Chapter 23: Extension Labs

Chapter 23: Extension Labs

Entrepreneurship I

Chapter 23: Extension Labs

  1. Clip & Dip Garth owns a successful pet grooming service called “Clip & Dip” and thinks he would like to open a second location in a nearby city. He decides to hire a manager for the current store so he will have time to work in the new one. Garth knows there are challenges that come with opening a new store buy believes his new manager will be a great asset.

Role Play With a partner, take turns discussing the following topics with the new manager:

  • Your overall growth vision for Clip & Dip
  • Your marketing plans for the new store
  • Management and communications procedures to follow
  1. Shop ‘Til You Drop Two years ago, Juan started a personal shopping service. His clients are busy professionals who work downtown and don’t have time to take care of errands during the day. Juan picks up dry cleaning, purchases gifts for family members, and even plans and purchases his clients’ wardrobes. His business is growing so fast, however, that recently the personal care his clients have come to expect is slipping. Currently, Juan has no competition, but he is afraid this may change.


  • What challenges is Juan facing because of the success of his business?
  • What should Juan do to improve the quality of service his clients expect?
  1. Work In Your Community
  • Imagine that your business has been very successful over the last five years. You have been thinking about expanding internationally.
  • Prepare a written document justifying your expansion plans. Include the following:
  • The international market(s) where you think expansion is appropriate
  • Growth strategy options
  • Management, marketing, and recordkeeping policies
  • Method(s) for raising expansion capital
  1. Internet Connection
  2. Ian wants to expand his import/export business. He thinks that an ESOP might be an excellent way to finance the expansion.
  3. Using a variety of search engines, research sites that provide information about ESOPs.
  4. Find out the:
  5. Advantages and disadvantages
  6. Requirements for raising money with an ESOP
  7. Process a company uses to start an ESOP
  8. Link School To Career
  9. Research examples of businesses that have used the following growth strategies:
  10. Franchising
  11. Vertical Integration
  12. Horizontal Integration
  13. Synergistic Diversification
  14. Conglomerate Diversification
  15. Use your findings to determine which strategy was the most successful

Entrepreneurship & Small Business Management