Expanding a One-Store Operation to a Two-Store Operation

2733 words 11 pages
Case Study on Expanding a One-store Operation to a Two-store Operation

By admin on Nov 12, 2012 with Comments 0


Buster’s will be participating in an exciting, growing market. Buster’s as a retail business that sells mixed bag of items are now planning to extend from one-store operation to a two-store operation. With the increasing demand of products offered by Buster’s the need of opening another store that occupies 1000 square feet of space is necessary. Aside from these Buster’s will also need to hire another two employees in accordance to the desired two-store operation.

Buster’s is a full line store, one stop shop for both retail and commercial business. We fill the need for over 12,000 different types of bags and
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Families and business groups: a group of people, either friends or a group of nuclear relatives who are searching for retail products.
The Buster’s customers are individuals between the ages of 1 and 80, making up almost 100% of the ages in the area. Age is not the most defined demographic of this customer base; all age groups including kids less than 10 years of age can enjoy Busters’ products since they offered almost all types of retail products. The most defined characteristic of the target market is income Buster’s t stores have been very successful in high rent, mixed-use urban area. With this, the proposed area should have a large day and night population consisting of business people and families. Combining several key demographic factors, Buster’s arrives at a profile of the primary customer as follows:

Ø Sophisticated families who are looking for various retail products.

Ø Young professionals who work close to the location.

Ø Pasta, burger, delicacies lovers who patronize the excellent food and beverages.


As for financials, here are the assumed financials details in accordance to the proposed another store of Buster’s.

Expenses for new Buster’s Store

Leasehold Improvements – $ 15,000

Fixtures, Equipment, Signs – $ 35,000

Inventory and Supplies – $ 50,000

Computer/Point of Sale System – $ 12,000

Delivery Vehicle – $ 15,000

Prepaid Expenses – $ 5,000

Opening Promotional Campaign – $


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