Small Business Location Analysis: A Case Study Of Art House Café In UAE

Small Business Location Analysis

Select a small business of your choice and provide a plan or map showing the location of this S.B. On this plan also show nearby businesses and identify any competition and complementary businesses. Try to determine why the current owner chose this site. Comment on the suitability of the location for this particular type of business. Comment on the trade-off between the lease cost versus suitability of the location. If appropriate, recommend a better location and discuss why you think it is better. Show this recommended location on the plan. If this site is the best site, then discuss why it is so.

Details of small business and their current location, competition, etc. (Provide map/plan).

Discussion as to why this site was selected.

Analysis and commentary on nearby businesses (competition, complementary, etc.) and suitability of the location for this S.B.Comment on the trade-off between the cost versus suitability of the location.

Business used in the discussion

UAE has been identified as the vital environment for the business by investors worldwide (Burns & Dewhurst, 2016 p.89). It is well established as a conducive destination for development of multinational business due to large market. UAE is easily accessed due to large number of ports such as Dubai which makes it suitable for transportation of goods. Because of advanced infrastructures, available markets and adequate technology, UAE has been has been identified as perfect state to develop businesses both small and large.

In the discussion for management of small businesses in UAE, I have used the Art House Café. This is a small business found in Abu Dhabi in UAE. Generally, Art House Café was established with an aim of recycling materials and showing the work of art four years ago. The business is located along the Al Wasl road in Abu Dhabi.

A map showing the location of Art House Café (Chinomona, 2013 p.91).

Guests normally visits this café with the aim of viewing the work of the art being exhibited in their furniture’s and decorations. Different visitors tend to appreciate the type of food in Art House Café. Most of its food is delicious and they have a plenty of desserts starting from the Dh22 oozing with a lava-like richness. It is the most appealing dessert in Abu Dhabi (Goffee & Scase, 2015 p.31).They also have the most appealing juices such as the Go Green and other varieties such as the energisers. They tend to be vibrant in colour as the glass ceiling panels in the café.

The kind of tea offered in Art House Café with their appealing ceiling panels.

In addition, the café also tends to offer types of meals. Whether one is looking for the breakfast, coffee or even dinner Art House café has all these and all guests are welcomed. It had specified order for giving the breakfast meals whereby their menu extends from the pastries, a number of pancakes and above all the truffle scrambled chicken eggs (Carroll & Buchholtz,2014 p.41).If someone is after a light lunch the Art House Café has all these. There is goat cheese and beetroot for those who prefers the light lunch. All these food are substantial and they are affordable to all people.

The other meal which makes the Café unique in the entire UAE is the aspect of coffee. In Art House Café, coffee selection is always reasonable and vast in sense that their prices are reasonable and affordable. Those who have kids may find a good place for holidays. The café has enough space where kids can move around and play to their maximum (Carroll & Buchholtz, 2014 p.41).They have mac and cheese, mini burgers and nuggets which are popular and mostly loved by children. Their motive is to attract a number of guests through use of art whereby they have extended their creativity and painted foods on walls .This makes guest select menu more easily since all the foods are well displayed on the walls by use of amazing and appealing paints.

Suitability for the location of Art House Café

The manager is always hardworking and designing strategies to outdo the surrounding competitors such as the Yamaha café and other big restaurants.

A map showing the surrounding competitor of Art House Café in UAE (Gill & Biger, 2012 p.200).

Art House Café faces a number of challenges from the Yamaha Café. The two  businesses   tend to have similar foods for their customers .They are also located along the Al Wasl Road meaning customers can either choose one of them. Yamaha café which is located a few kilometres offers foods such as truffle scrambled eggs, morning pastries and pancake snacks which are also found in Art House Café. The only strategy which helps Art House Café is the ability to use the art techniques. They have beautiful arts which are appealing to their customers (Hotho & Champion,2011 p.21).This is the best marketing strategy which has assisted the Art House Café to thrive in a market full of competitors. Their competitor Yamaha Café don’t use Art to advertise their foods.

To my point of view the location for this Café is suitable and therefore management in this café should focus to design appropriate mechanism that will help in reaching different segments in the market. There were a number of factors which were considered by the owners when locating Art House Café (López, Contreras, Espinosa, 2012 p.31).These factors tends to be cost effective for the business in the marketplace.

First, the area has enough space which helps for parking purposes. Availability for space tends to be a vital factor to consider when designing a café or a restaurant. Art House Café has parking space and adequate space for walking around thus attracting a number of customers in the market. The land is enough for accommodating more than 5000 guests. Their tables are much squeezed meaning that there is free movement in the café thus reducing minor accidents such as slips and trips which results when there is congestion.

Secondly, the café is easily accessible and affordable. Art House Café is situated along Al Wasl road meaning that its easily accessible and visible .Customers need not to  move long distances in order to access Art House Café in UAE (López et al,2012).On aspect of affordability, Art House Café has friendly cost meaning most of the foods have fair prices and anyone can afford. This has been facilitated due to the fact that Art House Café is located in an area with large number of customers. There are no wastage since all foods are fully consumed by large number of customers available thus subjecting the café to make the prices fair and affordable compared to their competitors in the marketplace.

In addition, the other aspect which makes the site suitable for the café is the availability of security (Cope,Kempster,Parry,2011 p.81).Art House café is a long a busy road and there are adequate lights running 24 hours. The place is conducive and no crime rates thus attracting large number of guest. Security is always unglamorous consideration for settling any business. No crime rates around the Art House Café thus customers are comfortable when enjoying their meals thus enabling the business to incur profits.

Therefore, in conclusion the business need not to move to another location since it has met all the profitable factors needed to thrive in marketplace. The café is well located, meals have fair prices, has adequate space and adequate security (Cope et al, 2011).In addition, the café uses unique technique of Art to attract guests thus   enjoying huge profits as compared with their competitors in the market.

References

Burns, P. and Dewhurst, J. eds., 2016. Small business and entrepreneurship. Macmillan International Higher Education.

Carroll, A. and Buchholtz, A., 2014. Business and society: Ethics, sustainability, and stakeholder management. Nelson Education.

Chinomona, R., 2013. Business owner's expertise, employee skills training and business performance: A small business perspective. Journal of Applied Business Research, 29(6), p.1883.

Cope, J., Kempster, S. and Parry, K., 2011. Exploring distributed leadership in the small business context. International Journal of Management Reviews, 13(3), pp.270-285.

Gill, A. and Biger, N., 2012. Barriers to small business growth in Canada. Journal of Small Business and Enterprise Development, 19(4), pp.656-668.

Goffee, R. and Scase, R., 2015. The Real World of the Small Business Owner (Routledge Revivals). Routledge.

Hotho, S. and Champion, K., 2011. Small businesses in the new creative industries: innovation as a people management challenge. Management Decision, 49(1), pp.29-54.

López Salazar, A., Contreras Soto, R. and Espinosa Mosqueda, R., 2012. The impact of financial decisions and strategy on small business competitiveness. Global Journal of business research, 6(2), pp.93-103.