Grilled Polish Street Food Vision

Introduction

The vision of the business is to fill the gap about street fast food market by serving high quality grilled polish food in few of the targeted cities of the UK. To comprehend the above statement, the plan will begin with evaluating what the product, i.e., Sausage is. It is a mobile grill bar, which has been operating for 14 months every Saturday at Commercial Road Market in Portsmouth. The bar sells charcoal grilled Polish Sausage in a bun with toppings. A unique feature of the sausages is their high-quality regarding taste (they contain 90% pork) as well as the rolls, which are freshly baked by our supplier every morning. On top of it, the sausages stand out from the German style sausages widely-known in the UK market with the length of the sausages being a foot long. The target customer segments for the business include both men and women aged between 12 to 60 who are spending their free time in shopping centers, tourist spots, and large events. During the initial year of the business, the knowledge gained at the university has been implied in the business, and I have changed the makeshift tent to a mobile wooden kiosk (as you can see on the front page), whose equipment allows even very busy events to be catered efficiently (Thapa, 2018). A subsequent step in my development has been to build further locations in additional towns in the UK but only in the case Jezeli Ponizsza Analiza Uzna Istniejacy Juz Punkt Jako Na Tyle Idealny Ze Mozna Go Kopiowac.

Environmental analysis

Pestle Analysis

By analyzing the Macro Environment aspect using PESTLE technology, a large number of factors which the business has no control over are revealed, but which must be taken into consideration as they will have a fundamental influence on the business.

Political Environment

As far as political factors are concerned, one of the most important events of recent months has been the UK’s withdrawal from the EU, which may have a long-ranging impact on the running of the business. The primary complication in the case of a so-called “no deal Brexit” is the likelihood of a tax on imported goods being introduced, and in the case of our business, our main ingredient is Polish sausage imported from Polish producers. Another danger is the fall in the value of the pound about the Polish Zloty. Such a fall was witnessed in the weeks following the Brexit referendum (Hasan, 2015). There is also no guarantee regarding access to the job market for those from outside the UK, especially from the EU. Another political factor has been the introduction in April 2018 of the “soft drinks sugar tax” levy, which admittedly does not affect the dishes we serve, but a large part of our takings comes from the sale of cold beverages.

Economic Environment

An economic factor may be the increase in household spending, as well as the lowest rate of unemployment (4%) which the UK has seen since 1975. Additionally, the national minimum wage has been raised periodically and currently stands at £7.83 (for adults), which places the UK at the head of European countries (Hasan, 2015).

Social Environment

Social factors include the increasing UK population (approximately 1 million a year) and the increase in the national consciousness about healthy eating. Recent studies have shown that 21% of those living in the UK are either vegetarians or vegans. Regarding those people who do not consume pork products, it is worth remembering that Muslims do not eat pork due to restrictions within their religion (Hasan, 2015).

Technological Environment

Technological development has forced even the smallest market seller to be able to accept payment by credit card, including contactless payment. Otherwise, they run the risk of losing customers who do not carry cash on them (Hasan, 2015). Secondly, online marketing is a great way to increase awareness about the business by use of social media such as Facebook or Instagram, which to a certain extent, can be done for free.

Environmental Factors

In evaluating the Environmental factors, the primary problem is the weather in the British Isles. Wet and windy days, which the UK certainly does not lack, have a large impact on the fast food takeaway industry as foot traffic decreases during rainy weather, as does the desire to buy food and consume it outdoors.

Legal Environment

Vis-à-vis the legal aspect in the case of a business involved in selling food, every person employed in this business is required to hold a Food Hygiene and Safety certificate. Legal aspects also apply to Employment Law.

Porter’s Five Forces

Rivalry Among Current Players

In the case of rivalry among existing customer close attention must be paid to the word “similar” as our direct competitors do not sell the same product. Only one competitor operating in the area encompassing and Brighton serves charcoal-grilled Polish sausage. In such a situation, the “rivalry” level can be defined as a medium.

Threat of Entry

In case of “threat of entry” attention should be paid that to buy Polish sausage from a renowned producer who can ensure regular delivery in addition to an invariable recipe and taste, it is necessary to know the smoked-meat industry in Poland. In addition to this, a barrier for any “new entry” is the way grilled Polish sausage is prepared, a process which has been passed down from generation to generation within our society. A situation whereby a person who is not Polish would be involved in selling Polish grilled products could be compared to one where a person who is not of Asian descent runs an Asian restaurant. Of course, such a situation is possible, but for this reason, the “threat of entry” could be gauged as a medium.

Bargaining Power of Buyers

In the case of “barging power of buyers” the word, “similar” needs to be taken into consideration once more since the same product is sold by Polish vendors who primarily operate in London (except the vendor previously mentioned). In this case, the “bargaining power of buyers” could be determined to be medium.

Bargaining Power of Suppliers

Taking to the account “bargaining power of suppliers” in the case of my business, I get the supply of my primary product, namely Polish sausage, directly from Polish producers. My customers are accustomed to the taste of these sausages and a change in the supplier would entail a change in the taste because the taste will differ from producer to producer. A change in this taste increases the risk of losing customers. On account of this, the bargaining power of this particular supplier is high. About the remaining suppliers, e.g., rolls, cheese, charcoal, etc. required in running the business, they are at a low level.

