THIS CASE STUDY IS WORTH 30 MARKS

Hint: Read the case study carefully. In order to get full marks you will need to answer the questions as they directly apply to the case, rather than just answer in general terms. THERE ARE TEN QUESTIONS

Answer below making sure you put the correct number against your answer

JAKE's BIKE SHOP CASE STUDY

You have a friend from college who is named Jake and you have known him for three years. He is from Dubai.

Jake is considering opening a Bike Shop in either Al Ain or Sharjah. He plans to sell high-end bicycles and also rent bikes out to tourists. He intends to combine this with a fast food cafe that has gaming equipment to use by the hour.

Jake has no other partners in this venture - and is trying to find out if you would like to be involved. Jake is very outgoing and confident and wants to have the new venture open by July 2021. He spent 3 weeks in prison last year for selling counterfeit watches.

Please answer the following questions:

1. Please advise Jake on his choice of location for his new venture and explain your reasons (2 marks)

2. Is Jakes business idea an opportunity created or discovered, or something else? (2 marks)

3. Jake has many different ideas for his business. How would you advise him? Is it a good idea to diversify in this way and give reasons for your answer? (4 marks)

4. Would you be interested in being Jake's business partner? Give two reasons for your answer (2 marks)

5. Suggest four different sources of funding for Jake, and explain the benefit and disadvantage of each for his Bike Shop (4 marks)

6. Jake is struggling with a slogan for his business - can you suggest one? (3 marks)

7. In your discussions with him, Jake suggests that the new business also starts selling watches and IPhone cases. What is your reaction to this? (2 marks)

8. Suggest four ways that Jake may be able to attract customers to the new venture (4 marks)

9. Jake is certain his new business will be cheap to set up, and he will spend very little money. Advise Ajmal on 4 possible fixed costs and 4 possible variable costs that he will need to consider for his Bike Shop (4 marks)

10. A friend whom previously supplies Jake with watches has offered to lend him money. Explain your view of this (1 mark) and suggest two ways that Jake can help to reduce the costs of running his business (2 marks)

(no plaigarism)

ASAP