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related diversification in a franchised service business

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USASBE_2012_Proceed<strong>in</strong>gs-Page0203<br />

a mov<strong>in</strong>g truck <strong>in</strong>stead of us<strong>in</strong>g the junk haul<strong>in</strong>g dump truck for two reasons. First, the dump<br />

truck is usually dirty on the <strong>in</strong>side and there was concern that customers would not appreciate<br />

their furniture be<strong>in</strong>g carried <strong>in</strong>side a filthy truck. Second, the mov<strong>in</strong>g truck has a capacity that is<br />

almost 100% larger than the dump truck. Of course the <strong>in</strong>surance coverage is more expensive,<br />

there are separate licenses to obta<strong>in</strong>, and the employees must be tra<strong>in</strong>ed to handle customer’s<br />

belong<strong>in</strong>gs much more carefully than the junk that they normally carry. Overall, 2010 has been a<br />

promis<strong>in</strong>g year and it looks like the College Hunks will beg<strong>in</strong> grow<strong>in</strong>g aga<strong>in</strong>.

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