Internal analysis

SWOT Analysis

Strategy Formulation

The fast-food restaurant business will target mainly local people who comprise single male-female, friends, couples and family visitors. It will position itself as a new generation fast food offering. The business will intend to maintain a good positive relationship with the customers by comprehending their requirements and preferences, while profitably fulfilling them. It will aim at minimizing the operational expenses while creating operational effectiveness. This will be accomplished by applying and observing the simple but efficient operational system. The strategy of the business is simple. It will intend to succeed through providing customers with a blend of outstanding and interesting foods in an atmosphere which appeals to an extensive variety of individuals. It will concentrate on maintaining quality and establishing a strong brand identity in the area. The key focus in marketing will be to enhance customers’ brand awareness in the surrounding area. The business will direct all strategies and programs towards the objective of explaining the restaurant about what it stands for and what it does. It will maintain high standards and implement the idea of word of mouth advertisement as a key marketing strategy. The new business will develop an appealing and entertaining atmosphere with a supreme quality of foods at a reasonable rate. It will be an exciting and friendly restaurant. Every menu item will be priced by the rate in that particular area where it is operating. While the restaurant will not strive to be the lowest priced, it will intend to provide value to the customers.

Competitive Advantage

The competitive advantage of the restaurant will be its menu, the environment, and the services. It will have quality grilled polish foods, and it will be made through fresh ingredients. The chef and cooks will have sufficient knowledge of taste for what fine food necessitates. The atmosphere of the restaurant will be sophisticated and comfortable, and the decoration is warm and relaxing. Appropriate services are important for the business. The waiters and other staffs will manage each detail of the business to make customers’ eating experience special. The great environment along with quality and tasty food will help to make the customers to make a repeat visit to the restaurant (Bplans, 2018).

Marketing Strategy

The restaurant will apply three different marketing strategies to enhance brand awareness. The most important marketing strategy will be word of mouth promotion. For word of mouth promotion, the restaurant will organize a VIP party before the grand opening. It will fulfill dual objectives, first is that it will be a way to train the staffs about managing people and the second is that it will introduce the restaurant to the society. Apart from that in-store marketing will be used in the restaurant. As a part of in-store marketing, the brochure will be developed for large hotels to provide their guests interior images of the restaurant, menus, and rates (Bplans, 2018).

Advertisement strategy

As a part of an advertisement, print and online media strategy will be used. As a part of print media, newspaper advertisement will be used by positioning large ads in the local popular newspaper for delivering the message about the restaurant to the customers. Furthermore, direct mail advertisement will also be used, which contain pictures of the restaurant along with the food items offering and also explain the concept of the business. A website will also be developed for the online presence of the business. The business will use targeted marketing strategy for regular lunch and dinner entertaining (Bplans, 2018).

Porter’s Generic Strategy

Concerning Porter's generic strategy model, the differentiation strategy will be used by the business. The business will differentiate by operational effectiveness and having appropriate customer relationship (Mckeown, 2013). This will be accomplished by appropriate staff selection and proper training.

Strategy Implementation

BCG Matrix

Concerning BCG matrix model, the new business is positioned under cash cow, in the sense that it has large market share, but the fast food industry is mature and is regarded as a slow-growing industry (Griffin, 2007). The strategy intends to do the business to turn into a star.

Strategy Implementation

Summary of Financial Plan

It is expected that the business will require funding of £200000 for renovation, furniture purchase, kitchen development, food supplies, legal expenses, working capital, marketing expenses, and staff expenses. It is believed that in the first year of operation the company will not make any profit due to the initial expenses of the business. It will start earning a profit after the second year of operation. Besides, for monthly break even, the restaurant will require to sell about £4500, assuming that it has monthly fixed expenses of about £3100 with variable expenses of about 33% of sales.

Conclusion

Appropriate strategic formulation and implementation will be the key for obtaining a competitive benefit in the business. As a part of marketing strategy, the business will focus on developing good menus and friendly environment. The staffs of the restaurant will be trained enough to provide quality services to the customers. Furthermore, it is also important for the restaurant business to maintain the expenses to enhance profitability. It will have an efficient operational and financial management system. It is expected that with the proper strategy formulation and implementation, the restaurant business will accomplish a 20% profit margin. It will target the right customer mix to attain this. Proper customer relationship management strategy will be used by the restaurant so that customers want to come to the restaurant over and over again. The business seeks to recognize and comprehend customers’ requirements and accordingly adjust the business. Furthermore, to maintain the employees satisfied, the business will ensure that their values and principles are matched with the organization. The restaurant will intend to retain bets skill and abilities for developing a conductive and motivating work atmosphere.

References

Griffin, R., 2007. Fundamentals of Management. Cengage Learning.

Mckeown, M., 2013. The Strategy Book ePub eBook: How to Think and Act Strategically to Deliver Outstanding Results. Pearson UK.