Business Expansion and Marketing Strategies

Johnny and Joey start separate businesses; Johnny opts for a brick-and-mortar store with traditional marketing, while Joey chooses an online store with digital marketing. Joey's business thrives due to low overhead and high profit margins, while Johnny struggles with high costs and low profits. After two years, Joey's success prompts Johnny to switch to digital marketing, leading to increased profits and reduced overhead.

What type of business did Johnny decide to start?

• A mobile app

• An online store

• A brick-and-mortar store

• A franchise

Which marketing method did Johnny initially use?

• Traditional advertising

• Email marketing

• Influencer marketing

• Social media marketing

What was a major advantage of Joey's online store?

• High overhead costs

• Limited customer reach

• Dependence on local customers

• High profit margins

After a year, what was Johnny's business situation?

• Closure of the business

• Expansion into new markets

• Stagnant growth with high overheads

• High profits and low overheads

What did Joey do to expand his business?

• Reduced his workforce

• Opened a physical store

• Started another online store

• Invested in traditional marketing

What realization did Johnny have after meeting Joey again?

• He should adopt online marketing strategies

• He needed to focus on local customers

• Traditional marketing was sufficient

• He should hire more salespeople

What action did Johnny take to improve his business?

• Hired more salespeople

• Invested in more brochures

• Outsourced online marketing

• Opened more physical stores

What was the outcome for Johnny after changing his strategy?

• Decreased profits and higher overheads

• Increased profits and lower overheads

• No change in business performance

• Closure of his business

What lesson can be learned from Johnny and Joey's story?

• Physical stores are more profitable

• Local customers are the most important

• Traditional marketing is always better

• Online marketing can reduce overheads

What is the key takeaway from Joey's success?

• Hire more salespeople

• Invest in digital marketing

• Focus on local advertising

• Reduce product quality