This report analyzed an area in Lagos, Nigeria to determine the best location for a new office branch for USA Selling Bicycles. After examining population characteristics, income levels, and retail markets, the manager concluded that Obalende Supermarket Mall in Lagos City is a rapidly growing shopping center that attracts both civilians and military personnel. Purchasing a site near this shopping mall would provide the best opportunity for a profitable operation selling USA bicycles in Nigeria. Key factors in selecting Lagos included the city's large population, status as Nigeria's business hub, and the manager's personal and family connections to the country.

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SITE SELECTION FOR USA SELLING BICYCLE
Prepared by
Student: Modupe Sarratt
MGMT 615 9081
Midterm Exam Paper
Professor: Cynthia Pierre
April 5, 2016

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SUMMARY
This report conducted for a culture briefing in Nigeria examined an area in Lagos city to
determine the best location for a new office branch for USA Selling Bicycle. After examining the
population characteristics, income levels, and the retail markets, the manager concluded
Obalende Supermarket Mall in Lagos City is rapidly growing shopping mall center for the
mercenaries and the civilians. With the purpose to buy a site near the shopping mall will provide
the best opportunity for a profitable operation ofselling the USA bicycles in Nigeria for
analyzing the Description of Nigeria, the Culture of Nigeria and the Key Business Strategies for
a successful business.

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INTRODUCTION
USA Selling Bicycle is a U.S.-based company selling multipurpose bicycles for urban
cyclists that appeal to young and old health-conscious populations in three locations within the
United States, Maryland, Florida, and Maine that have proven to be profitable with net sales of
over 8 million in 2015 fiscal year. Customers and membership have increased rapidly, and the
centers now operate at nearly full capacity, averaging almost six hundred customers, and about
two hundred members per location. Additional money is derived from retail rental fees, special
user charges for bikers and cyclist events, and retail equipment sales. USA Selling Bicycles
appeal to affluent and business population.
The USA Selling Bicycle headquarters has been in Maryland since 2000, expanded to
Florida in 2005 and to Maine in 2010. USA Selling Bicycles sells different brands of bicycles
ranging from a road bike, dirt bike, mountain bike, hybrid bicycle, and portable bicycle with or
without the navigation system and computerized health program. USA Selling Bicycle appeals to
cyclists, gymnastic, health fitness professional, sportsmen and wealthy population. Every five
years we update our bicycle sales for expansion and we are expanding our bicycle selling to
Nigeria for participating in the global market. Nigeria was selected for the new office because
the manager for USA Selling Bicycle is originally from Nigeria, she speaks the language, her
uncle retired from the World Bank and went back to Nigeria, and her family owned a restaurant
known for international cuisine as an emerging retail market for the Euro-American-Asian-
African restaurant for the tourist. This paper provided the description of Nigeria, the culture of
Nigeria and the key business strategies for selecting the site for the new office.

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THE DESCRIPTION OF NIGERIA
The geographical location of Nigeria is on the western coast of Africa. Nigeria is near to
the equator. Nigeria has a tropical climate with variable rainy and dry seasons. The new national
capital of Nigeria is Abuja.
The history of Nigeria is dated back to the middle ages for the kingdom is also historical
of Hausa and Yoruba kingdom. Nigeria name was derived from the topography of River Niger.
The Hausa kingdom or the Hausas are known to be the dutifully educated elite Islam situated in
the northern between the River Niger and Lake Chad. The Yoruba Kingdom or the Yorubas are
known for urbanization and agriculture on the southwest bank of River Niger and River Benue.
The Kingdom of Nri or Igbos are known for industrialization and production of goods in the
southeast delta bank are a Christian and idol worshiper. The history of Nigeria economic and
business included slave trade, after the suppression of slave trade, Nigeria became the exporter of
palm oil and palm kernels. Nigeria became independent on Oct. 1, 1960, with 19 states. Lagos
city was the federation capital of Nigeria. The political history of Nigeria politics traces back to
the 19th century for the influence of Islam in the 19 century. According to Levin, M. D. (1997),
“The legacy of this Islamic state has dramatically influenced Nigerian politics, which became
particularly evident during the period of political activity in the 1950s and the subsequent events
for political activity” (P50-65).
The current Nigeria has 36 states, Abuja is the national capital. There are about 162.5
million Nigerians, which makes Nigeria the largest country in Africa and the eightieth most
populous country in the world. Lagos state population alone in Nigeria is estimated to be shifted
to a higher population that census cannot keep up.Lagos state is the place for government
function and business center. Lagos city is the private sector of many government agencies and

