please answer for 1,2,3

KMASTER - Franchising Kashif Kmaster has built a solid small business in repairing cellphones and other PDA devices. Now he's detecting a new business opportunity in repairing LCD projectors. On the surface, that's good news. In reality, though, it has brought Kmaster to a crossroads familiar to many growing companies can you move into a new line of business while maintaining the core service that made you successful in the first place? Kmaster is discovering there is no easy answer to that question Kashif Kmaster has learned a lot of business lessons since he started his cellphone repair company. Kmaster Electronics, in 1999. Among the most important focus matters. It's his focus on staying up to date with the latest products and technologies across a wide variety of cellphone and PDA brands that brings customers to his store in Mississauga, Ont. And it's his focus on fast, reliable service that keeps them coming back. Earlier this year, however, Kmaster noticed a small trend that made him wonder if a new business opportunity was at hand. People were starting to call and ask it he could repair LCD projectors. Kmaster politely told the callers that, no, he couldn't do the repairs But even as he passed up the work, he couldn't help but wonder if he should try to broaden his focus and win new business. The problem was. could he start working on LCDs and still maintain his reputation for service and expertise in the rapidly evolving cellphone market? Kmaster founded his company in 1999 when he was an engineering student Cellphones and devices such as the BlackBerry and Palm were just beginning to become popular, and master noticed that retailers and resellers, while happy to sell the products, were not particularly interested in handling repairs, especially those that were not covered by warranties Kmaster saw an opening and set out to familiarize himselt with a wide variety of devices, and then build up a network of suppliers for every conceivable part that may need repairs . Soon, Krastor's business was growing, targely by word of mouth. Referrals were crucial in his business, because tow people thought about phone repairs until the moment they needed them Often a customer would bring the damaged device to a local Bell, Tolus or Rogers store, only to be told that, unlike other merchandise, the device would not be taken back. Worse, unless expensive damage insurance had been purchased, the customer had no choice but to pay for a new unit. Some customers, unhappy with this policy. would start calling their network of contacts for a repair service reforral Others went online to find a local repair shop. In the Toronto area, many of them came across master's website and contacted him Over time, Kmaster also started winning service contracts from telco and major companies, leading to a level of growth that had him considering franchising his brand And now he was starting to size up a new line of business. Unsure of what to do, kmaster contacted a friend who worked in the customer-service department of a large multinational. In their conversation, Kmaster remarked that, as the owner of a small business, it was tempting to say "yes" to every request for service. 1) What benefits / drawbacks are there with pursuing the LCD Projector business? 2) What steps should Kashif make as he prepares to turn his company into a franchise organization? Think of things you would expect / want if you were purchasing a franchise from him 3) What would you do in Kashif's situation