Chapter Name: Business expansion options
Description:The "Business Expansion Options" module explores the various strategies and approaches that franchises can use to expand their operations. It covers different methods of expansion, such as opening new locations, franchising, joint ventures, acquisitions, and entering new markets. Students will learn how to evaluate the potential benefits and risks of each expansion strategy and understand the factors that influence the choice of expansion model. The module also focuses on the financial, operational, and market considerations that need to be taken into account when planning for business growth.
Purpuse:The purpose of this module is to provide students with the knowledge and skills to assess and select the best business expansion strategies for a franchise. It aims to help students understand the practical steps involved in expanding a franchise, including identifying suitable markets, analyzing financial requirements, and evaluating growth opportunities. By mastering these strategies, students will be able to make informed decisions that contribute to the sustainable growth of the franchise.
Rational:The rationale for this module is based on the understanding that expansion is a key driver of business growth and success. For franchises, choosing the right expansion strategy is critical to increasing market share and profitability while minimizing risks. By learning about various expansion options, students can develop the skills to guide their franchise through the challenges of growth, ensuring that expansion efforts are well-planned, financially viable, and strategically sound.
Chapters Topics
Methods of growth
Methods of growth explores various strategies that franchise businesses use to expand their operations and increase their market share. It covers both internal and external growth methods, including organic growth, where new locations are opened by the franchise itself, and franchising, where the brand leverages franchisees to open additional outlets. The chapter also delves into more advanced strategies such as master franchising, where a franchisee takes on the responsibility of expanding the brand in a specific region, and acquisitions, which involve purchasing existing businesses to broaden market reach. Additionally, the chapter discusses product diversification as a method for growing a franchise by introducing new products or services to attract different customer segments