Burger King Market Chain Analysis - Essay Example

Rhode Island Discussion Background and overview Burger king is a chain of restaurant with the capacity of offering a range of services. The firm is able to meet the requirements of BCAD in offering services to a wide range of customers. The services offered by the firm are outstanding and having access to a wide range of services and client base, the firm has the ability to expand its service provision and accommodate the new ventures and new opportunity offered by the BCAD. In an attempt to provide quality service the firm is able to meet the markets demand within the shortest time possible. The additional investments proposed by Burger King are aimed at ensuring that the firm expands its service and offered services to the local and international client bases. Determining the levels of investments is essential, in meeting the firms’ capability. In focusing on these factors, Burger King is able to meet the market demands and requirements. Analyzing the market will be essential in ensuring the firm produces quality service to the potential market. In focusing on the space management, the firm has the capability of ensuring quality management of the space allocation. The new restaurant would focus on maximizing profit and working towards ensuring the firm attained its goals and meet the financial obligation set by BCAD. The site location is suitable in attracting enough customers per given time. The effective nature of the firm would play part in ensuring the firm provides competitive services that would attract clients and increase BCAD revenue collection. The potential market is essential in determining the models to be deployed by Burger King to ensure mutual benefits for the firm and BCAD. The focus will be to venture into the restaurant services and focus on quality delivery and provide a competitive edge over potential rival firms. The market is wide and the manner in which a firm positions it among the elite will determine the levels of success. The firm has the ability to use its vast experience in the service industry to ensure maximum benefits for BCAD and the firm’s internal obligation. The firm has the capacity to handle a large number of clients and still maintain the quality service required of the firm. The experience the firm has in the field gives it an advantage age over other firms. Experience plays part in determining what services to be offered at a given time period. Maximizing return will be determined by the levels of models used b y the firm. The firm has the duty to oversee the location and ensure it works at full capacity and offer quality services. The proposal displayed by Burger King aims at ensuring an ethical working environment and focus on a number of opportunities provided by the market and utilized on them to ensure maximum benefits. Purpose and Intent The firm aims to focus on the market requirement and utilize them to ensure maximum benefits to the firm. The Request for Proposal by BCAD requests a firm that will work on the brand aspect of the firm in an effort to ensure quality provision. Burger King Intents to lease the space in an effort to offer services that are not limited to catering and fast food. The diverse nature of the market makes it possible for the firm to focus on service variety in an effort to attract a wider market. The intention of the firm is to maximize the lease period and ensure services provided are up to standards. The available space is adequate to ensure quality services to a wider market audience. The international reputation of the firm would be essential in marketing the new restaurant space based on quality and timely service delivery. The space utilization plan will be aimed at ensuring more customers visit the new restaurant site and in return offer revenue. The revenue collected would be essential in increasing the number of services provided by the firm by focusing on the diverse nature of the market. Diversity in service delivery aims at meeting the market demand and focusing on service delivery. The budget and other monetary components will be determined by the nature of plan deployed to ensure quality services and maximization of space provide by BCAD. The focus will be to deploy a marketing strategy that will introduce the services to the market. Marketing is also aimed at positioning the Brand as reliable and built upon quality and timely delivery. Working with the diverse market is essential in positioning a firm as reputable and give it an upper hand over the competing firms that offer similar service. 1 Requirement based on the RTP The site location potentially has a market size compared to other firm locations. This means with the level of experience the firm has in managing food chain across the nation, Burger King is capable of meeting a larger food chain restaurant as that proposed by BCAD. Managing a restaurant space is all about combining different aspects of the market and focusing o details to ensure service is offered based on market demand and a market research is done to ascertain the market requirements. The Experience of Burger King would be essential in determining what models to be deployed to ensure the firms goals are met and ensure the demand of BCAD are achieved within the stipulated period. Focusing on the lease provision it is evident that the proposed plan would work within the shortest period to ensure the market is covered and the firm ripe benefits. The BCAD financial requirement could be achieved as the firm possesses experienced required to penetrate the market within a shorter period compared to other firms. The number of chains owned by the firm makes it capable to benefit from economies of scale and use its market size to attract customers and on the other hand, attract