1.) By creating a new position between the CEO and the location managers will help the business grow in a couple ways. One way is that the new position would take away Dalman having to spend his time helping the other managers. This would then give him more time to investigate on the two options that he was thinking about. Another way that a new position would help is also because then Dalman could go forward with expanding the business. If there is someone below him dealing with the issues of the other managers this would allow him to not only have more time to investigate but also to follow through with his long term goals for the business.
2.) In my own opinion I feel that promoting an existing manager would be wise. My reasoning for this is if you are promoting someone within the business you are going to save yourself from taking the time of training a new employee. Yes you would still hire another employee to replace the one you promoted. Yet you would not have to train that new employee as far as you would if you put the new employee between the CEO and managers. Taking some time in training the current employee for the new position which will not be as bad because they already know the business for the most part and taking some time with the new employee to work in the store would be better than taking time to train someone for a bigger position from scratch.
3.) This decision is one that should be made between Dalman and Lei. Dalman and Lei are both owners. By adding a position or promoting a current employee affects the whole business.