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Post date: Mar 11, 2013 12:30:11 PM
New Store Project: Level 1
In Level 1 you will start a new convenience store from scratch. Your goal is to guide your store to profi tability.
Specifi cally, your store must have a profi t greater than $5000 a week for eight consecutive weeks. If you reach
that goal, you will move to the next more challenging level of diffi culty. You face a single competitor. Many of the
customers in the city would welcome a more “convenient” alternative to this competitor.
Goal 8 consecutive weeks with profit above $5000 per week.
How To Begin
• Run the Market Research and Open New Store sections of the Tutorial.
• Run Virtual Business - Retailing 2.0 and choose New Store Project. Click standard city. Do some market
research. Complete the Level 1 portion of the business plan before you run the simulation.
• Open your simulation and start a store. For hints review the Pricing, Purchasing, Staffi ng, and Promotion
sections of the tutorial.
• Your goal is to make $5,000 for eight consecutive weeks. When you have done this, the simulation will tell you
that you have moved to Level 2. Save your simulation.
Hints
• Choose a location for your store using market research to fi nd the best location.
• Set prices to a reasonable level.
• Purchase enough goods to satisfy customers.
• Staff your store appropriately.
• Promote your store so that potential customers become aware of your store.
Complete the following Worksheet as a Group
Business Plan: Level 1
Store Name(s) _____________________________
Student Name(s) ________________________________
Student Name(s) ________________________________
Student Name(s) ________________________________
Location
Where are you planning to locate your store and why?
Pricing
What general price level will you set (answer in margin points)?
Purchasing
How much do you plan to buy? Give one number across all products.
Staffing
How many cashiers and stockers do you plan to hire across all shifts? Give one number for each job?
Promotion
What type of promotion will you use first? Why?
Merchandising
Which products will you carry? Which products require refrigeration?
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