What kind of marketing works with students on college campuses?
Nextyou need to decide how to evaluate each of the four options fairly, and to dothat, you choose to create a decision matrix. You must select criteria toevaluate the four potential ventures. Because you need time to continue seekingfull-time employment (unless the new business really takes off), the mostimportant criterion is the time per week the business will require and theschedule flexibility it offers. Hence, you assign this criterion a weight of 8.
Becauseyou are running out of money, start-up costs are important, and each option hasrelatively low start-up costs. Therefore, you assign this criterion a weight of6. Each business you’re considering is likely to meet with at least somedemand. You want a business with enough demand to make money, which is why youassign demand a weight of 4. Moreover, the degree of competition is importantbecause you want to able to make a reasonable profit, and more competitorsmeans more competition based on price. You give competition a weight of 3. Ofcourse, legal and safety considerations are important with every business.However, you judge the liability and safety risks to be about equal for alloptions, so you omit these criteria from the evaluation.
Timeper Week and Schedule Flexibility. Pet sittingrequires the least amount of time and offers the greatest schedule flexibilityper week. Once you get the pet(s) situated, you can use your laptop to look forother jobs. Aquarium maintenance is second best in terms of time and scheduleflexibility. This business will demand less time per week than yard work wouldrequire. The third best option is yard work because you believe it offers moreschedule flexibility than running an errand service would. With an errandservice, you are at the mercy of your customers. You must be available wheneverthe customer needs you and work for as long as the customer wants.
Start-UpCosts. Compared to the other three options, pet sitting requiresminimal start-up costs. The most significant outlays include pet-sitterinsurance, website creation, and a pet first-aid class. An errand servicegenerates the next lowest start-up costs because you already have a car. Theonly other major expenditures are gas, car maintenance, and a navigationsystem. As for aquarium maintenance, you would have to buy an aquarium cleaningsiphon, an algae scraper, water test kits, filter media, fish medication,replacement fish (in case the meds don’t work), fish food, and a portable filterfor “polishing” your customers’ aquarium water. Of the four options, yard workcomes with the steepest start-up costs. Unless you want to wear yourself out ina hurry, you’ll need to buy a riding lawnmower, so that you can handle bigjobs. You will also need a trimmer/edger, a trailer, and eventually a pickuptruck.
Demandfor the Service. Some people love to do yard work, but many hate it. Someloathe it so much that they find a way to pay for yard service even when theirincome is low. You judge the demand for yard work as highest of the fouroptions. The next highest demand is for pet sitting. Boarding a pet at a kennelis very expensive, and it can be traumatic to take a pet from its home. Youjudge the demand for an errand service as having the next highest demand. Theidea of using a personal assistant is starting to catch on, especially becausethe population is aging and consequently less mobile. An aquarium maintenanceservice has the least demand because few homes and businesses have aquariums.
Degree of Competition. Theadvantage of lackluster demand for acquarium maintenance is that it attractsthe least competition of the four business options. Next, the errand servicehas relatively little competition followed by pet sitting, which draws lesscompetition than yard service but faces more competition than the otheroptions. Yard service is a very competitive business—the most competitive ofthe four.
Your Task. Write aletter report of five or fewer pages. Include conclusions, recommendations, anda two-part decision matrix with the rankings in the first matrix and theweighted rankings in the second matrix. Using the decision matrix as a basisfor your conclusions and recommendations will make writing this report easier.
YardstickReport: Parking Problem at Caputi’s Italian Restaurant (Obj. 5)
Youhave always enjoyed the great food at Caputi’s Italian Restaurant, owned byyour uncle Guido. Caputi’s is a formal, upscale dining Italian restaurant indowntown Tempe, Arizona, near the campus of a major university where you are astudent. Because of its steadily increasing business, Caputi’s has outgrown itssmall parking lot, which has only 20 parking spaces.
How can businesses benefit from Twitter, LinkedIn, or Facebook?Cite specific examples in your chosenfield.
2. Which is financially more beneficial to a business, leasing orbuying company cars?
3. Tablet computers and other devices are eroding the market sharepreviously held by laptops and netbooks. Which brands are businesses embracingand why? Which features are a must-have for businesspeople?
4. What kind of marketing works with students on college campuses?Word of mouth? Internet advertising? Freesamples? How do students prefer to get information about goods and services?
5. How can consumers protect themselves from becoming victims ofidentity theft?
6. Companies usually do not admit shortcomings. However, some admitprevious failures and use them to strategic advantage. For example, Domino’sPizza ran a commercial in which its customers said that its pizza tasted likeketchup and cardboard. Find three or more examples of companies admittingweaknesses and draw conclusions from their strategies. Would you recommend thisas a sound marketing ploy?