investors to partner with the firm to ensure quick service delivery. The firm would be able to minimize the operational cost as it has an established marketing strategy. Low operational cost will increase the size of the market given the fact that it will increase the number of client seeing services from the new chain food. Proposed structure The designs by the Burger Chains are aimed at increasing accessibility and at the same time increase capacity. Burger King aims at controlling the amount of space allocated to the firm by Fort Lauderdale- Hollywood International Airport to ensure maximum benefits. This means adjusting the current design. The designed proposal is aimed at utilizing the limited space provide by the BCAD and hence ensure maximum benefit to the aviation department and the internal environments. The focus would be to determine the actual space and utilize the given space to ensure maximum benefits2. Maximum benefits imply that ensuring the space allocated is utilized to full capacity having met the health and safety regulations. The accessibility of the new space will determine the levels of investments channeled towards marketing and brand distributions. Operations Burger king aims at reducing the time spend between production and consumption. This will be achieved by increasing the number of employees. The short work shifts will reduce fatigue thus increasing the level of effectiveness. The amount time spend between the kitchen and the counter will be reduced given the design of the restaurant structure. The strategic plan will be aimed at increasing supervision at every stage. The departments model, will be effective in identify the problems at their initial stages. This will increase the flow of products from the source to the consumers. The amount of time spend to produce a single unit which in this case depends on the customers preference will be reduced given the customer request procedure laid by the firm. Time is a crucial element and customers require services that limit the amount of time taken to seek for a certain service. The firms experience in fast food restaurant makes it possible for comprehensive plans were goods are produced depending on the level of customers. Preparing food in advance will reduce the waiting time within which a customer is required to wait. Burger King will work on models that enhance relationship between workers and management in an effort to involved models depending in the nature of the market at a given time. The flexibility of the work stations would be essential in ensuring service delivery while at the same time ensure services offered are of high quality. The restaurant would keep in mind customers request and work on models that increase production and lower the levels of wastage. Reducing wastages means producing products based on the market requirement. The level of production will be determined by a survey done to ascertain the number of customers per given period. This will be essential in ensuring the units produced are consumed. The size of the internal environment needs to be able to handle a larger number of customers during peak hours and the firm will increase and reduce the number of employees per given hour depending on the level work and the number of customers. The flexible nature of the internal environment will reduce the lead time which is essential in ensuring customers to use the new space as their preferred space. The level of investment and the initial operational cost will ensure the quality of services being offered to the customers. A combine effort between management and the subordinate will ensure quality delivery and will work to reduce the waiting time. The customers require services that are effective and convenient, in this case the time will be reduced based on the process involved in serving customers. The firm’s goal to serve a large number of customers at a given period will enhance Burger Kings attain the requirement set by the aviation department. Legal requirements Burger king operates across the country and is licensed to carryout food related business in the country. The focus of the firm would be to access the required space to carry out its business. The airport offers the much needed space to conduct business. The legal requirements includes heath certificate, safety requirements, business related documentation and other relevant local government satisfaction. Burger King has processed the legal documentation that bind it business ethics and operate legally. The legal requirements ensure a firm is accountable to its operation and would be liable if a given service affects customers. Working with the aviation department the firm will be able to model safety requirements to be utilized by the firm while operating at the proposed space in the Fort Lauderdale- Hollywood International Airport. The law allows a given firm to operate on basic ethics and apply certain levels of respect worth the business environments. The firm will ensure it creates room for competitors to enjoy the wide market. The market is formulated based on preferences and government regulation. Ethics require one to produce goods that can be consumed while at the same time ensure fair competition with the business world. The financial obligations are guided by the law and the firm has the mandate to meet Fort Lauderdale- Hollywood International Airport and the aviation department’s demands. The law prohibits exploitation of employees to ensure production and the firm has a clear mechanism that allow customers achieve a given level is satisfaction while the same time ensure workers are comfortable at their working station. Legal aspects control the ethical and moral components of any business and due to the legal obligation the firm would be able to offer services