Outback Steakhouse International Marketing Analysis Report

5509 Words Jan 14th, 2007 23 Pages
Summary:

Outback Steakhouse is a chain of casual dining restaurants positioned with an Australian theme in the United States, first established in 1988 by Basham, Gannon and Sullivan. Early financing was limited, considering the company did not anticipate extensive expansions and franchising came from limited partnerships from associates, family and friends. However, in 1990, friends approached the three entrepreneurs and asked for a franchise of the Outback Australian theme. These franchises achieved huge success and the owners decided to expand. They organized a joint venture with Carrabbas, leading them into joining the lucrative Italian dining segment of the restaurant industry. The company soon received numerous accolades by which
…show more content…
Outback's distinctive competencies and its unique strengths will allow the company to succeed internationally. Value creation and a sustainable competitive advantage should allow the company to proceed towards differentiation and premium pricing. In turn, this should allow Outback International to gain a competitive advantage in international markets. By pursuing this strategy, Outback International is building on its existing resources and capabilities.

*(6) - Entering International Markets Through Value Creation and Franchising:

Outback International can use the above value creation strategy, but by franching international operations with company-owned stores to allow Outback Steakhouse to act as a support function. to

Analysis of Alternatives (I):

Prior to analyzing each of the alternatives above, I believe that it is crucial for Outback International to:

*Thoroughly conduct a S.W.O.T. analysis.

*Determine their industry structure according to Porter's Five Forces Model to determine their present position and if there is a genuine need for expansion into the international markets, and if so, what strategy would most effectively cater to the five forces put forth by Porter's five forces model in the most effective manner.

*Outback International should also assess their present strategy on the dimension of strategic scope (market penetration) and strategic strength (sustainable competitive advantage) according to Michael Porter's Generic

More about Outback Steakhouse International Marketing Analysis Report

Open Document