Analysis of the competitive environment in fast-food

Reference no: EM13225327

As the owner of a new fast-food enterprise seeking a loan from a bank to finance the construction and operation of three new store locations, you have been asked to provide the loan officer with a brief analysis of the competitive environment in fast-food. You need to research the necessary points from Internet to expand your understanding of competition in the fast-food industry and do a competent five-forces analysis.

The analysis should show that the five forces are: (1) firms in other industries offering substitute products, (2) buyers, (3) potential new entrants, (4) suppliers of raw materials, parts, components, or other resource inputs, and (5) rivalry among competing sellers in the industry.

Suggested student responses : (1) competitive pressures stemming from the attempts of companies outside the industry to win buyers over to their products - other food providers such as Sheetz and Denny's - strength is strong, (2) competitive pressures stemming from buyer bargaining power and seller-buyer collaboration - different consumers and varying preferences - strength is high, (3) competitive pressures coming from the threat of entry of new rivals - any new restaurant or food service business - strength is moderate, (4) competitive pressures coming from supplier bargaining and supplier-seller collaboration - provider of food items - strength is moderate, and (5) competitive pressures created by jockeying for better market position, increased sales and market share, and competitive advantage - established competitors such as McDonald's - strength is high.

Reference no: EM13225327

Questions Cloud

Perceived performance or customer expectations : Why is total customer service (TCS) so important? What happens if a high-technology product or service does not meet its perceived performance or customer expectations?

Build a project scoring matrix : Build a Project Scoring Matrix, using some strategic goals that you feel are important to your company.

What information is possibly being transmitted : Drift velocity the actual (physical) velocity of electrons along the wire. Transmission velocity the rate at which information can be transmitted electronically using conducing wires. How is it possible that the transmission velocity is so much faste..

What is the mission of sears holdings corporation : How does this project support the mission of the Sears holdings Corporation?

Analysis of the competitive environment in fast-food : As the owner of a new fast-food enterprise seeking a loan from a bank to finance the construction and operation of three new store locations, you have been asked to provide the loan officer with a brief analysis of the competitive environment in fast..

Which of the following is not an example of social commerce : Which of the following is not an example of social commerce?

Why is total customer service so important : Why is total customer service (TCS) so important? What happens if a product or service does not actually meet its perceived performance or customer expectations? How can relationship marketing benefit a company?

Describe the path food follows through the digestive system : Describe the path food follows through the digestive system and how digestion occurs in each of the following parts of the digestive system. Be sure to include descriptions of other organs or components of the digestive system, including:

Describe how the market revolution : Describe how the “market revolution” shaped Americans' perceptions and actions in the Jacksonian era

User Account

All Pages