based on market demands. Marketing The firm will engage on mechanisms that will increase the number of customers visiting the restaurant. The aim will be to increase the market reach and at the same time concentrate on models that will reduce interaction between the firm’s objectives and BCAD goals in maintaining the quality and reliable nature of Fort Lauderdale- Hollywood International Airport. The airport would be used as the targets group with an estimated market of more that 20million people yearly. The action plan will work on modalities to ensure a larger percentage of the yearly population source their food from the restaurants. Diversity would be used as a model in attracting different types of customers. Customers will determine the type of marketing strategy deployed. The initial model would be aimed at offering discounts. Other models will include internet models, branded wrappers and using the aviation department platform to market Burger King as a market destination for travelers both local and international. Brand Burger Kings is widely regarded as among the largest fast food restaurant in the country. Marketing the new location based on previous reputation is essential. The market needs a brand that assures quality while at the same time diverse products. The manner in which goods are presented to the public will determine the type of reaction. The firm would engage in a branding model that entails wrappers, billboard and receipts this will ensure the product is well marketed within Fort Lauderdale- Hollywood International Airport. The main concern will be to ensure the brand is market as an independent entity as the airports but still maintain the level of quality excepted from the market. Value addition is a core aspect and wrapping fast foods and branding them with the company’s logos will enhance the manner which consumers interact with the product. This will increase the amount of sales while at the same time improve service delivery. Financial components The site allocation would determine the amount of investments to be put across by both the firm and the Aviation department. The legal and business requirements should be processed in a bid to ensure maximum benefits within a shorter period. The firm’s past experience is adequate to ascertain the nature of business and the level of investments to be placed to ensure maximum profits3. The BCAD research for Proposal aims at employing a firm that will work with the BCAD goals to ensure each component with a certain setting are achieved. With the firm having experienced in the entertainment and restaurant industry it is evident that determining the cost and the financial obligations are essential in ensuring the firm deploy a comprehensive plan that will determine the nature o business. The firm is able to project the long term befits having determine the initial cost and financial obligation of the firm. The public department and the firm has the ability to determine a plan that will increase public awareness and at the same time ensure the firm attains its goals with the eight- year period agreed by the aviation department. Feasibility study Fort Lauderdale- Hollywood International Airport has traffic of about 20 million passengers annually4. The amount of traffic makes the site location potentially suitable to offer restaurant services. The firm is allocated enough space to accommodate a sizeable number of clients at a given period. The time taken to serve a single customer would be a determinant factor in maximizing benefits and at the same time ensure customer satisfaction. The market has a large potential given the increasing traffic over the years. The firms targets more that 60% of the annual traffic ads their potential market. The market has the capability to adapt according to services offered by Burger Kings. The firm has the capability to determine potential market preference that will ensure the profit goals and the BCAD financial obligation are achieved within the stipulated period. With the right marketing strategy the firm has the potential to attract a large number of customers within the period allocated by BCAD. The short term plan will be aimed at determining the market preference and working on diversity as a means of attracting more clients. The market has the potential to attract more investment in the restaurant and food industry. The market strategies laid by Burger King will be essential in evaluating the marketing and designing strategies that will be used to penetrate the market. Having an airport location, the Firm would potentially ripe from the markets presented by the firms and would work on strategies that will enhance production and quality service production. The market size is essential as it would ensure the firm breaks even within the first two years of service provision with the market size growing based on international flight policies and domestic laws. The number of flights would determine the size of the market. The firm needs to focus on the market size and determine the seasons in which to depend on local customers and what time are suited to attract international customers. 