Question

White’s Hardware Store
Mr. White was a young school teacher in a small town. After moving to the community, Mr. White made many friends, was apparently well-liked and took part in many community activities. Mr. White wanted to make more money so he thought he would start a business. He was encouraged by his wife to try a way of life that would bring more income than teaching.
Mr. White heard through a friend that a stock of hardware was for sale in a town. The owner of the store had died. For 2,000 cash, Mr. White could buy an inventory of hardware items. Investigating the possibilities in his town, he could rent a vacant store between two retail businesses. One of these businesses was a feed store, and the other was a long established hardware store owned by a smart middle-aged businessman.
Although a local banker told Mr. White not to leave his job as a school teacher, he quit his teaching job, took his savings of 5,000 and entered the hardware business. Other businessmen in the town didn’t think the new hardware dealer’s chances of success were very good. One of the local retailers said there wasn’t room in the town for two hardware stores.
Upon opening his store, Mr. White placed a sign in the window stating: “Open for business – Hours are six a.m. to ten p.m. The owner will also do business outside of regular business hours.” Mr. White thought that in this way he could compete with the established hardware store next door. During weekdays, Mr. White’s hardware store was the only place of business in town to stay open after six p.m. During the long hours the hardware store was kept open, Mr White didn’t make too many sales. The only customers Mr. White attracted were a few poor credit risks, who purchased small items from the new hardware store on credit rather than paying cash in the other hardware store. Mr. White soon discovered that his stock was down, that he had no cash with which to purchase new stock, and he couldn’t borrow more money to keep the business going. With competition from the established hardware next door, Mr. White’s business lasted only eighteen months. There had never really been much of a chance for success. The market for hardware items in the town was too small to support two hardware stores. Even the best manager could not have made a success of White’s Hardware. Mr. White wished he had checked things more carefully before he started the business. Mr. White thought that “may be the
Pay for teaching wasn’t so bad after all ’’
Questions for discussion:
1. What should Mr. White have done before he started the business?​

Answer 1

so the answer to the question is as below in the attachment....

so this is how to tackle such problems