03-28-2015, 10:34 AM
(03-28-2015, 09:49 AM)ookpik Wrote: In large city downtown cores every office tower has its own coffee/sandwich shop. Presumably there are enough workers in each building to keep each shop viable. Does it matter from a business point of view if each shop is independent or if they all belong to one or a small number of corporations like Starbucks, Timmies, Second Cup, etc.? (I appreciate that patrons of such shops might prefer more independent shops for greater variety, higher quality, a personal touch, etc.)
From a business point of view, the franchisees normally want to have a reasonable territory that doesn't have other stores of the same brand, whether Starbucks, McDonalds or Toyota. This avoids having the franchisees try to take customers from each other, rather than from the competing chains or stores.
It's the normal scenario, but certainly not the case 100% of the time.