Report on the casual dining Sector in KSA ( Saudi Arabia) - Research Paper Example

The considerable market size as per the targeted population includes Riyadh and Jeddah as the main hub of the business. Other locations contributing in the overall market size of casual dining of KSA takes toll of Eastern province (Oxford Business Group, 2010). Other cities have also attracted the investors as the culture of dining out at causal stores has become a speculated fact. The number of franchise of one chain has about 50 stores currently as an average. The total of brand franchises has marked the rate of about more than 15000 stores.

This will is expected to increase by 6% in the coming year (Soufi, 2012). Exposure to international way of living and increasing number of shopping malls based upon western standards. It should be noted that western civilization is considered to be involved in making use of their income for disposable purpose i.e. dining out as a form entertainment (Soufi, 2012). Dining out has become a trend of getting together with social groups. This has allowed people to come closer and becoming socially active as dining allow them to take time out of their routine and get engaged (Zawya.com, 2012).

The market competition has relatively become zealous because the international chains have marked a strong grip of the market. The fact remains that the international chains are expected to get slowed in the competition because of the similarity in taste and store outlook. However, it has been noted that the Saudi chains have applied for license of their business in the sector. The planning of these stores is underway making it competitive for the international chains (Soufi, 2012). The threat that the present chains might have with the Saudi chain is the tradition and the typical predictable taste that the targeted market demand.

Most of the chains have changed their menus and appointed ingredients in the meals which give it a Middle Eastern food touch. The