You own and operate a bike store. Each year, you receive revenue of $200,000 from your bike sales, and it costs you $100,000 to obtain the bikes. In addition, you pay $20,000 for electricity, taxes, and other expenses per year. Instead of running the bike store, you could become an accountant and receive a yearly salary of $40,000. A large clothing retail chain wants to expand and offers to rent the store from you for $50,000 per year. How do you explain to your friends that despite making a profit, it is too costly for you to continue running your store?
9/11/17 5 box model Performance- (defining success) – how we want to be measured o In restaurant measure performance by their profit and effectiveness o Reviews/awards – need positive reviews o Number of customers- are we known Are we reachable Recognizable o Better – returning customers!!!! o Health inspection – Grade A o Where the great waiters and waitresses are working Conduct- how do you pay employees Advertise where open stores o Choices that people like you and me make o Business people have full control of our conduct o Choices you make as business to try and get the performance Macro environment o Zero influence o Farm to Table mo