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Location, location, location Pt 2

September 17, 2009

bikeronhighway_sm

Previously we looked at whether location is a big deal for consumers and my take is yes, its important where retail shopping & eating, and maybe retail banking is concerned. But from a business owner’s point of view, the more money you transact, the less important location seems to be to your customer.

That’s how the consumer and business owner looks at it. What about the 3rd player – your staff. Is location important to them?

Again let’s put it to the test by going through a typical day as a salaried worker.

  • You drive in the morning to your office that’s tucked in a place where rent is inexpensive. This means you have to drive 20km, spend 1 hour fighting the morning traffic and pass through 3 toll booths. Location: Important.
  • Your office building faces a severe parking shortage. On an unlucky day you have to park 1 kilometer away. Since your office is a little remote, public transport is nonexistent. Car pooling is out because no one in the office lives anywhere near where you live. Location: Important.
  • Your lunch place is within walking distance of your office. However, you’re sick of eating at the same place for years. There are no other amenities in the area. The next place to eat is 2 kilometers away and driving there means giving up your hard-earned parking space. Location: Important.
  • You drive home in the evening. Another 20km to go, another hour stuck in evening traffic, another 3 toll booths to pass through. Location: Important.

Let’s see the score.

Important: 4. Not important: 0.

So while location may not be a big deal to your customers or even you as business owner, it could be a very big deal to the people you depend on to do business – your staff.

And it gets crazy if you run people-intensive businesses like call centers.

So who is more critical to you? You tell me.

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7 Comments leave one →
  1. September 19, 2009 1:30 am

    if your business is not people intensive (your own family runs the show…or it’s a small biz or online biz), then i think location doesn’t really matter.

    otherwise, u better think carefully bout it b4 setting up an office. for example, many people don go to cyberjaya because of its location. πŸ˜€

    That’s my point – what’s good for the business owner may not be good for the staff and vice versa. I know one case where the proprietor of an outsource 24×7 call center confidently set up shop in the rural area, convinced he could save $ on rent. Trouble is nobody wanted to work for him even as he threw in travel allowance and other perks. After a few months of bare floor and furniture he ended up losing a large client contract and had to spend more money relocating operations back to the city. So instead of earning a million, he lost a million. Location is important and its not just for the clients or owner’s sake.

  2. September 19, 2009 11:39 am

    Yeap, and even if people think they can save up money by relocating to rural place…..the travel allowances n perks don’t come cheap at times.

    Lack of good people + expensive benefits = worse.

    Surprisingly there are many one-dimensional thinkers in business. Those that believe what’s good for the proprietor must be good for the client and the staff.

  3. September 23, 2009 12:41 pm

    oi …finally i get to access wordpress and blogspot . they were blocking it in china ..

    @Alvin . You were in suzhou too? got kena con into buying silk or not ? haha..

    where is your office lah Damien .

    Mont Kiara, and hopefully London by this time next year.

  4. September 23, 2009 10:40 pm

    wah damien, mont kiara is nt cheap wei. and its so near my home (across the toll) πŸ˜›
    we shld go yam cha some time.

    @gappie, silk? i was busy admiring the girls there. no time for silk la

    Uhh… u live on the other side of the hill? Cool! πŸ˜€

  5. September 24, 2009 10:32 pm

    @Alvin . Sigh , you’re making me jealous . Su Zhou Chicks eh ? i went with my gf so i have to be careful with my eyes ..

    @Damien . Mont Kiara Solaris area ? I go to Nexter to play guitar quite often :p

    Am at Plaza Mont Kiara, where Starbucks is.

  6. September 25, 2009 8:31 am

    Damien, yeap yeap. The Citibank condo there. πŸ™‚

    @gappie, Suzhou chicks….pretty but can never beat Shanghai chicks (the original Shanghai chicks). Tall…slim… but extremely arrogant. LOL.

    I think I got lost there one time on my way to the Curve. Damned gps led me to a dead end, lol.

  7. September 26, 2009 1:08 am

    whoa, at least u hv GPS πŸ˜›

    and…erm…i tot curve is pretty straightfwd fr mont kiara area?

    Not when you’re new to the place and the gps map is months old. πŸ™‚

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