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the metropolitan. Draper (2015) said, “the population of Lagos city is between 13 million and 18
million for shifting in the country’s economy to banking and telecommunications” to indicate
that Lagos city is the Nigeria business center that is growing and thriving for internet marketing
while the traditional trade for mining is in decline. Based on the knowledge, Lagos city is the
most populous area, the business center with a high median income, the hub for import and
export, the seaport, and the center of the Nigeria movie industry Nollywood were the criteria for
selecting Lagos city as the new site for USA Selling Bicycles.
The political system of Nigeria is presidential system and by religion, Nigeria is a
democratic country with two parties for a system of government, “the military and the civilian,”
Nigeria Military party is similar to the U.S. Republican party and the Nigeria Civilian party is
similar to the U.S. Democratic party (Nigeria, 2010). Nigeria established a treaty for the trade
with the Economic Community of West Africa States to harmonize agricultural policies and to
facilitate the free movement of people, services and capital in Lagos in May 1975 (ECOWAS,
2010)
The Nigeria economy is one of the largest in Africa. Oil was discovered in Nigeria during
the 1960s that based the economy primarily on the petroleum in the 1970s that produced a rapid
economic growth. By the 1990s, Nigeria materializes to privatize many state-run enterprises,
especially in communication, power, and transportation to enhance the quality of service and
reduce the dependence on the government made Nigeria be the world's major exporters of oil to
other countries, which include the USA (Nigeria, 2010).
The Nigeria economics projected for industrialization are forecast to be a reliable contract
for business growth and will continue to be that way for trade of the free flow market for oil and
capital. According to the studies by Agboli & Ukaegbu, (2006), “Business environment and

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entrepreneurial activity in Nigeria for industrial development in terms of infrastructure, access to
credit, bureaucratic practices and regulatory policy, the business environment the Lagos state of
Nigeria has the capacity for entrepreneurial activity”. The business environment and the
entrepreneurial activity in Nigeria is predominantly male.
In Lagos city where the site for USA Selling Bicycle is intended, the city is the largest
metropolitan and very much modernized and progressive. Sports, hiking, cycling for recreation
are already popular activities and expected to become more so. Lagos road structures included
cycling road to encourage riding bicycles to work instead of driving for reducing traffic jam that
is common in the Lagos major highway. Also, the transition of female entrepreneurship is
becoming socio-economic for the implication of businesswomen who also ride a bike to their
retail shop. However, businesswomen can control their own working lives. Nigeria view of the
retail market is men are better for selling cars, motorcycles, and bicycles for business. In the
business sector such as institutionalized practices for banking and legal judicature are dominated
by male. The male is the dominant wage earnings in Nigeria. In the transformation of Nigeria
entrepreneurship in Lagos state, Lagos city has become the predominately the hub for modern
good and computer based provision of service and the banking system in the country
employment structure.
The expected average monthly income for the government and the executives is doubling
for unlimited, the monthly income for the manager in Nigeria is estimated between N100,000
($800) and “N125,000 (US$833); for the retailer is estimated between N50,000 ($250) and
N75,000 (US$500), and for the marketer is estimated for N22,500 (US$150) according to
Lawanson & Fadere, (2013), “56% of the population are employed in the government office or
private corporation, about 43% are employed in business, and 39% are informal economy either

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as artisans or petty trader, and 66.3% are male” for middle age men between 40 and 65. Lagos
city is selected for USA Bicycles because of the economy and the population of male for median
income. Also, Lagos city known for the population of the elite are knowledgeable about USA
product for negotiating the most effective approaches specific to selling USA bicycles in an area
that is best profitable for the business.
THE CULTURE OF THE NIGERIANS
The Nigerian has a diverse and pluralistic culture. Nigerian is becoming more
westernized of modernized in comparison to the European for the first world country. Nigeria for
Lagos state modernization is becoming more of a 1st world country for pluralistic. The diversity
of the Nigerians includes the European dwellers, the Americans, and the Asians. The major
ethnics groups are the Yoruba, Hausa, Igbo, and the Fulani.
The city of Lagos highlights the pervasiveness of both domestic and global for
multiculturalism that impacts the workplace. The minority for the domestic ethnic groups live
mostly by old tradition value and old economies of petty farm trader and livestock, who sells the
domestic animal for beef. European English is the official language and Nigeria Pidgin English
is the common dialect. The roles that individual play in business negotiation varies and depends
on the culture and the nature of the business, the style of communication, bossiness is frown
upon, and the global cultural for diversity had a minimal impact for the unyielding of the local
and the minority for business dealings is by negotiating price.
USA Selling Bicycles having familiarized with the nature of Nigeria used of bicycles for
cyclist event, football event, and masquerades festival within the country, riding bicycles is the
best way to get around and for avoiding traffic jam and insufficient parking lot. For getting to

