The Impact of Location on a Service Franchise Business

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In the competitive business environment enterprises are investing heavily so as to remain competitive. Having an advantageous and competitive edge stretches from having a solid management team, a performing and trusted team of employees, and generally, a strategic location. In a service franchise business, the need to have a strategic location cannot be underestimated (Thompson, 2014). Due to the nature of a service industry, it is imperative for any business person to take into account the need to locate the business venture in an ideal environment that allows and caters for the clients’ needs.

For a service business like a beauty spa that has plans to expand its operations to a new country for example from a developed nation such as the United States to a developing country like Kenya in Africa, there are various location requirements that would be integral to it in enabling a successful transition. Some of the requirements that I would suggest to such as franchise business would include a consistent style of operation in the maintenance of the business image, lifestyle and demographics involved especially while seeking to establish the nature and expectations of the community targeted in the new market, the accessibility of the location by the target customers (Thompson, 2014). This can be achieved through ensuring that the business is located in open and conspicuous environment that attracts most people for instance in a town center.

Another requirement would include availability to basic infrastructure such as sufficient water and power supply, a robust road network as well as security (Thompson, 2014). Lastly, considering a location that is close to where most targeted customers are would suffice for the service industry.


Thompson, S. (2014). Factors to Consider When Choosing A Service Business Location Requirements. Modern Business Journal, 20(3), 171-180. doi: 10.1097/00006527-200020030-00011

October 24, 2023

Business Economics

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Business Analysis Customer

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