Case Study 4 Lazybones Case

Case study 4 - Lazybones

1. Lazybones is described as the hardworking company with its beginning being deeply seated in struggle and battling with financial struggles of the business. Growing this kind of business may have been the right move even earlier, considering about 15 years of company 's lifespan produced only 5 stores, which is not that admirable for the reader of this case. Quantity of these stores doesn 't have to affect its quality, if anything a dozen of other factors should be taken into consideration. In a mid-way of the expansion process it is said that Dan, one of the owners, works twice as much for less money, approaching life age of 40. I must admit in every case it is explained how much start-up costs in the sense of

3. There are a number of advantages in the franchising business in comparison to other means of growth, while numbers aren’t so big for disadvantages, at least in this case. Preparing for the franchise is the tedious part of this business plan, where situation doesn’t allow any necessary losses, considering financial structure of the job being very sensible. Biggest advantage of franchise is profit, gained from the basic streams of franchising and representing additional support for the stores that are already in function and direct ownership. Company also receives strength through size, even though it isn’t directly owned, it will most surely allow them to expand even more. For an example, McDonalds has direct ownership only over minority of their units through the whole U.S. and they are still massive business figure. Income is received on a monthly basis in most cases, ensuring company leaders and giving them strong push forward without having to think about revenue restrictions. Opening new units takes great amount of time, money and effort, where time crucial factor, considering Dan being close to his 40’s. More money, less work - that would be another massive advantage following franchising strategy. Although not so great in numbers, there are some disadvantages. Only company is at potential risk and they are the foundation of every link customer has to the brand. Every partner gets the most of their business served at the plate, while company owner must their media connections, management, brand quality and popularity. Expectations of business can never be met if business isn’t upgraded to the point where partners will fight to offer you higher fixed fees and royalty income. While setting up franchise certain training, staff and handbooks must be provided, which can’t be really put in any category, there is no much of a disadvantage in that area. Keeping business in constant expansion is most certainly goal of every franchise and that would do the trick, if