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work on time in the city of Lagos, riding bicycles are encouraged. To get to places, bicycling is
view as the quickest means of transportation. According to news by the Guardian, the Federal
Road Safety Commission (FRSC) of Nigeria promote the use of bicycles as the alternative means
of transportation is the effort for reducing traffic jam, also, the report indicated the National
Bicycle Week for the cyclists run from Dec.15 to Dec. 20 in all the 36 states (Nigeria.2014)
The location, the population, and the demand for bicycles in Nigeria as a whole are the
dynamic forces that impact the nature and the culture of selling bicycles that are highly
significant for USA Selling Bicycles to adapt the strategies of negotiating the price as a way for
discounting price for managing cross-cultural interaction for domestic marketing.
THE KEY BUSINESS STRATEGIES
The key business strategy for the USA Selling Bicycle is the understanding of the cultural
dynamic of Lagos city for conducting business by surveying the retail market and the nature of
selling a bicycle to locate the facility that best serve the service of selling USA bicycles and
managing the supply chain for cultural diversity. The strategy is for seller and buyer relationship.
The USA Selling Bicycle, as the seller of a foreign product, knows the expectation of the buyer
for pricing, advertising, resolving conflict and the limitation impose on selling a foreign product
that convenes the Nigerian standard for customer service.
The strategies for the employees is team training of cross-cultural for the productivity of
making a sale is the role of individuality that enables different backgrounds, perspectives and
experience of different characteristic to initiate an interaction for communicating to sell a
product.

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The strategies for the executives and the managers understand the hierarchical
relationship between the sellers and the buyer for negotiating styles and prices difference.
Nigeria pride of purchasing foreign goods such as, riding a bicycle with a trademark “made in
the USA” is a symbol for wealth or rich not a mediocre.
USA Selling Bicycle strategies for business practice is to create the trust level for
meeting the expectation of the consumers for selling a bicycle that fit into the culture and appeal
strongly to the wealthy, the militant, workers, businessmen, commuters and the local. The
Obalende mall site in Lagos city is a supermarket for foreign good that’s tailored to fit USA
needs for selling quality, durability, transportability, and affordable bicycles, USA Selling
Bicycles is an attraction for a variety of bikes that can easily fit into civilians, soldiers and
militants lifestyle.
Other strategies include the commitment of employers and the employees for compliance
to include creating an annual bicycles sales for cyclists event for customers to subscribe for
membership. Being the project leader, the budget system will ensure the right amount of
discount for a membership fee for ordering parts and the costs of storage products.
The strategies for the cultural perspective of new customers include preparing the store
manager handbook of the company on how to negotiate and bargain for taking it or leave it or to
demand it approach. Created new operations manuals for improving operating system. Also, the
strategies will include financial planning of the USA Selling Bicycle for duties to evaluate the
different aspects of the business practice to improve market share and ranking as one of the best
for efficiencies and affordable seller of bicycles.

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Moreover, the business strategies will include balancing the USA Selling Bicycle
egalitarian pride of free speech with Nigeria hierarchical pride of etiquette. Obalende residence
in Lagos city is known to be the dwelling place of the mercenaries, affluent civilians, and
wealthy individual, government worker according to Lawanson & Fadare, (2013), “the Obalende
population spends a large percentage of its disposable income on recreation and entertainment.”
CONCLUSION FOR RECOMMENDATION
USA Selling Bicycle interview with the Chamber of Commerce on March 23, 2016, for
site selection in Lagos city at Obalende Supermarket Mall, although Obalende population is
small compared to another area in Lagos city, the site is the major plaza shopping mall that is
under construction for the mercenaries and as well for the civilian that was successfully
negotiated for 46,000 square space at $9 per square with Country Senior Partner of Nigeria for
the decision to take it by calculation ($9*46,000/N200) for a total of $207 to build the new
office. The mall has already received a commitment from the major luxury department of
Nigeria Army Forces as well as foreign franchise market such that cater to wealthy clients. The
USA Selling Bicycle is located in Obalende Supermarket Shopping Mall, Lagos city, Lagos
State, Nigeria. Moreover, the ongoing construction of 300 luxury townhouses about three miles
from the mall is expected to complete at the end of this year. For the reasons discussed, USA
Selling Bicycles made the best agreement for selecting the best location that will generate profit.
This is a picture of the 46,000 square feet negotiated for the new site.

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References
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