Delroy Desmond has run a pizza restaurant for several years, trading as Dezzie's. He also provides a pizza delivery service to homes and a lunchtime delivery service to local offices, some of whom are supplied on credit terms. In the year ending 31 March 20X4 he has opened a new branch in another town, obtaining a mortgage loan to purchase freehold premises and to pay for some alterations to the premises. Delroy did not spend much on fixtures and fittings; he had some unused tables, crockery and so on in the store room of the existing premises and he transferred these over to the new branch.

Delroy is keen to expand the business further and would like to draw up a formal expansion programme. He has commissioned a market research survey of a representative sample of his customers from a firm of consultants. The survey report quotes some of the more negative reactions of the customers.