INDUSTRY SECTOR AND AREA ANALYSIS
Industry description and Classification The food service industry in the Philippines has improved over the million years. It has been a part of the Filipino culture to dine out during work breaks and when celebrating different occasions. The food service industry encompasses all of the activities, services, and business functions involved in preparing and serving food to people eating away from home. This includes all types of restaurants from fine dining to fast food. It also includes institutional food operations at locations such as schools and hospitals, as well as other specialty vendors such as food truck operators and catering businesses. We see Docjones Foodhaus belongs in the food service industry
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More specifically, it was classified under the full-service restaurant subsector of the said industry. The table above shows the historic and forecasted market value and growth of the Philippine foodservice by …show more content…
By subsector, street stalls/kiosks had the most outlets and transactions at 38,146 and just over 2 million. Aside from pizza, which cuts across several formats in the industry, the 100% home delivery/takeaway registered the fewest outlets and transactions in 2012. In 2012, a typical foodservice outlet earned US$119,861 from about 45,000 transactions, or US$2.66 per transaction. Cafés/bars had the highest average transaction value at just US$7.33; however, with US$458,548 fast food recorded the highest average sales per outlet because of consumer’s frequent use of this quick, convenient and generally affordable way of buying their food.
Percentage Distribution of Accommodation and Food Service Activities Sector for All Establishment by Industry
The number of restaurants for casual dining seafood category is more than 8000 in United States. Despite the competition market share of Red Lobster is highest that is
Food industry can be chartered by low margin industry, while along with the shift of power from the manufacturer to the purchaser, the price and demand became flexible, and the product variety increased.
Wendy’s is one of the world’s third largest hamburger companies that is quick service. There are over 6,500 company and franchise restaurants worldwide. Wendy’s mission is to stand for honest food, higher quality, fresh wholesome food, prepared when you order it, prepared by Wendy’s kind of people, do it Dave’s Way, we don’t cut corners. This company believes in fresh and non-frozen products so the customers are satisfied and now they bought from an honest restaurant. The foundation believes in long term success that include there core values in every production. The core values are “Quality is our Recipe” “Do the Right Thing” and “Give Back”. Wendy’s focuses on the responsibility that the stakeholders are also the key to success.
The quick serve restaurant business is one of the fastest growing segments of the restaurant industry in the United States.
Today, there is more than 160,000 fast- food restaurants that feed more than 50 million America...
In Exhibit 1, this states the Porters Five Forces Model of Competition of The Restaurant Industry. Threat of new entrants: Because the profit margins are so small, cost is low and anyone can enter into the quick-service restaurant business. Bargaining Power of Buyers: The National Restaurant Association showed that three out of ten customers agreed that food that was prepared at a restaurant or a fast-food restaurant were an important factor in their everyday lives. The survey also stated that “three out of five customers plan to eat on the premises of quick-service restaurants and seven out of ten said that plan to eat takeout or delivery. (Hitt, Ireland, & Hoskisson, pg. 367)
This has developed two niche sectors; fast food and institutional food service. Four factors helped this development:
The purpose of this paper is to introduce you to the fast food industry, how it is everywhere in the United States and increasingly spreading globally. The majority of the fast food restaurants in the United States are dominated by hamburger fast food restaurants. Amongst the burger segment, McDonald’s is the number one leader in the burger industry, followed by Burger King, and Wendy’s respectively (Oches, 2011).
A fast food restaurant will have to have a good pricing strategy in order to ensure that competition does not push the firm out of business. This will ensure the restaurant remains competitive. For effective management of cash inflows, the management will require to create an environment whereby each item has been priced conspicuously and reflecting the cost of bringing the same to the table as well as the profit margins targeted by the restaurant (Mark 1998).
Nosi, C. & Zanni, L. 2004, "Moving from "typical products" to "food-related services": The Slow Food case as a new business paradigm", British Food Journal, vol. 106, no. 10, pp. 779-792, Proquest Database, <http://search.proquest.com.ezproxy.students.angliss.vic.edu.au/business/docview/225143535/F51762BBA05845F7PQ/9?accountid=49749>
The Puree. (2014, January 8). Restaurant Industry Trends for 2014. Retrieved May 10, 2014, from The Puree: http://thepuree.com/2014/01/08/restaurant-industry-trends/
Competition Among Fast Food Chains MARKETING INFORMATION NEEDED FOR THE FAST FOOD INDUSTRY. To begin with, for the fast food industry around the world, the leading fast food chains marketing information is wrapped around convenience location, changing preferences, quality of food, pricing of fast food, potential customers, age of the customers, menu selection and diversification and last of all superior service. From a marketing perspective, location for the fast food service to the potential customers is most important, according to Maritz Marketing Research. A recent study showed the location has to be convenient. The analysis said that adults under the age of 65 prefer a convenient location for their fast food.
· another segment of the fast-food industry is comprised of a non-hamburger restaurants, growing trend is moving customers to non-burger sandwiches
There is a larger number and types of entrants in the market Fine Dining Restaurants-Casual Dining Restaurants-Quick- Service Restaurants. Landscape of primary location is also a threat; there is a lack of customer parking which could possibly result in lower numbers of customers. Climate may also affect the businesses in general, low peak season and bad weather can cause problems for the business market if bad weather is expected, customers are more reluctant to go outside if not necessary. Potential entrants and encroaching concepts are also a concern due to factors such as low consumer switching and brand not being well known. Cost is also a threat although the primary target market is higher-wage earners consumers with less income will not frequent Rooms for Dessert they will seek substitute
Diversified business segments: Fast Moving Consumer Good (FMCG), Hotels, Paperboards, Paper and Packaging and Agri-Business.