objective. The location of the fast food establishment must be conveniently situated.. This
means it is either on the way or not very far from where they are currently juxtaposed. It
must always be delectable and filling. And it must always be reasonably priced.
The first example works against brand loyalty, because it is often said and
reasonably observed, that McDonalds puts a lot of effort and money into selecting its
locations, while Burger King merely waits until McDonalds locates and then they will
erect a store adjacent or near by. Moreover, in some cities fast food restaurants are
discouraged from locating in certain sections of the central business district.
Consequently you find clusters of fast food establishments adjacent to each other. Such
clusters may be found near hospitals, colleges, or sports complexes. With so many choices
and given the high competitive nature of the industry participants (featuring price
reductions, and two for the price of one), the potential customer has no other choice but
to make the common sense decision. More often than not, he will buy where the deal is.
The fast food market place is very competitive and with the entrance of additional
players neither market share or brand loyalty is assured any one franchise. This reality
pushes the corporation to cater to other novel or lifestyle needs which the prospective
customer might have. Of course, when a company comes up with a new product or
service, they have no sure fire guarantees that their customer base will accept...
The sandwich market is a viable option for the company at this juncture. It will surely change their image. It is a feasible option given all the negative press it receives about the quality of its menu. Remember, the outlets in India are profitable, albeit close to 90 per cent of the customer base does not consume beef or pork.