SEO - optimize for multiple cities

verbob

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I'm a bit unsure how to proceed..Here's my concern:

A Company that has multiple franchises(no more than one per city/area) that use the main [national] website as their own.

How do I optimize for EACH location without getting into duplicate content?

i.e. lets say "widgets" as product and "new york, new jersey" as a couple city examples...using SAME website, optimize for New York Widgets AND New Jersey Widgets(etc with many different cities)

I considered sub-domains, sub directories and even a post variable 'city=city1', just not sure how to get around the SE's thinking its duplicate content as I want to avoid having to spin each page for each franchise.

Suggestions?
 
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