FRANCHISE LOCATION
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1. Open the Franchise Location lesson.
2. Click the Market Research button at the bottom of Start A Franchisescreen.
Select the questions, “What city do you live in?”, “How devotedare you to football?” and “How much can you afford to spend on aticket?”
Then click OK.
a. If the question, “What city do you live in?” is not selected, select it atthis time and answer question number one.
b. Select the question, “How devoted are you to football?” Thenselect each city name separately from the City Selection box.
Afterreviewing this information, answer question number two.
c. Select the question, “How much can you afford to spend on aticket?”
Then select each city name separately from the CitySelection box.
After reviewing, answer question number three.
d. Based on all of the questions you answered below, you may nowanswer question number four.
3. Close the market research screen.
4. Take a closer look at your top two choices by using the Choose a City button. Answer questions five and six below.
Questions
1. Which two cities have the highest population?
2. Which two cities have the highest percentage of fans that are “a lot”and “extremely” devoted to football?
3. Which two cities have the highest percentage of fans that will spend$50 or more on tickets?
4. Which cities would be your top two choices for locating your franchise?
5. Of your top two cities, which has the:
- highest seating capacity?
- the lowest lease cost?
- the highest parking capacity?
- and the highest sponsorship dollars?
6. Which city would you choose as the location for your franchise?
STUDENT ACTIVITY:
Franchise Location
Definitions
FranchiseA franchise is the permission contracted toa group or single entity to sell a company’sgoods or services within a certain region.
In Virtual Business - Sports, a franchise is the right of association within a professionalfootball league.
Fan Loyalty
Loyalty is devotion to an entity. Sports fanloyalty largely determines how much fansare willing to pay for sporting event ticketsand how many games they are likely toattend. A losing record is likely to decreasesporting event attendance, but there isusually a segment of extremely loyal fansthat will continue to attend games.
Seating Capacity
Seating capacity is the total numberof seats that are available at a specificstadium.
Infrastructure
Infrastructure is the physical resourcesrequired for the operation of an event oractivity. A good city for a football franchisewill have an infrastructure that matchesthe team’s needs. This includes the rightsize stadium, enough offsite parking, andavailable transportation.