Challenges When Setting Up a Business

Read the Urban Outfitters Continuing Case Study: Creating a
business. You are to write a 3 report that answers the following questions:

1. Identify at least three challenges when setting up a
business. Explain why they are challenges.

2. Define what a niche product
is. Give at least three examples of niche products.

3. Explain why a niche company might have an advantage in a
market. Would price necessarily be an advantage? Explain why or why not.

4. Identify and explain three reasons why customers would
pay more for exclusivity.

5. Explain how a niche player chips away at a larger competitor’s base. Give three examples of retailers who
have done this.