Case Study Of Caf De Coral

2002 Words9 Pages
Case study of Café de coral
Introduction
Café de coral (CDC) is one of the biggest Chinese fast-food restaurants. Since it was first incorporated in 1968, it has grown to own over 580outlets all over the world. In my following essay, I am going to analysis the strategy being used by CDC.

According to the interim report of CDC (2014), café de coral are focusing on maintain the leading market position by upgrading their product and services. This means the CDC is using the market penetration strategy to consolidate the market.

Position of CDC
In order to understand why CDC is using such strategy we have to first understand its position in the industry. We will start with analyzing the external environment.

External environment-
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Such courses help generating large amounts of skilled labors and help providing excellent customer service.

3. Having a large amount of capital
According to the annual report of CDC in 2014, CDC is having 4568 million dollars for their capital with the current ratio of 1.51. This means CDC is having a large amount of capital (cash) for investment. (Appendix 7)

4. Having food ingredients from all around the world to ensure the quality
According to the official website of CDC, CDC has a professional merchandising team travels the globe to look for the best ingredients. It has food ingredients like "Holi Fillet" from the pollution-free Southern Ocean, “Sirloin Steak" from the all-natural prairies in New Zealand, the pedigree "Grilled Unagi" from Japan (Appendix 8)

5. Having rich experience of operating new restaurants
When we look at the official website of CDC, we can discover that CDC has many experience of operating new restaurant. For example, espressamente illy is a joint venture with illycaffé S.P.A. in 2007 and Oliver 's Super Sandwiches is acquired in 2003
(Appendix 9)

Weakness of CDC
Café de Coral is not doing well in hygiene. According to the newspaper a customer find that there has a rat in the restaurant or a cockroach inside the meal. (Appendix 10)

Sum up for SWOT analysis by using TOWS matrix

The position of CDC in nowadays is matching the Strength with Opportunities.

Strength
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