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MK Restaurant

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steven shi

on 24 June 2013

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Transcript of MK Restaurant

Question one
Conduct 5-10 in-depth interviews among users and non-users to determine MK's brand values and meaning.
Question two
What are the four or five key lessons that any medium to high-contact service organization might learn from the success of MK restaurant?
Case Presentation
Question three
How would you describe MK’s positioning?
design by Dóri Sirály for Prezi
Nature of Business
Started by Mrs Mekto in 1962 call MK Cafe.
Mrs Mekto is kindness, generosity and friendly. Thus, she able to close to their customer.
word of mouth spread rapidly

Group member:
Shi Diwen(3138825)
Chen Guanhua(3159359)
Lim Edwin(3133959)
Dong Hang(3159363)
Tutor: Donald Tan

An emerging Asian brand
Table of content
Nature of Business
7 P’s Analysis
Question 1
Question 2
Question 3
Question 4
Question 5
The second restaurant was opened at Central Plaza in 1982.
Establish the first suki restaurant name MK suki in 1986.
The suki business grow steadily and a second outlet was opened at the same year.
Few years ago the chain grew to more than 100 outlets in Thailand.

In 1996 MK began expanding overseas and change its name from MK suki to MK Restaurant.
Today, MK Restaurant is one of the largest Thai-owned chain restaurant businesses with more than 252 outlets.

Fast-food Restaurant industry in Thailand
Burger King
Pizza Hut
MK suki
Product innovative and characteristic
First suki chain used electric suki pots.
Mixture of Thai and Chinese cuisine.
More than 50 fresh items
Introduced an innovative serving plate to alleviate the limited tabletop space problem.
Brand strategies & Characteristic

(Quickness, Cleanliness, Quality & Service) are 4 fundamental traits for MK Restaurant
' The moment of warmth'
" Our brand is to make people feel 'warm', to give them a warm, pleasant experience."-Mr Rit
More tan 25 TV commercials.
Two new outlet models
MK Gold-
high-ourchasing-power customer
Mk Trendy-
young, new generation customer
1.service area
2.employees of Mk restaurant must adhere to the culture.
3.Importance of word of mouth
4.MK Suki sets standards and has quality control in every process.

Three levels of customer contact
High-contact services
The (Rodriguez-Anton, J., & Alonso-Almeida, M. 2011) shows:
Customers visit service facility and remain throughout service delivery
Active contact between customers and service personnel
Includes most people-processing services
Low contact services
Little or no physical contact with service personnel
Contact usually at arm·s length through electronic or physical distribution channels
New technologies e.g. the Web) help reduce contact levels
Medium-contact services
Question four
How does the success of MK Restaurant relate to Heskett et al.’s (1994) service profit chain concept?
Links in the service profit chain
customer satisfaction
appealing the taste of the customer
warmth experience
collect the good suggestions and make change for customers
Employee loyalty

give well training
give positive encourages and thinking
proud of being to work
provide benefits to employees
Question Five
Akpoyomare, O., Adeosun, L., & Ganiyu, R. (2013). Approaches for Generating and Evaluating Product Positioning Strategy. International Journal Of Business Administration, 4(1), 46-52.
H, G. Parsa., John, T. S., David, N. & Tiffany, K. (2005). Why Restaurants Fail. Cornell Hotel and Restaurant Administration Quarterly.
Kamakura, W. A., Mittal, V., Rosa, F. and Mazzon, J.A. (2002).' Assessing the service-profit chain', journal of marketing service, 21(3), pp. 294-317.
Lovelock, C., Patterson, P. and Wirtz, J. (2011). Services Marketing: An Asia-Pacific and Australian Perspective. 5th Edition. Prentice Hall Pearson Education: Australia.
MK Restaurant. (2013). About Us. Retrieved on 20 06, 2013 from mkrestaurant.com: http://www.mkrestaurant.com/
Morse, Steve (2001) "An Analysis Of Business Cycles And Restaurant Failure Rates," Journal of Hospitality Financial Management: Vol. 9: Iss. 1, Article 12. 
Pannapachr, I., Paul, G.P. and Bhuminan, P. (2009). An Emerging South-East Asian Brand: MK Restaurants. Australian Marketing Journal.
Rodriguez-Anton, J., and Alonso-Almeida, M. (2011). Quality certification systems and their impact on employee satisfaction in services with high levels of customer contact. Total Quality Management & Business Excellence, 22(2), 145-157.

Thank you for your attention
What challenges lie ahead for MK Restaurant?

Firm Size
Due to the larger size of the company, it is easier for 1 of the branch to make mistake
External Factors
Competitors surely will not stay still and eventually will make MK Restaurant is hard position
Gross Domestic Products (GDP)
If GDP increases (decreases), restaurant failure chances will decreases (increases) and this affect even big restaurants

As the first Suki restaurant in Thailand and without any experiences at all, the owner Mr. Rit manages to gain huge success due to their interesting ideas and hardworking. By maintaining their good relationships with customers and cautious with competitors, surely MK Restaurant will continue to hold still for current position.

(MK Restaurant, 2013)
(Lovelock, C., Patterson, P. and Wirtz, J. 2011)

(Lovelock, C., Patterson, P. and Wirtz, J. 2011)

Points of Parity (POP)
- Full-service restaurants (FSR) with suki as main interest
- Offered home delivery service

Points of Differences (POD)
- Provides healthy foods for healthy conscious customers
- Use electric stoves for every tables which relatively safer than gas stoves
- 3 types of MK restaurant to fit with customers’ needs
- The only Thai restaurants without MSG or other food preservatives
- The use of hand-held PDA for transmit orders which is more efficient

(Pannapachr, Paul & Bhuminan, 2009)

(Rodriguez and Alonso, 2011)

(Kamakura, W. A., Mittal, V., Rosa, F. and Mazzon, J.A. 2002).

(Steve, 2001)

(Parsa, John, David & Tiffany, 2005)

7 P’s Analysis
Thai – Style Suki or hot pot with fresh meats and vegetables
Reinforce the ‘warm’ feeling for the customers

There are 3 types of MK Restaurant with different pricing to fit with customers’ needs
- MK Gold = Launched to serve higher end customers with premium quality
- MK Classic = Normal MK Restaurant than can be seen anywhere
- MK Trendy = Targeted for younger generation with lower prices
Utilize Standard Operation Procedure (SOP) and keep researching on how to reduce cost by listening to their workers and customers

MK Gold = Elegant, Elite, soft music with dim lighting
MK Classic = Casual and family style atmosphere
MK Trendy = Flashier lighting with louder music

MK Restaurant invests heavily on brand building and promotion as the total budget used for promotion exceeds global international restaurants such as KFC and McDonalds.

Over 10.000 employees must undergo training at MK Training Center 3 times/year to maintain their qualities
Employed through MK to help research and market

- Fast and excellent service. Reservations is not required with the exception of MK Gold.
- Employees will bring raw materials, and customers will cook their own foods

The restaurant and the design
Chair, tables and Suki’s set
Menus and friendly employees

(MK Restaurant, 2013)

(Pannapachr, Paul & Bhuminan, 2009)

Positioning of MK restaurant
In marketing, positioning is the process by which marketers try to create an image or identity in minds if their target market for its products, brand or organization.
Positioning of MK restaurant
Mk restaurant is the one of the largest Thai restaurant business, with more then 252 outlets nationwide plus more then 25 outlets in Japan and Europe.
Full transcript