Case study Example | Topics and Well Written Essays - 750 words - 29

Case Study Example In addition, he went ahead to develop diversification strategies which saw the bookstore increase its stock to include magazines, scratch cards, music tapes, VHS videotapes, CDs, DVDs, and greeting cards. His movements from one location to another were necessitated by circumstances but his business continued to grow. He began the business alone developed it to level of having a part-time employee to help him and finally ended hiring a full time staff. Tim is planning to have Page Two move to a new building owned by Bob Turner. The owner has the good will to allow him have the building but he has to make a decision before an upcoming competitor Tammy’s Treasures takes it up. The approach taken by Page Two has pros and cons. The choice of products is quite adequate. Since the adoption of a diversification strategy, the bookstore has been on a positive path to profitability. The buyers of books are at a position of finding other things that they can relate to such as the videotapes among others. Apart from the products serving as another income generator, they play a critical role in marketing other products. This means that the traffic in the store increases which implies that more people will be attracted there. The products are also interrelated; it is likely that a customer may prefer an audio book as opposed to a print one, such can easily be found in the store. There is a high degree of complementarity of the products that are offered in the stall. An appropriate location is important for a vibrant business. Tim should consider the new location despite it being more expensive. The new location provides a spectacular opportunity for Page Two to adopt a new face. In addition, taking up the new location will restrict the competitor, Tammy’s Treasures from taking up the premises. As a marketing strategy that would ensure that Page Two’s brand is strengthened Tim can think of