Analysis
The country to be chosen should have the following qualities;
less flight expenses,
high number of software users and
less number of employees
Therefore the mean values of the total flight expenses, employees and number of LinkedIn engineers calculated per using the proposed cities includes:
Flight expenses- $1561
Employees- 58940
LinkedIn software- 20328
Findings
Atlanta city
Based on the percentage population with college education, setting an office in the city is likely to be profitable since the number of college graduates with some basic know –how on the software issues. High number of college graduates are likely to provide market for the software services.
There is likelihood of high competition level in the city thus following the number competitors’ offices located in the state hence this can compromise the profitability of the business. Company A therefore will have to compete for customers with other firms offering similar services in the city.
The average operation cost based on the transportation is relatively high as the company representatives will have to make 12 flights daily at a cost of $ 248 per flight which might be costly to the company . With increased operation cost in the city, the profitability of the firm will decline
Austin city
There is no competitors in the whole state hence the level of competition is reduced to zero since company will operate under monopoly . Due to lack of competition in the city, profitability level of the company is likely in increase
High percentage population with college education is likely to increase the number of software users in the city hence guarantees market for the company A. which is higher than Atlanta city hence guarantees the market turnout .
With only one flight trip per day, the company’s cost of operation will be reduced due to limited expenses.
Boulder city
The number of competitors’ offices are zero which implies that there is no competition in that particular city hence the company will enjoy the monopoly benefits .
The total number of employees the company will require in that particular city is 58014 people. This implies that the company will have to spend more resources in management of the labor hired.
The number of software engineers on the linked signifies the availability of ready workforce in the city hence the company will forgo the cost of hiring experts from other cities.
High percentage population with college education is likely to increase the number of software users in the city hence guarantees market for the company A. which is higher than Atlanta city hence guarantees the market turnout .
Chicago city
Due to high number of high-tech employees required in that particular city, the company will have to invest more in labor service provided by the local people .
College graduates is slightly lower, hence reduced number of software users in the city. This also negatively affect the customers turnout for the software services, therefore the market demand for the software services in particular city is relatively low
the company will spend more resources in catering for the flight charges since the cost of flight expenses is high.
Dallas city
The company will have compete for resources and customers with only one firm . This implies that the level of competition will be favorable to the company .
84507 people will be employed. This implies that the company will have to spend more resources in management of the labor hired and also incur high cost of operation due to high number of employees .
The number of software engineers on the linked signifies the availability of ready workforce in the city hence the company will forgo the cost of hiring experts from other cities.
Denver city
High percentage population with college education is likely to increase the number of software users in the city hence guarantees market for the company hence guarantees the market turnout .
The company is likely to enjoy the monopoly benefits since there is no any other company offering software services in Denver city .
Software engineers on the LinkedIn are 3865 hence providing readily available labor to the company .
Total employees of 58014 people. This implies that the company will have to spend more resources in management of the labor hired.
Los Angeles
High number of LinkedIn software engineers that is likely to ensure readily available labor for the company .
With only one competitor, the company will favorably compete for the market in the city .
The company will require high number of employees in order to effectively deliver their services to the customers .
The company is likely to spend more resources in communication process from their headquarters to the city which increases their operationl cost.
College graduates is slightly lower, hence reduced number of software users in the city. This also negatively affect the customers turnout for the software services, therefore the market demand for the software services in particular city is relatively low
Minneapolis city
With no competition in the city, company A is likely to enjoy all the monopoly benefits in that particular city.
High number of LinkedIn software engineers in the city will contribute to readily available labor force .
The company will employ 4997 people which is manageable in terms of the company size and customer turnout .
High percentage population with college education is likely to increase the number of software users in the city hence guarantees market for the company hence guarantees the market turnout .
Flight expenses is higher in the city thus increasing the operation cost.
Nashville city
the company is likely to suffer from the labor shortage hence might be forced to import workers from other cities.
