Recommended
proposal
Following
the
Investigation
conclusions
,
it
is
recommended
that
the
Admiralty
shop
relocated
within
the
same
district
.
Among
the
three
options
,
this
one
is
the
most
cost
-
effective
and
has
the
best
prospects
for
long
-
term
growth
.
1
.
Implementation
To
implement
the
recommended
proposal
,
HK$3
million
will
be
for
relocating
and
renovating
the
new
shop
,
which
should
be
completed
by
December
201
-
.
The
cost
can
be
fully
offset
within
one
year
because
the
larger
new
shop
is
expected
to
more
customers
.
To
avoid
a
potential
deficit
due
to
a
sudden
increase
in
rent
in
future
,
better
control
over
the
new
shop
?
s
operation
cost
would
be
.
For
example
,
the
Admiralty
shop
should
negotiate
a
longer
rental
period
with
the
property
owner
at
the
new
location
.
To
ensure
that
the
new
shop
can
retain
existing
customers
,
who
are
less
familiar
with
the
new
location
,
it
is
suggested
that
the
marketing
team
appropriate
ways
to
inform
existing
loyal
customers
of
the
relocation
as
soon
as
possible
and
offer
them
at
the
new
shop
.
Regarding
the
need
to
lower
the
high
renovation
cost
,
a
better
deal
should
be
made
with
the
interior
design
company
which
renovated
the
old
shop
.
Savings
of
HK$200
,
000
are
and
will
lower
the
total
cost
of
moving
and
renovation
to
HK$2
.
8
million
.
2
.
Elaboration
on
The
relocation
of
the
Admiralty
shop
to
a
new
location
would
benefit
customers
and
the
company
in
various
ways
.
The
details
are
as
follows
:
Enjoying
same
great
quality
coffee
and
services
The
impending
deficit
facing
the
Admiralty
shop
is
due
to
the
70%
increase
in
rent
demanded
by
the
landlord
after
the
shop
was
awarded
one
star
by
Gourmet
Torino
.
Relocating
the
shop
can
avoid
the
high
rent
.
This
would
allow
this
internationally
recognized
high
-
end
café
to
offer
the
same
great
quality
coffee
and
services
the
need
to
raise
prices
to
offset
the
deficit
.
Continuing
business
success
in
the
same
district
According
to
a
recent
survey
,
the
business
potential
for
high
-
end
coffee
shops
is
high
in
the
Admiralty
district
.
the
shop
within
the
same
district
will
not
only
the
shop
?
s
existing
customers
but
also
attract
a
new
group
of
high
-
end
customers
.
The
fresh
look
of
the
new
shop
will
impress
a
new
group
of
customers
and
helps
the
company
?
s
brand
image
as
an
internationally
recognized
café
.
With
the
same
high
quality
customer
service
,
relaxed
ambience
,
unique
style
and
sales
strategies
,
the
shop
can
look
forward
to
the
same
business
success
it
has
enjoyed
in
the
past
.
Accommodating
more
customers
The
Admiralty
shop
will
be
relocated
to
a
larger
shop
,
which
can
accommodate
more
customers
.
With
a
larger
capacity
,
the
prospects
for
long
-
term
growth
are
good
.
The
new
Admiralty
shop
will
become
increasingly
more
profitable
over
the
long
term
.
Conclusion
Overall
,
among
the
three
proposed
ways
of
tackling
the
impending
deficit
facing
the
Admiralty
shop
,
relocation
to
a
new
site
within
the
same
district
is
the
best
option
.
With
the
above
benefits
in
mind
,
it
is
hoped
that
the
management
will
find
the
proposal
convincing
and
of
use
to
the
company
.