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Should I choose self operated or collaborate with equipment providers to open a video game arcade

Should I choose self operated or collaborate with equipment providers to open a video game arcade? This is a question asked by many fans and friends. Today, I will talk about it. Many people want to cooperate because they lack confidence in the position they have chosen. But it should be clear that manufacturers also attach great importance to site selection, after all, equipment has costs, and legitimate manufacturers will not easily cooperate. If a manufacturer agrees to cooperate without even researching the location, there are likely hidden costs behind it. The principle of ‘no pie will fall from the sky’ also applies to the amusement industry. Some bosses tend to cooperate due to limited funds, but many bosses are not aware that cooperation is not “zero threshold” and usually requires a deposit of about 40% of the total price; And the selection of equipment styles and pricing power are both in the factory; The ownership of the equipment still belongs to the equipment owner, and the store only has the right to use it. Many people are unaware that the first 1-1.5 years before opening are the peak of profitability, and the later period enters a stable period. Many bosses see good business in the early stages and want to save profits, rushing to buy out equipment. However, after buying out, customer traffic often naturally drops,; After using the equipment for one year, the failure rate of maintenance and repair has significantly increased. Even if cooperating with acquaintances, it is necessary to consider the compatibility of concepts, let alone cooperating with strangers. Collaboration is not a shortcut. Although self operated stores require high initial investment, they are fully controlled in terms of product selection, pricing, and operation, making it easier to form core competitiveness in the long run. If specific scenario calculations are needed (such as cost comparison between self operated and cooperative stores of different sizes), they can be obtained and analyzed through private messaging.

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