Wednesday, 9 February 2011

11x the BIG question...


Why do you think some businesses choose to locate near competitors or other similar businesses? Try and think of three reasons...

27 comments:

  1. They choose to locate near competitors because they know that customers already go there to buy products. this allows them to steal their customers.

    Lizzieee :)

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  2. 1) More likely to get the right kind of customers, because they'll know that the similar store is here.
    2) More customers will come to see the wide range of stores in that particular market.

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  3. because custumers know where that shop is so thay might choses to go to thats shopbn

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  4. Businesses locate near their competitors because, there are already customers there so they dont have to advertise as much for them, also more customers will be attracted as their more shops selling a variety of similar products, also customers would be attracted as being close to competition means that competetive pricing will come in and customers like cheap prices :)
    Neil

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  5. They may locate near competitor's because:

    1. Take some of their customers
    2. Consumers will go to your shop simply because it's closer

    Jem.

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  6. Some businesses may choose to locate near their competitors or other similar businesses because if many businesses of the same products are near, customers may be attracted to this area as they will have more choices.

    Also, if the business is confident in their services/products, they may be able to attract the competitor's customers and turn it into their advantage.

    Another reason could be that if there are businesses selling the same product as them in the same area, then the particular product must be popular, therefore there should be enough customers for both (or more) businesses to survive and make a profit.

    Fonticha

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  7. ALISHA;
    this is because they already have people/ potential customers visiting that are visiting that site in which they may be after the same things that they buy in the other business and then they may look around yours and find that some of your works/ prices are better so then they will come to you and it will be convinient for them seeing as they've been going to that site/near that site all along in the first place.
    basically
    - is'nt out of customers ways.
    - already have potential customers.
    - don't need to advertise as much.

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  8. 1. If they locate near similar businesses then there will be suitable customers who already go to that area
    2. They can try and be better than the competitors to attract more customers and be a better business
    Becky

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  9. Because they already have got a lot of customers going there already so if they locate near them then their customers might come to there business.
    Chloe.

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  10. One reason is because it will mean that people will already go to that particular area to get the products that they sell, and so people will already go there = more sales.
    Another reason is because potential customers will be able to see the different price ranges for the same product, and so if the new business has better prices, they may get better sales.

    Megaaan :)

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  11. Because there are already customers therefore demand for the products there - meaning they will get customers immediately. If a customer goes to one shop and discovers that something similar is very near, they are likely to look in both for the best price. This means you are more likely to survive as there is a guarentee of customers.
    Katie

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  12. Businesses may decided to locate near competitors becuase the area is already well known by customers. The location maybe in a dense area of housing, meaning that their would be enough employees to hire for labour.

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  13. 1) If people go to one shop, they will see another one located next to it and will probably visit that too.

    2) People will be more inclined to go to a shop if it has a similar one near it because they can visit two in one visit and save time and petrol.

    3) A busienss can advertise lower prices than the business next to it and therefore hopefully get more business as people can clearly see they are cheaper.

    Zoe.

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  14. chelsie; some businesses choose to locate near competitors because then more people are attracted to the other competitors businesses aswell as your business. :S

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  15. shanice:
    Some businesses choose to locate near competitors or other similar businesses because then people are more attracted to the other businesses aswell as your business.

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  16. some businesses choose to locate near other business because if a customer knows there are 2 or 3 of the same kind of retailer in the same area customers will want to go there so they can compare a lot easier and can find the cheapest price, and they know that customers wanting that product come to that area, and if they are selling cheaper products they can go and steal all of the competitor's customers

    Dom

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  17. Some businesses locate themselves near other businesses as customers will be attracted to them as they know they can visit this area and compare them against the other shops etc, this will attract more customers and as long as they are offering better deals they should have more sales.

    J_KE LEW_S

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  18. because there are already customers searching for the same product so the business setting up near the competitor will be more likely to get people entering the shop to compare prices and products with the other one
    hark

    dun knooooooo

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  19. Some businesses choose to locate near competitors or other similar businesses because they believe that if customers know that an existing business with a similar product would attract customers then you have already got your market in that location. Another reason could be that the business would find that other business would be all found in one area e.g. like Farnborough Gate which would attract more consumers.

    Takbir

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  20. one reason is that it will be in the same area as other shops where people go to look for the same products. ej

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  21. the customers find it convenient if similar businesses are together...if they are looking for electricals then they would go to a place with more than one electricals store to save on time and petrol and money in general as there could be differen prices in deifferent stores.

    it gives you more of a variety of products to choose from.

    if the better company moves in and competes with the smaller one..you can become even more profitable as they can't keep up with you.

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  22. If a competitors business is already in a current location then customers will go there. This means that customers will be interested in purchasing a good that the company sells and it gives them a chance, if they are better than their competitors, to show how the customers will get better quality products from their business.
    Dani

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  23. Some people will go to the shop becauswe its closer

    Ant millard

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  24. JAAAAAAAAAAAAAAAAAAAAAAAAAAAAAKE

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  25. Anonymous said...
    some business locate next to others so that it will make it easierr for customers to go there if they have other shops near them so they do them all at once. another reason is that they maye think they are better than there competitor and think they can steal all the competitors cusotomers. and dunkno a nother reason m8
    PEACE!! XD

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