The first step in choosing a good business location is to identify the wants and needs of the desired
A location must then be found that meets these needs. For example, most businesses dependent on customer visits should be easily accessible by foot, public transportation, and cars.
Questions than can help guide an entrepreneur through choosing a good location:
− Is the local economy growing?
− Are building and construction on the increase?
− Will the reputation or layout of the town or neighborhood help or hinder trade?
− Will customers be driving their cars or walking?
Most customers value ample parking space, proximity to public transportation routes, or sites that
promote heavy pedestrian ‘walk-by’ traffic. Additionally, it should be determined if nearby businesses
will draw or repel the type of customer the business is seeking. Up-market restaurants, for example,
have been known to do poorly when situated near churches, schools, graveyards, factories, or businesses that produce odors or noise. Likewise, retail operations may find it tough going in front of fire hydrants or bus stops because these obstacles can hinder deliveries.
competitorsis another concern. Can your proposed business flourish next to a larger, flashier, and more cost
efficient operation? If not, it should be situated where it has a greater chance of succeeding.