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Sakae Sushi Analysis

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a. Background
Sakae Sushi is a conveyor belt sushi restaurant chain started by Apex-Pal International Ltd more commonly known now as Sakae Holdings. Sakae Holdings has also started other similar restaurants like Hei Sushi, The Pasta Shop. Sakae Sushi offers a wide variety of Authentic Japanese dishes such as sushi, sashimi, soba, udon, tempura and many more served on either ala-carte the conveyor belt.
b. Current Operations

From only a small outlet down at Raffles Place, it has grown to 32 outlets now all around Singapore in which 15 are in suburban areas which makes it the current market leader for conveyor belt sushi businesses. Besides business in Singapore, Sakae Sushi has also expanded in regional countries with 7 outlets in …show more content…

Another unique selling proposition is that Sakae Sushi creates a unique dining experience by having props like a conveyor belt to serve it’s sushi, a tap for customers to fill water by themselves, and an interactive menu which comprises of a computer and a mouse, the chairs are all bench-like instead of individual seats. Basically this allows consumers to not have to interact with the staffs at all.

Another unique selling proposition of Sakae Sushi that makes it so reputable is it’s mix and match concept. Sakae allows customers to create their own type of dishes so that dining can be also be “fun”, and it will appeal to the younger crowd.

3. The Industry

The food and beverage industry is a fast growing industry in Singapore with a booming rate of 8% to 20% every year. A survey did by Euromonitor, a market research company recently, showed that more than 50% of Singaporeans eat out at least once a week.

Consumers are becoming more and more health conscious which also means that there will be increasing demand for wholesome food. Thus, Japanese food, having it’s unique and healthy cooking methods will be in the consumer’s expected choice.

Sakae sushi has created rather high barriers of entry

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