Critically discuss the statement Entrepreneurs who wish to expand Essay

Critically discuss the statement Entrepreneurs who wish to expand their business should first expand their networks - Essay Example At the appropriate times the company sends customized message to the customers with suggestion for flowers and presents. The company gains a world-wide reputation. Therefore, good management information systems fast the business operation and use resource more effective. Basket Company also involves similar business actives we discussed above, by equipping the management information system, will greatly support business operation. Now the competition f basket market is very furious, it is not enough to improve only the product, we should impress the customers as a person who cares them more than their selves. To achieve the goal, we have to identify the trend f customer needs. Like large office goods supplier---Staples. The company system maintains lists f previously ordered items. Over time, Staples learned a great deal about its customers' preferences and use that information to offer new items. We value our employees as they play an important role in company success, but only with the helps f those tools, our employees and managers can easily make the decision on buy from supplier and predicate the profits. Thus, the good management information system plays a more important role in the competition. One f the outcomes f information system is the strategies for competitive advantages. ... t to play in a competitive strategy, cutting the labor and administration cost during business operation, the business can sell goods or provide services at a price that is lower than the competitors. Surveys and feedback sessions will be conducted from detailed transaction records and various data to access the ongoing project. Expanding business network is in fact an expansion f an organization. Franchising is a generic term that describes a way f doing business. In essence a model f business structure that relies on a relationship in which an owner (franchisor) f a business has licensed others (franchisees) to use a business system and trade name to market and sell products/services. Thus it is a marketing concept f delivering products and services that can be applied across a diverse range f businesses. The International Franchising Association has developed 75 different categories describing the businesses f its members. Who is involved Franchising involves two parties: Franchisor - The franchisor is the initial owner f a business system which has been developed and proven to be a successful method f operating a particular business. As owner, the franchisor has the legal capacity to provide licenses to others (franchisees). Typically the owner seeks to expand the business through a relationship with others who have similar objectives. Franchisee - The franchisee is the party that has entered into an agreement with the franchisor to use the trade mark / business name and business system in a defined outlet or territory. How does it work Essentially the franchisee has agreed to be part f the franchisor's operation. In return for fees, the franchisee secures these rights for a set period f time and can expect from the franchisor: Training in business practices -