Question

Imagine that you have been given ample funds to invest in a new retail venture. What kind of business would you start? You can be as creative as you like, but make sure to explain your reasoning and refer to concepts discussed in the reading to support your choices.

1. Determine the type of retail store you want to open. Be specific about the characteristics of the store type. Include product assortment, target market(s), service level, and price level.
2. Where will you locate? Be sure to consider:
   • Ease of movement in, around, and out of the location
   • Size and shape of the building
   • Likely terms of rent or lease
   • Surrounding stores
   • Type of shopping center, district, or freestanding store
3. Describe your product assortment in terms of depth, width, and quality. Which products will be the most important to consumers? Will consumers want other complementary products when they shop?
4. Is online retailing an option for your new venture? Why or why not?

Answer 1

I would start an ice cream parlor because ice cream is something which people of every age group, every gender, every race etc. buy. Whenever someone feels low or is happy ice cream can be the solution.

It would be small store, having different varieties of ice cream like cone, sundae, scoop etc. Also, the store would be having as many as possible different flavors of ice cream.

Target market would be everyone, but specially the age group of 10-25 years.

Service would be provided 7 day a week, from 9 am to 10 pm.

Prices would be less as compared to the market through special discounts and later on it can become normal.

The store would be located in a central market near to schools and colleges.

Size and shape of the building would be like a scoop of an ice cream or like a cone, in order to attract the customers and differentiate from the competitors.

It would be on rent for the initial period.

Surrounding stores can be food outlets of apparel stores.

It would be a free standing store.

As described earlier there would be different flavors (depth) & different variety (width) of ice cream available. Quality will be given utmost importance.Chocolate & Vanilla ice creams would be the most preferred ones as per trends. Yes customers would love to have complementary products and it will definitely increase the sales.

First it can be a offline store for initial few months and at a later stage it can tie up with the food delivering partners like zomato.