a) The owner of a fast-food franchise has exclusive rights to operate in a medium-sized metropolitan area. The owner currently has a single outlet open, which has proved to be very popular, and there are often waiting lines of customers. The owner is therefore considering opening one or more outlets in the area.
1. What are the key factors that the owner should investigate before making a final decision?
1. What trade-offs would there be in opening one additional site versus opening several additional sites?