a) Yes, I believe Nabeel's choice in opening his store in a medium-sized mall with discount stores around him will lead to people perceiving his store to be another discount store. Another negative externality that Nabeel will face is that the medium sized mall will attract customers who are looking for discount products and may not have the willingness or ability to purchase expensive goods from Nabeel's store and thus he may need to spend more on advertising to attract customers. Locating with other expensive stores in the boutique mal around his store would attract the type of customer that would be willing to purchase the premium goods he was selling and have the ability to afford them.

b) I believe Nabeel should look to spend money on advertising and offers to attract new customers to his business and to the mall. He would however have to lower his prices from what the other boutique stores would charge in the upscale mall to incentivize customers to visit his store. He should not look to relocate his business as it would be a very expensive endeavour.

c)I do not believe he should completely shift his focus from being an upscale speciality store and become another discount store but instead look to make his prices more competitive to the discount stores while giving a more premium experience to customers compared to the other stores at the location. This would help him capture a niche market and it would be possible for him to gain loyal customer base that could provide him with regular income and organic marketing.