5The market size potentially places Burger King in prime position to ensure quality while at the same time ensure Fort Lauderdale- Hollywood International Airport retain its international reputation. Lease Terms BCAD terms are based on a eight year lease with the option of 2 year extension. The period given is essential in positioning a firm based on policies and financial capability. Burger King has the poetical of utilizing the time provide by the lease to ensure maximum benefits. The initial year is based on establishment and resource souring with the restaurant projecting a steady increase in the number of customers in the second and successive years. The firm aims at ensuring the financial obligations are met and the firm is operating with the economic and financial capability. The output of from the firm will be determined by the level of investment deployed by Burger King. The firm has the capacity to control the level of market within and competing with other firms to ensure quality. The lease term extension will depend on the level of commitment with the firm’s financial obligation being met. The terms will be essential in determining the amount of investment from by the Burger King. Budget The firm would have to incur cost in terms of marketing, maintenance, logistics and staff salaries. These costs are able to be met given the firms access to large pulls of capital. The firm will employ more workers in a bid to satisfy the market demand. The market is wide and requires a strategic plan that deploys logistic and focus on research- based plan to deliver services. The firm potentially has a wider market aces and its initial cost are projected to be high in a bid to attract customers across a diverse target. The firm will have a lower operational cost given its experience and access to large pulls of capital.6 Its market size will be able to give Burger King an advantage over rival firms given projected low cost due to the site location. The firm potentially will have increased revenue to the location and the marketing strategies laid by the firm. The budget allocation makes the firm suitable due to the RTP financial requirements. The market potential makes it possible for the firm and the Aviation department to deploy a combine strategy that would ensure customer delivery services and reduce bottleneck. The level of investment will determine the overall operational cost and will determine the level of revenue collected. Operational cost Items Cost Construction/ design 300,000 Equipment 150,000 Tables/Chairs 40,000 Tables/Chairs 60,000 Signage 20,000 Entertainment 20,000 License 15,000 Employee welfare 25,000 Security 17,500 Opening Inventory 70,000 hiring / training 10,000 internet 28,000 Advertisement cost 50,000 TOTAL 805500 Cost (000) Sales units 3000 Sales 150000 Cost of goods sold 800000 Gross profit 70000 expenses 16000 Administrative expenses 10000 Income(operating) 46000 Income before tax 46000 tax 16000 Net income 30000 The profits are a test of the potential benefits Burger king has with the eight years indicted in the research for proposal. The operational and administrative costs are likely to reduce given the market trend and easy access to credit and other incentives offered within the premises. The firm has the ability to reduce cost given the nature of business. The cost of production would reduce and hence reducing the cost of goods. On the other hand the government incentives are crucial in positioning the firm as a potential beneficiary. Forecast The firm is projecting an increase in profits and number of customers given the market plan deployed by Burger kings. It initial costs would be high and hence would have an impact on the gross earning of the first years of the lease. Upon maturity the firm is likely to received profit of up to 20 % of the total earnings. This is projected to take effect on the second year of operation. The marketing strategies laid by the firm would be essential in increasing the number of customers. More customers would mean increased revenue. This implies that the firm would produce products that cater for people regardless their age, economic class or cultural components. The will aim at connecting the internal environment with the external in a bid to increase revenue collection and create a brand that focuses on delivery. Conclusion The firm has the ability to offer quality services and meet the market demand within the specified time period. The Fort Lauderdale- Hollywood International Airport potentially has a large market and the experience brought by Burger king would be essential in determining the challenges and strengthening on service delivery. The expansive nature of the firm places it at a prime position to offer services at the firm. The eight lease period would be essential in determining the market and deploying models that will enhance service delivery. The firm has the capacity of offering quality services. The wide market requires an extensive investment and will favor a firm that has access large pull of capital. The RTP require a firm that is able to meet BCAD financial demands and at the same time based on an ethical setting. Burger Kings has the ability to combine the market demands and work on models that will maximize profit and deliver services that meet the market demands. Burger Kings has the ability to meet the RTP requirement having been on the line of business for a long period. The markets are wide and require models that allow diversity. The firm has enough capital to design the space and at the same time staff the Fort Lauderdale- Hollywood International Airport premise to ensure quality delivery and focus on models that will enhance service delivery. An evaluation process will be in place to ascertain the production models and at the same time offer quality service. Service delivery is essential in determining the effectiveness of the internal environment. The internal environment require a model that keeps in mind the demands of the market and work with the available institution to create an ethical environment where firms compete for resources and offer services to the wide market Bibliography “Fort Lauderdale Airport: FLL.” Travel411. 2010. Web 24 April. 2015 Lee, Ronald. The Everything Guide to Starting and Running a Restaurant: The ultimate. Avon, MA: Adams Media, 2011. Print. Wazir, Ravi. Restaurant Start-up: A Practical Guide 3rd Edition. New York: Ravi Wazir, 2015. Print Read More