SBS6481
International Business Strategy
UON DBA Program
Block 5, 2013 (November 17th 2013)
Group Written Report
Café de Coral Holdings Limited International Business Development Plan to enter Australia market
Provided by H.E.L. Management Consulting Company Limited
contents
Pages
1. Executive Summary
3
2. Introduction
4
3. Industry Based view Analysis
5-6
4. Resource Based view Analysis
7-11
5. Institution Based view Analysis
12-15
6. Recommendations
15-16
7. References
17-19
8. Appendices
20-25
2
1.
Executive Summary
This group consulting project aims to devise an international business development plan for Café de Coral Holdings Limited in order to assist
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The purpose of this report is to provide a preliminary recommendation on whether to enter Australia by which entry mode. The primary focus of the report is evaluation the fast food service industry in Australia, Following from the resources-based view and the institutionalbased view to make decision for Café de Coral to choose the international franchising strategy of Manchu Wok restaurant franchising chain to enter Australia QSR market.
4
3.
Industry-based view analysis: Fast food industry in Australia.
McDonald’s Australia opened its first store in 1971 (Ritchie, 1990). Forty two years have passed, the fast food industry in Australia continues to feed this nation which has the population of 23,278,323 (ABS, 2013). Geographically, when compare with other
Asia-Pacific countries, Australia fast food market value accounts for 5.1% in this region
(Appendix 1). The outlook of the market is forecast to achieve the value of $5,767.1 million, an increase of 13.7% since 2011 (Appendix 2). The changing attractiveness and performance of this industry consistently influenced by five competitive forces.
According to Michael Porter’s theory, these forces come from buyer, supplier, new entrants, substitutes and competitors respectively. These five competitive forces which drive competition in the fast food market in Australia
As stated above, we learned that Canadians were not only big time coffee drinkers, but they also enjoyed the specialty type of coffee that Biggby provides. According to the Five Tasks of Foreign Market Attractiveness Assessment, we were able to clearly deduce the strengths and weaknesses entering into the Canadian market. Using this, we first screened Canada’s readiness for foreign entry and decided Biggby had a large market potential due to the large coffee consumption and growth rate. Additionally, we evaluated the industry with Porter’s Five Forces and established our competitive advantages between our competitors and new entrants. Based off of these facts, we recommend that Biggby continues to use franchising because it allows the business to emerge themselves into the culture and uses the same business strategy that Biggby currently employs in the United States. Lastly, Biggby has a high sales potential in Canada because of their competitive advantages and industry growth rates. Therefore, we recommend that Biggby enters the Canadian market with a large selection of specialty coffee, green products, and through
“He was like Buzz Aldrin the second man on the moon because he was the second African-American player in the majors behind Jackie Robinson,” said Cleveland teammate and fellow Hall Of Famer Bob Feller(Vincent, 2006). Lawrence Eugene Doby was born in Camden, South Carolina in 1923. Larry’s mom moved away to find a new job. His dad moved away to be a horse groomer. Larry moved in with his aunt who raised him. Throughout Larry Doby’s career with the game of baseball, he had many challenges and contributions, including political and cultural as he rose to be a leader in the baseball world.
This book discusses the fast-food industry and seeks to describe the impact of the industry on the U.S. economy and society. Also, it talks about the guys who has been investigating the fast food industry for many years. From his broad research, he has uncovered an abundance of little-known, frequently unsettling truths about the fast food industry.
The fast food, or quick service restaurant industry (QSR), represents approximately 200,000 restaurants and $155 billion in sales in the U.S. alone, they are one of the largest segments of the food industry (Hoovers, 2011). This segment of the restaurant industry is “highly competitive and fragmented… number, size and strength of competitors vary by region, market and even restaurant. All of these restaurants compete based on a number of factors, including taste, quality, speed of service, price and value, name recognition, restaurant location, customer service and the ambience and condition of each restaurant” (Chipotle, 2010).
