Create a Problem Statement

Create a problem statement
Two of the main issues that were clear in the KFF chapter and highlighted as weakness points in the SWOT analysis are limited geographic expansion and Del Mar location. From many topics that we covered in the last two weeks we can resume that Del Mar location can be related into one of the 4Ps which is the place, and limited geographic expansion is related to the management approach applied but as a common point both of them are related to the selection of a suitable geographical location which is an essential point to succeed in this business.
For the Del Mar location, it is not performing as expected due to the point that the town is too small to really support the store. It is clear that location is not only related to physically where it needs to be, but also some statistics related to environment and economic like population, income, and customer needs which are main factors to be taken into consideration to compare estimated revenue versus cost and to decide if potential location worth investment.
The other issue noted in KFF story is geographical limited expansion. It is true that in the chapter this point is related to the management approach done by Kathy but in this paper, we will highlight on the study to choose the correct location to expand business because even if the managerial assistance will be established by recruiting competent persons, another point need to be discussed which is how to choose convenient location otherwise the case of Del Mar might be repeated.
The issue of choosing convenient location in different area where expansion of business appear to be a potential opportunity need to be done following a proper study of different factor related to business, customer needs and capability. In an article where subject is facility location analysis, the writer explain importance of doing a proper planning and dimensioning to specify number of location needed in different places and also the process how to choose a suitable place based on understanding location mission, design, place and utilization and at the end of the article, a conclusion summarize the importance of location and their values to have a successful business.
Another Article show how to analyze formulate and create a model for choosing convenient location based on a class of problems that can best be described as sitting facilities in some given space. In KFF case, create a proper model and translate into formula the different economic, population and other non statistical factors will help to decide where to expend business from geographical point of view.
An issue of choosing a suitable geographical location in KFF chapter is very important to be addressed as high priority with suitable tools that need to be established. Solving this issue will be one of the main key to keep KFF business succeeding due to store location facilities, and stay always one step ahead of other possible competitor due to the reason that store location is a key point in this kind of business.

Geoffrion, A. & Powers, R. (1980). Facility location analysis is just the beginning. Interfaces. 10(2), 22-30. Retrieved April 1980, from
Revelle, C (2001). Location analysis. Encyclopedia of Operations Research & Management Science. 22-30. Retrieved 2001, from

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