Due lack of competitor in the city offering similar software services, the company will be able to maximize its profits due to monopoly in the market.
High population are college graduates. This implies that the company is likely serve large number of software users due to the literacy level in the city.
With less number of employees, the company’s cost of operation is likely to be less as a compared to other cities.
Phoenix city
With only one competitor in the market, the competition level will be favorable to the company A.
software users in the city is likely to be low as compared to other cities like Denver .
The LinkedIn software engineers in the city will contribute to readily available labor force.
The flight expenses is slightly higher due to number of trips made per day.
Portland city
With only one competitor in the market, the competition level will be favorable to the company A.
due less flights trips, less resources will be spent of communication
The LinkedIn software engineers in the city will contribute to readily available labor force.
24497 people will be employed by the company hence high cost of operation due to high number of employees .
High percentage population with college education is likely to increase the number of software users in the city hence guarantees market for the company hence guarantees the market turnout .
San Diego city
Due lack of competitor in the city offering similar software services, the company will be able to maximize its profits due to monopoly in the market.
Software engineers on the LinkedIn are 3752 hence providing readily available labor to the company .
High percentage population with college education is likely to increase the number of software users in the city hence guarantees market for the company hence guarantees the market turnout .
Flight expenses is below the average thus reduced cost of operation.
San Francisco city
High percentage population with college education is likely to increase the number of software users in the city hence guarantees market for the company A. which is higher than Atlanta city hence guarantees the market turnout .
The company will require 56743 employees . This implies that the company will have to spend more resources in management of the labor hired.
The number of software engineers on the linked in are 36560 hence the company is likely to have readily available labor force compared to average LinkedIn engineers.
There is likelihood of high competition level in the city thus following the number competitors’ offices located in the state hence this can compromise the profitability of the business .
Seattle city
High percentage population with college education is likely to increase the number of software users in the city hence guarantees market for the company A. which is higher than Atlanta city hence guarantees the market turnout .
The total number of employees the company will require in that particular city is 121672 people .
The number of software engineers on the linked in are 18760 hence the company is likely to have readily available labor force . This implies that the company will have to spend more resources in management of the labor hired.
There is likelihood of high competition level in the city thus following the number competitors’ offices located in the state hence this can compromise the profitability of the business .
The average operation cost based on the transportation is relatively low
Toronto city
High percentage population with college education is likely to increase the number of software users in the city hence guarantees market for the company A. which is higher than Atlanta city hence guarantees the market turnout .
the company is likely to suffer from the labor shortage hence might be forced to import workers from other cities.
With only one competitor in the market, the competition level will be favorable to the company A.
High number of Software engineers on the LinkedIn provides readily available labor to the company .
High total number of high-tech employees required implies that the company will have to invest more in labor service provided by the local people .
Vancouver city
High percentage population with college education is likely to increase the number of software users in the city hence guarantees market for the company A. which is higher than Atlanta city hence guarantees the market turnout
With 907 software engineers in the city, the company is likely to suffer from the labor shortage hence might be forced to import workers from other cities.
High total number of high-tech employees required implies that the company will have to invest more in labor service provided by the local people .
The average operation cost based on the transportation is relatively low due reduced flight trips
Waterloo city
With 964 software engineers in the city, the company is likely to suffer from the labor shortage hence might be forced to import workers from other cities.
With only one competitor in the market, the competition level will be favorable to the company A.
Software engineers on the LinkedIn are 14876 hence providing readily available labor to the company .
High total number of high-tech employees required implies that the company will have to invest more in labor service provided by the local people .
The average operation cost based on the transportation is relatively lower than the average cost hence might be costly to the company
High percentage population with college education is likely to increase the number of software users in the city hence guarantees market for the company A. which is higher than Atlanta city hence guarantees the market turnout
Conclusion
The analysis on the proposed cities in relation to the average mean obtained from the three selected variables
Therefore, based on the analysis presented in the presentation below, the most preferred city is Austin city
