The Body Shop Canada Term Paper

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Contents of the Case Report Executive Summary 3 Events and Incidents Leading up to the Primary Issue 4 Primary Issue 5 Objective 5 Analyze of the situation 5 Situational Analysis 6 SWOT Analysis 7 Identification of the Suggested Alternatives 8 Identification and Evaluation of the Alternatives 8 Financial Analysis 10 Decisions 11 Course of Action and Implementation 11

Executive Summary |

Richard Paul is about to graduate from his M.B.A program and planning to start running his own store. While scanning through job advertisement, he comes across of The Body Shop Canada. The notice stated that the company has number of operating stores available for franchise. Knowing the enormous success of the company, Mr.
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Paul comes with a thought of purchasing two franchises instead of one because he realizes there are 13 of the franchisees have multiple stores. The reason behind having multiple stores is because Mr. Paul thinks the start-up costs and operating expenses would be no higher than for a single store operation. Mr. Paul has two friends in mind that he would think would be a great partner to operate the franchise. Two of his friends will purchase a minority equity position of the franchise and it would be a great help for Mr. Paul because he would have additional capital.
City A, B or Both There are two existing locations that are available for Mr. Paul. One of the stores is located in City A and the other one is located in City B. Both cities have different advantages and disadvantages. Store that is located in City A is currently in franchise operation but the owner is planning to sell the franchise on the market due to family problems. Size of the store is inexpertly smaller than he has imagined. However, many people describe the location as the only good retail location in the city. On the other hand, the store in City B is located in one of the newest malls in an area surrounded by upscale housing and extensive development. In term of size, store in City B is much bigger compare to the store in City A. Mr. Paul is certain that both of these stores would be well above his expectation for start-up operations. He also owns a house in City B and he is willing

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