Location Analysis Of A Franchise Restaurant :: essays research papers

Location epitome of a Franchise ResturauntProblem Statementcapital of Massach utilisetts Pizza multinational Inc. is a Canadian owned and operatedeatery. It has many facilities in Canada and has opened facilities in theUnited States and in Southeast Asia. Boston Pizza is penetrating push intothe Canadian market and is opening at a new fixture on 8th Street in Saskatoon.The chosen attitude has been the understructure of many previous eating house failures. Itseems odd that any eatery would pauperization to open in a location which has provento be unsuccessful. What characteristics does Boston Pizza have that otherrestaurants dont have that may allow this location to be successful? This newlocation will be the help Boston Pizza franchise in Saskatoon, complimentingthe facility operating on 50th Street. Will the market areas of these bothrestaurants overlap? * * * * *The early beginnings of this restaurant occurred in Edmonton,Alberta. In 1963 the first Boston Pizza and Spagh etti manse opened. The key outof the restaurant is seemingly odd because Boston is the name of a metropolis in theUnited States, and has nothing to do with a pizza restaurant located in Edmonton.Ron Coyle, the original owner, named the restaurant Boston because the BostonBruins NHL hockey police squad was the favorite of the Edmonton area in the 1960s andhe wanted his business to use sports as a promotion. Another reason, which mayhave been more of a coincidence, was that his accountants surname was Boston("only way", 37).Boston Pizza and Spaghetti House became a popular restaurant and in 1968it began to operate as a franchise. In mid-1968, Jim Treliving, a former drummajor for the RCMP, and his friend founding father Spence bought the franchising rights forBritish Columbia with the exception of Vancouver. They opened their first unitin Penticton, British Columbia, and in the first year of operation the pizzarestaurant grossed $52,000 and the nightclub which was co-locat ed with therestaurant grossed $80,000 (Cameron, 16).Meanwhile, franchise units opened in Edmonton, Winnipeg and Vancouver.As the pizza chain grew, Treliving and George Melville (who had become confusedwith Trelivings restaurants as a financial planner) became involved in realestate ventures in Hawaii and the Okanagon Valley and as well in oil investments inBritish Columbia (Cameron, 16). In 1983, these two men purchased Boston PizzaSpaghetti House from the original owner Ron Coyle for $3 million. This moneywas raised from private lenders ("recipe is simple", 16). During that same year,the supply of Boston Pizza was moved from Edmonton, Alberta to Richmond,British Columbia where it is found today.