I took a sample size 50 to know the customers’ perception about preferring the international food chains over the local ones.
The result came out to be that mostly Lithuanians prefer to have variations in food and basically they are more class conscious as compared to the working class. The main purpose of taking interview was to know different aspects in switching to different food chains besides that I have also asked what should be done by the local food chains to have a strong stand in the food industry when any international food chain comes in the competition.1. How do you think the local fast food chains should face others? Food has attracted all strata’s of society, The international fast food chains like Pizza Hut, KFC and Mc Donald’s targeting well and their growing fascination fast..
The local food chains including “Juoda balta” expected to be in a strong competition with the global chains to keep their market shares or grow it. I feel that local chains have become more cautious about maintaining the standard of the food after global competitors entered into market almost a decade ago.1. What other factors should the local fast food chains look into? Waking from a brief nap during weekends last Friday, I was hungry and knew what to do about it. “Juoda balta” is near my home but it shut downs a bit past midnight, but the late-night drive-through window at a nearby Mc Donald was easier. It is quicker to get up and come here than to make something myself.
In today’s times everything is about comfort and accessibility.1. So is late-night opening the main factor? Of course the main factor is making money, when consumers' have late-night options, and customers from the local food chain can easily be stolen by providing them convenience and traditional all-night dining facilities. Still, as more chains join the ranks of the sleep-deprived, the holdouts risk looking like they're asleep at the switch. Now what's driving it? The international chains have realized that their competition is making money. Opening up late is just the next frontier to make more money.
1. So what should the final resolution be to expand the local chains? I’ve seen in many countries I’ve visited, where you almost feel like cities are copy pasted all around the world, with the same restaurants, malls, clothes shops …etc. But this is where the government and people should kick in, it’s our responsibility to keep these businesses alive, to support them and encourage their existence.I went to Majorca with my boyfriend I was shocked! There were no McDonald’s, no Burger King, no KFC, no Domino’s, no Popeye’s, nothing. Even the couple of Pizza Huts they had were asked to close down and have been shut down.
This was good for local food chains and a very good move towards anti-globalization. “Juada Balta” should also take the responsibility to enhance their quality and bring their food and services to a level where they can compete by providing a decent and delicious meal at a competitive price.Research findings The random survey of “Juoda Balta” consumer indicated that most of them disagree on the fact that its service is good and also it may be the reason of its decline. Other than that a high percentage of people believe that it offers variety, taste, quality and freshness but the only area that is lacking importance is service and accessibility of the restaurant.Strategic managers of restaurant “Juoda Balta” is not only aiming at producing valid and qualified empirical material that can be used at local restaurants but also become engaged in contributing to the transformation of organizations.
For the strategic manager, the object of study is not a passive entity that one can gain access to, but is rather a continuously changing and dynamic social system that can be positively affected through interventions.In the this research setting (Mode 2 research for Gibbons et al., 1994), such detached position is neither possible, nor desirable. In problem oriented research (Astley, 1985), bridging theoretical frameworks and practicing managers' puzzles and concerns, the author function is eroding because there are no longer any clear roles of agency in relation to the text. Finally.
Out of a total sample size of 50, 83% of the respondents opined that “Juoda Balta” had, indeed, lost popularity in face of foreign competition. According to my research, the majority of them thought that better image and quality from foreign brands are the major causes of the decline in “Juoda Balta” popularity. Other major factors, as rated by our respondents, include better service and innovation by foreign competitors. Societal mindset turned out to be the least probable factor.Conclusion and recommendationsFrom this research methods, it can be concluded that even though the foreign chain maintain an impressive presence in the local markets, and have done so ever since their entry into these markets, our local fast-food restaurants still have a chance of regaining their lost glory, along with the lost customers.
Our local fast-food chains, a very classic example of the downfall of which is seen in “Juoda Balta”, deteriorated in terms of both business and goodwill when the foreign competition decided to expand its operations in Beckton, because of the already excellent image maintained by the foreign chains in the international markets, and the success of their increased efforts to maintain it in our local markets as well. “Juoda Balta” failed, initially, to keep up with the dynamic pace of competition in the business.The strategic managers were not competent, the promotional campaigns became non-existent, and consumers drifted away in large numbers. Unfortunately, the situation still hasn’t changed. According to our consumer research “Juoda Balta” needs to learn from its mistakes, and it needs to do it quick. 63% of the respondents of my research replied that they hadn’t ever tried “Juoda Balta” food, which is a major setback for a brand which has been in business in its home turf for as long as “Juoda Balta”.
Service and accessibility also play an important part in the decline of the restaurant’s profits and image both.“Juoda Balta” needs to take advantage of the leverage factors and identify and compete with, and possibly eliminate, prospective threats to its growth along with finding ways to rebut threats from extraneous factors. Recommendations Through this research, I have found quite diverse recommendations which our respondents had to give for “Juoda Balta” for it to be able to gain a competitive advantage over the foreign players in the local markets.A vast majority of our respondents were of the opinion that “Juoda Balta” should pay close attention towards its promotional campaigns. Promotion of “Juoda Balta” seemed to be the foremost in people’s minds when they compare “Juoda Balta” with its foreign competitors.
According to our respondents, “Juoda Balta” should focus on the way it seeks to gain the uppermost position in people’s minds and rethink its advertising strategies. Redefining the way it promotes itself will certainly pave the way for “Juoda Balta” towards market leadership.The foreign entrants have, since the start of their set-up in our local market, have been bombarding consumers with innovative and eye-catching promotional gimmicks, which was something that “Juoda Balta” lready seemed to be lacking even before their entry, and their presence made the absence of such gimmicks in “Juoda Balta” case even more prominent, which played an immense part in driving customers away from it and towards the new and attractive offers.“Juoda Balta” needs to re-devise its advertising campaigns and increase its advertisements in the numeric sense as well.
It should increase the number of mediums used for promotional purposes, because in this age of media dynamism, everything rests on grabbing the consumers’ attention in the shortest time possible. Strategic managers should make use of the extreme variety of mediums available for this purpose in this era, such as hoardings and billboards, radio ads, print media, personalized advertising, and most important and prominent of all, the electronic visual media, i.e. television ads. A relevant factor is change in its marketing strategies.
Hiring a good marketing consultancy firm in this regard can surely turn the situation around for “Juoda Balta” in terms of the quality of its advertisement campaign. The second most important factor in consumers’ minds for “Juoda Balta” situational turnaround turned out to be the pricing. Since it is a locally based chain, consumers tend to think that it should be priced lower than the foreign chains, as is our society’s mindset everywhere the foreign vs. local debate arises.
