farming facilities that grow fresh herbs and vegetables. The business selected its current location in a rural area due to the availability of large, affordable land plots and easy access to renewable energy sources.

While the location supports sustainable operations, it limits W H Hausman’s access to urban markets, requiring additional transportation to reach customers. The company is considering relocating to an area closer to its key customers but faces challenges such as higher rental costs and the potential disruption of its eco-friendly initiatives.

SoleMate operates a chain of shoe shops specialising in affordable yet fashionable footwear for men, women, and children. The company’s stores are located primarily in suburban shopping centres, providing ample parking and convenience for families. This aligns with SoleMate’s mission to make stylish footwear accessible to budget-conscious households.

Recently, SoleMate has experienced declining sales in suburban locations due to increased competition from online retailers. To address this, the company is considering expanding into urban high streets to attract a younger, trendier demographic and improve brand visibility.

However, moving into urban areas presents challenges. The cost of renting a high street store is approximately 50% higher than the rent in suburban shopping centres. Additionally, SoleMate will need to invest an estimated £50,000 per store to redesign interiors and tailor its product offerings to meet urban customer preferences. Despite these costs, the management believes the shift could rejuvenate the brand and position SoleMate for long-term growth.

SoleMate operates a chain of shoe shops specialising in affordable yet fashionable footwear for men, women, and children. The company’s stores are located primarily in suburban shopping centres, providing ample parking and convenience for families. This aligns with SoleMate’s mission to make stylish footwear accessible to budget-conscious households.

Recently, SoleMate has experienced declining sales in suburban locations due to increased competition from online retailers. To address this, the company is considering expanding into urban high streets to attract a younger, trendier demographic and improve brand visibility.

However, moving into urban areas presents challenges. The cost of renting a high street store is approximately 50% higher than the rent in suburban shopping centres. Additionally, SoleMate will need to invest an estimated £50,000 per store to redesign interiors and tailor its product offerings to meet urban customer preferences. Despite these costs, the management believes the shift could rejuvenate the brand and position SoleMate for long-term growth.

BrightGrow operates nurseries supplying ornamental plants to homeowners and garden centres. Its main facility is located near a highway, ensuring efficient delivery routes to regional customers. BrightGrow is known for its eco-friendly practices, such as using organic fertilisers and water-efficient irrigation systems, which align with its mission to promote sustainable gardening.

BrightGrow is considering opening a second nursery in a neighbouring region to meet growing demand for its products. The new nursery is expected to cost £300,000 to establish, including the purchase of land, construction, and initial setup of greenhouses. Local government representatives support the expansion, as it could create jobs and boost the local economy. However, some environmental groups have expressed concerns about potential habitat disruption caused by the new facility.

The company is evaluating key factors such as market potential, transportation infrastructure, environmental impact, and stakeholder views. Management aims to ensure the new nursery aligns with its sustainability goals while meeting the needs of its expanding customer base.

BrightGrow operates nurseries supplying ornamental plants to homeowners and garden centres. Its main facility is located near a highway, ensuring efficient delivery routes to regional customers. BrightGrow is known for its eco-friendly practices, such as using organic fertilisers and water-efficient irrigation systems, which align with its mission to promote sustainable gardening.

BrightGrow is considering opening a second nursery in a neighbouring region to meet growing demand for its products. The new nursery is expected to cost £300,000 to establish, including the purchase of land, construction, and initial setup of greenhouses. Local government representatives support the expansion, as it could create jobs and boost the local economy. However, some environmental groups have expressed concerns about potential habitat disruption caused by the new facility.

The company is evaluating key factors such as market potential, transportation infrastructure, environmental impact, and stakeholder views. Management aims to ensure the new nursery aligns with its sustainability goals while meeting the needs of its expanding customer base.