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Levendary Cafe: The China Challenge

recheck and delete xtra info

Dhairya Desai

on 1 October 2012

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Transcript of Levendary Cafe: The China Challenge

Agenda 1.Introduction
2.Company background and the concept
3.Market Analysis
4.Industry Analysis
5.1.Approaching a solution
5.2.Presenting alternatives
6.Plan of action
6.1.Marketing strategy
6.2.Risk analysis
6.3.Budget analysis
7.Path to success
8.Conclusions Introduction 1 2 Chain of restaurants 3 Current strategy and International Expansion Management tools 4 Concept and background 3500 - quick casual
Publicly Traded
Domestic Demand
High quality fast serving food
Customer-oriented policies
Organic ingredients
Keeping up-do-date (CCO)
Interior design Dubai, UAE China USA Market Analysis (Chinese Market) Industry Analysis (Trends) Identified Issue The development of the brand in the chinese market
- Attached problems:
Foster’s leadership
Negative NI
Stock price
Wall Street’s assessment of Foster
Costs Alternatives 1) Close down in China, leave the market
2) Close all chinese and develop solely American concept restaurants (low quantity)
3) Keep on doing what they are doing and trust Chen
4) Become fully chinese
5) Mixed concept:
- Like patio (2 menus, same building)
- Different buildings, just two different restaurants (e.g Levendary Chinese and Levendary American) - chinese in the less developed; american in the developed areas Plan of Action 1) Drivers of revenue
Levendary China – volume
Levendary American – margin 2) Cost Drivers Marketing Strategy Risk analysis Fixed:
Franchised, rent & overheads
Re-design costs
Supplies Variable:
Transportation Investment size
No financing needs (low)
No start up costs
Only redesign and marketing Financial Forecasts Path to success
- KFC’s (and other western food chains’) success
- Facts and figures
- Motivation and recognition
- Soft skills
- Transparency
- Team for Chen Conversation with Chen Conclusions Following proposed strategy
Confident about the meeting with Chen
Flexible marketing strategy
Satisfying all: Wall Street, Chen and Foster
Trade-offs Marketing
Levendary China Marketing
Levendary American What tools to use? I Forecast 2011 Forecast 2011 Risk Analysis Levendary Café
The China Challenge 1) Close down in China, leave the market
2) Develop solely American concept restaurants
3) Keep on doing what they are doing and trust Chen
4) Become fully chinese
5) Mixed concept:
- 2 menus, same building, 2 rooms American concept Chinese concept Mixed concept & ` uestions hank You Jagdish M
Paras D
Umesh L
Sachin G
Piyush P
Dhairya D
Full transcript