The document discusses various factors to consider when choosing a location for a business, including retail location types such as downtown areas, neighborhood shopping centers, community shopping centers, and regional shopping centers. It also addresses stand-alone stores and warehouses as potential retail locations. Key factors that determine the best location include the type of business, target customer base, availability of parking and visibility. The document emphasizes the importance of selecting an optimal trade area and avoiding direct competition within that area.

1. Chapter 8 –Choosing a Location Business Ownership Spring 2007 Williams C. Greene, (2000). Entrepreneurship Ideas in Action. Cincinnati, OH: South-Western.

2. Lesson 8.1 Choose a Retail Business Location Choosing a location for your business can be very beneficial for you as a entrepreneur. Choosing a bad location can be disastrous. The type of area you choose will depend on the kind of business you operate and the type of people in your community. (pg. 166)

3. Downtown Areas Downtown areas represent central location opportunities you may want to consider. Offices and professional businesses are located in downtown areas. Many downtown areas have disadvantages such as; traffic, lack of parking, and crime. (pg. 166)

4. Neighborhood Shopping Centers These are shopping centers are small shopping centers that serve a certain neighborhood. These centers represent good locations for stores selling goods or services that people need to purchase frequently. (pg. 166)

5. Community Shopping Centers Community shopping centers are designed to serve residents of many neighborhoods. Community centers usually have one or two major tenants, known as anchor stores like; Department stores (Dillard’s, Macy’s) Discount stores (Wal-Mart, K-Mart) (pg. 167)

6. Regional Shopping Centers Regional shopping centers are designed to attract customers from an entire region. These large shopping areas usually have three or four anchor stores and more than 40 other stores. (Example: Malls) (pg. 167)

7. Stand-Alone Stores Stand-alone stores can be located just outside of shopping centers or far away from other businesses. They must have plenty of parking, good signs, and effective lighting. (pg. 168)

8. Warehouses Some retail stores, such as appliance dealers or furniture sellers operate in warehouses. Locating your business in a low-rent warehouse may allow you to charge lower prices than your competition. See Table on pg. 168 for advantages and disadvantages of locations

9. Selection of Your Site Question: Given all the possible types of locations for retail business, how do you decide where to locate your business. The trade area is the area from which you expect to attract customers. (pg. 169) Use of a map to mark your trade area: Businesses That Attract Same Customers Competitors X Proposed Location X X X X

10. Choose a Location for a Non-Retail Business For some service businesses, such as restaurants or hair salons, locations is as important as it is for a retail business. Convenience is an important factor for many service businesses. If customers never actually visit some service businesses then location is not that important. (pg. 171)

11. Lesson 8.3 Obtain Space and Design Layout Once you choose a location for your business, you will have to lease or buy space. (pg. 174)

12. Lets Take a Real Look at Location Tell me why Sonic is so popular for students of King H.S. What about McDonalds?

13. Commercial Leases In a lease contract, there is a tenant and a landlord. The tenant is the person who pays rent to occupy space owned by someone else. The landlord is the person who owns and rents out buildings or space. (pg. 174)

14. Design the Layout of Your Business For a retail business, appearance is very important in the design of their store. Appearance is less important in non-retail stores.

15. Retail Floor Plan See Sample Floor Plan on pg. 176 Cash Register Storage Shoe Rack Shoe Rack Clothing Racks Dressing Rooms Rest Rooms Clothing Table Window Displays Seating Area Table Display New Shoe Display