Statistics
MAT/230
May 12, 2013

The corporate offices of The UPS Store have stated that each store in its 4,300 store network should be bringing in an average of $26.00 for an average customer transaction (ACT) each day in the first quarter of each year. These figures come from a straight mean of all the ACT amounts from every store in the network. The Franchise Action Committee (FAC) has argued that this calculation is too broad, not taking into account the various regions’ market demographics. The FAC is similar to a union that it tries to represent the franchisees and find common ground with the corporate offices. The FAC would prefer that each district of each region create an ACT that would represent the individual areas. Regions are split into districts depending on their geographical location to each other. While our Columbia district has 17 stores, the Greenville district has 22 stores and the Florence district has only six stores. The corporate offices have split up the stores into eight regions although they use the single $26.00 ACT amount to represent every store in the network. The Southeast region is comprised of 12 states whereas the Southwest region is comprised of only four states. The Southeast region has 882 stores whereas the Southwest region has 441 stores. That means the Southwest region has a third of the states of the Southeast region but has half the number of stores. We argue that, here in the SC246 district encompassing Columbia, South Carolina and the outlying regions, our ACT is routinely around $23.50 and is normal for our district of seventeen stores. We also believe that, based on data from FAC, the average ACT in our region is under $26.00 so the corporate office should not be continually investigating our stores to see why we don’t meet their estimated ACT. The data used for just our district is from