As part of their overall strategy in the Australian beverage market, MacVille Pty Ltd has developed a chain of cafes in the Central Business District (CBD) of Brisbane, Queensland and the CBD of Sydney, NSW. The board of directors has made the decision to expand their operations in Queensland with the purchase and re-branding of the existing Hurley’s cafe in Toowoomba, 130km west of Brisbane.
In Australia exist several restaurants which give to the costumer fast food, as Mc Donald, KFC, Hungry Jack’s, Subway. All of them offer to the costumer fast food, but Subway offer something different as such healthy food.
Fast Food Nation examines the history of the fast food industry as the world began to consume the idea of quick and easy cuisine. This piece of investigative journalism really gives it 's readers a look at the fast food industry and its development over time. This book is divided into two sections. The first section delves into the beginnings of the industry and how it developed into the large corporational business it is today. The second section examines the business behind the scenes.
Coffee consumption in China is highly concentrated in large cities such as Beijing, Shanghai and Guangzhou. Also other cities like Wuhan coffee culture seems to expand. Recently coffee appeals to adventurous young, rich, and urban consumers. This is just because originally coffee is considered as a Western concept to most Chinese consumers. According to Subhuti (2003), the Chinese do not consume coffee because of its potential health value either in terms of modern medical data or traditional Chinese medical concepts. Rather, it has been consumed until now as part of the fascination with western culture that has grown during the past few decades. However the coffee culture is getting well known in China nowadays. Chinese
This report analyses the expansion of Michel’s Patisserie into the Chinese market through the creation of joint venture franchise agreements. Michel’s will be evaluated based on the motivations for expanding to China, process of internationalisation, choice of entry mode, and standardisation versus adaptation decisions. This analysis will be undertaken so that recommendations can be made to determine the most effective means of securing the future success of Michel’s in Shanghai. It will be demonstrated that while the motivations for expansion were fundamentally sound
At the time of development of globalization there were many concerns about its benefits. However, it has brought significant changes in all segments of human life and International business is one area in which it contributed heavily (Reich, 1998). Companies all over the world are currently formulating their business strategies mainly after considering the trends in global market instead of domestic market. Outsourcing and offshoring are some of the new business principles emerged in this world after the implementation of globalization (Samimi and Jentabad, 2014). The core of these new business concepts is to exploit the business opportunities in overseas countries as much as possible (Samimi and Jentabad, 2014).
The fast food industry is a ‘red ocean’ as it is already well defined where rivalry is intense. It is also a perfectly competitive industry as the barriers to entry are low and there are many rivals
•They are the most famous and one of the few outlets available in area and footfalls are generally heavy due to these•The places are usually visited very frequently by local people, students, etcPromotion•The joints rely on word of mouth publicity•There is no promotion done through ads for these joints. The promotion at maximum is limited to local newspaperSUGGESTIONS•McDonalds could increase the number of items served on its menu. Currently there are only 6 vegetarian and 6 non-vegetarian items served on the menu. It is also evident from the survey that many people feel that the variety of menu available is average and could be improved. Some of the customers prefer something new every time they visit. These potential customers could be targeted by increasing the number of items in the menu.
C. Thesis statement: Popularity of the fast food are getting an increase due to easy and quick service, inexpensive meanwhile there are also consist of negative effects if the fast food is becoming more common in society.
“To establish Café de Coral Holdings as a distinguished corporation in the food and catering industry as the world’s largest Chinese quick service
The fast food industry has been growing dramatically during the last few years. For this reason, we should try to find out what are the several factors why fast food consumption keeps growing among young people and adults. Therefore, as we have seen, the popularity of fast food is spreading rapidly among many people due to the following three main reasons: good taste, convenient time, and price. Personally, working for a fast food restaurant for a brief moment in my life, I can attest to this. Marketing also plays a big part to more people eating fast food. It’s in our culture in America to expect fast food companies to market and strategize their ways to make us, the consumers, to buy more food and consume more food so they can make more profit. Especially now with commercials and social media. The fast food industry has thrived in the modern era. It’s thriving so much, the industry is growing faster than the U.S economy, at