(Name)
(Instructors’ name)
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(Date)
Critical Thinking and Effective Writing
The main idea behind the idea of Roberto Martinez to expand his business was to increase his profits while doing two main things; he wanted to be able to retain his loyal customers who still looked up to him to supply them with first editions and books that were out of print, he also wanted to increase his profitability by increasing his customer- base by attracting new customers. This paper will, hence, look at the two plans critically and decide which expansion plan is the best for Martinez business.
The first plan Martinez is thinking about would involve him stocking his business with popular fiction and best- sellers. There are no such stores in his area to give him competition. However, if he goes with this plan, he must be ready to part with some of his old stock because he will only have room to stock the best of them. Under this plan also he plans to introduce a new evening series which will involve discussions featuring authors of the books that are out of print.
The second plan for Martinez and his store, involves the use of the newly acquired space to open a small coffeehouse. The coffeehouse would be furnished with couches and chairs like sitting room with a few places for dining. Other restaurants in the area are more formal. This would allow Martinez to maintain his old stock and have some space to stock more books lie poetry, novels and nonfiction.
I would advice Martinez to go with the second plan. This is because the second plan will help him attain the two objectives he had for the expansion of his bookshop; to retain his old customers and to attract new ones. While the first plan would provide him with a chance to attract new customers, it would also make him lose a substantial number of customers. This is because the plan would only allow him to carry only a few of his old stock. The second plan, on the other hand, would allow him to retain his customers of the books that are out of print and bestsellers because the expansion will not require him to phase them out. The second plan would also allow him to attract and acquire new customers through the new stock of nonfictional books, poetry and novels. The coffeehouse with the space and design for reading would also attract and acquire him new customers.
Customers would be attracted to the coffee house because it is different from the other coffeehouses in that it is designed like a sitting room which would allow the customers to read and hold such events like book clubs, discussions and meetings with their friends. So, Martinez would see an increase in business both in the coffee house and in the book shop. The customers in the coffeehouse might be interested in reading while taking coffee and snacks, which the restaurant will offer. The older customers of Martinez might also be interested in reading from the comfort of the coffee house and holding discussions and book club meetings in the coffeehouse, thus, increasing the profitability of the coffeehouse.
The first plan could not have offered Martinez with these numerous opportunities to expand his number of clienteles and retain his older clientele while increasing profits.
