Near or far away from competition? This is where to set up new business

Customers will always prefer places where they can have alternatives and can make choices at will. [Getty Images]

In my first year of university, the entrepreneurship lecturer asked: "What is the better area to locate your milk business, at the corner where other milk shops already exist or where there's none?"

We thought about it a great deal, discussing and reaching a verdict, then asking one of us to represent us in this 'exam'.