Wednesday, September 2, 2009

BizCafe Case Preparation

• What do you see as the advantages of the proposed location for the café on Main Street?
My cafe is located next to a women's clothing store , as well as another popular dinner restaurant and a bookstore. Shopping, dinner, and bookstores are all perfect compliments to a coffee shop. I could see women shopping at a clothing store, then deciding to get a cup of coffee; or a couple on a date at a dinner restaurant and deciding to go for coffee and dessert after to continue the conversation; or even a group of college kids grabbing some coffee "to-go" on their way to the bookstore to meet for a study group. Any situation, my cafe has many advantages from its location. Even local businesses are located by the cafe, and we all know business people love their coffee.

• List what you think will be the initial start-up costs for your café. What will be the balance in
your checking account after you have paid for these start-up expenditures?
I think the initial start up cost will be about $15,000. If I have an initial amount of $20,000 to start my business, I predict I'll have around $5,000 after I pay for all my business's needs.

• Fixed costs are costs that do not change with fluctuations in volume, and typically are more
difficult to change depending on circumstances. What are some of the fixed costs for your
café? Can you estimate a total amount for fixed costs for the month?
Fixed costs are things such as rent, utility bills, etc. I estimate that my fixed costs per month will be about $3,000.

• What do you think will be taken into consideration when choosing the cafes to receive the
two awards in the simulation? What decisions can you make to improve the ambiance of
your café? What types of decisions do you think will impact customer satisfaction?
I would consider the profit make and customer satisfaction. Cleanliness, music, and furniture are all factors I think would improve the ambiance of the cafe. Friendly servers, quick and good service, organization, and the quality of coffee are all factors that could improve the customer satisfaction.

1 comment:

  1. You put some thought into this. I like how that ties into the rest of what you are doing with your simulation.

    ReplyDelete