Analysis of tsui wah essay

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Analysis of tsui wah essay

The Five Forces analysis shows that Burger King must prioritize competition, consumer concerns, and the impact of new firms in addressing external factors in the fast food restaurant industry environment. To ensure competitiveness, Burger King must address issues pointed out in its Five Forces analysis.

Based on the Five Forces analysis model, Burger King must also consider strategic issues linked to suppliers, consumers, new entrants, and substitutes. This Five Forces analysis of Burger King shows that competition, customers and new entrants are the most important external factors in the quick service restaurant industry environment.

The Five Forces analysis model considers the factors that most significantly affect the business. Competitive rivalry or competition strong force Bargaining power of buyers or customers strong force Bargaining power of suppliers weak force Threat of substitutes or substitution strong force Threat of new entrants or new entry moderate force Recommendations.

Considering the intensities of the five forces, it is suitable for Burger King to focus on competition, customers, and the threat of new Analysis of tsui wah essay. To address the force of competition, Burger King can implement more aggressive marketing.

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To attract and retain customers, the company can improve its product quality. In addition, to counteract the threat of new entrants, Burger King can improve its brand image to maintain high performance despite saturation in the fast food restaurant industry environment.

The degree of competition is examined in this aspect of the Five Forces Analysis model. The following are the main external factors that create the strong force of competitive rivalry against Burger King: High number of competitors strong force High variety of firms strong force Low switching costs strong force The quick service restaurant market is saturated with firms of different sizes.

Burger King must also consider the variety of firms in terms of types of products, market focus, and other characteristics. This aspect of the Five Forces Analysis model explores the influence of customers on firms. Low switching costs strong force High substitute availability strong force Moderate presence of consumer organizations moderate force The low switching costs correspond to the ease of transferring from Burger King to other companies.

Competitive Rivalry or Competition with Burger King (Strong Force)

The presence of consumer organizations, such as Consumers Union and Better Business Bureau, further increases the bargaining power of buyers. The impact of suppliers on firms like Burger King is considered in this aspect of the Five Forces analysis.

High number of suppliers weak force High overall supply weak force Low forward integration weak force There are many suppliers that compete to provide their products to firms like Burger King. In relation, there is an abundance of supply of raw materials and ingredients. These conditions limit the influence of suppliers on Burger King and other fast food restaurant firms.

Also, most suppliers in this industry have low forward integration, which corresponds to their degree of control on the distribution and sale of their products to companies like Burger King. This aspect of the Five Forces Analysis model determines the influence of substitution in the fast food restaurant industry environment.

Low switching costs strong force High availability of substitutes strong force Satisfactory performance of substitutes strong force Customers can easily transfer from Burger King to substitutes low switching costs.

Analysis of tsui wah essay

In addition, there are many substitutes to choose from, including fine dining restaurants and home cooking. These conditions strengthen the threat of substitution against Burger King. Also, most of these substitutes are satisfactory in terms of taste, cost, quality, and other criteria.

The effects of new entry on the fast food restaurant industry environment are examined in this aspect of the Five Forces analysis. The external factors that lead to the moderate threat of new entrants against Burger King are as follows: Low switching costs strong force Moderate cost disadvantage moderate force Moderate cost of doing business moderate force Again, the low switching costs indicate that it is easy for consumers to transfer from Burger King to new firms new entrants.

However, new entrants face moderate cost disadvantage because large firms like Burger King benefit from economies of scale that many new firms do not have. Also, the moderate cost of doing business could pose a financial challenge to new entrants.

References Burger King Corporation Burger King Corporation Copyright by Panmore Institute - All rights reserved. Educators, Researchers, and Students:4. Weaknesses 4. 1 Limited Customer Segment As aforementioned, Tsui Wah charges foods at premium prices, which is about a double of normal restaurants, and targets middle class.

Hence, grassroots are normally excluded from Tsui Wah’s customer pool since they tend to choose restaurants which price foods at normal level. As of March 31, , the company operated 31 restaurants in Hong Kong, 34 restaurants in Mainland China, and 3 restaurants in Macau under the Tsui Wah brand, as well as its sub-brands, including Nijuuichi Don and BEAT Bakery brands; and Tsui Wah Delivery and Supreme Catering.

Based on the analysis, several recommendations are also suggested for Tsui Wah to incorporate more variety into its business. Finally, a brief conclusion is drawn. Finally, a brief conclusion is drawn. Download-Theses Mercredi 10 juin “sociologists Judith Treas and Tsui-o Tai,” “a study from the University of New Hampshire,” and “P&G North America Fabric Care .

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At an estimated cost of over $ billion, it.

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