Get Full Essay Get access to this section to get all help you need with your essay and educational issues. The new CEO, Mia Foster, took over the company and began looking into the eighteen-month expansion that was occurring in China.
Buy custom Levendary Cafe Case Study: Breaking into China essay Evaluation: First, it was a safe decision for the company to penetrate the Chinese market given the fact that most of its competitors had already made a successful entry.
The domestic American market had been over-exploited; thus, the idea to look for new foreign ventures was a result of efficient management in the business research and development. The important fact to realize is that the Chinese market possesses most of the significant features needed for a corporation attempting to establish the restaurant business.
First, the country has the population of over 1. The assumption that most of the population are affluent middle-class citizens, who have demonstrated a positive trend in the lifestyle of eating-out indicates that the entity can establish its customer base more easily and quickly.
Consequently, it should also be noted that the country has enjoyed an upward economic growth trend, which reflects a larger disposable income amongst the potential customers. China economic growth has increased significantly to This fact proves a significant contribution to the level of investment attractiveness, which the country possesses.
For instance, it is stated that both KFC and McDonalds had already established a base in the country and were performing relatively fairly in the market.
However, the entry into the Chinese market overlooks certain key facets. In the effort to lure more clients and thus establish a wider customer base, the American operations went an extra mile to embrace a personalized approach in their services.
While it is true that most of the American restaurant businesses have ventured and continued to enjoy successful operations within the country, others have failed miserably.
This is a point worth noting in the course of the market entry. It is difficult to comprehend the fact that most of the unsuccessful businesses in the Chinese market failed not because of poor management but because of failure to conduct thorough and concise research.
For instance, Pretzel Time failed in the market because of its ignorance of sitting arrangements. The Company had underestimated the need to study and assimilate decent decor. Thus, the tile decor that was used in its establishments was associated with a bathroom.
This failure of the company designer put many potential customers off. From the information provided in the case study, it is certain that there are different levels of competition faced by the company locally and internationally.
This, in fact, should form the basis, upon which the headquarters implement a plan in securing a distinctive market niche. This was totally contrary to the objective of the chief CEO. Her objective for Chen was to establish a reliable market niche, from which further business expansion activities could be made.
It seems certain that Chen chose locations depending on their prices. For this reason, his desire was to cut costs at all levels, in order to attain his long-term goal of achieving a break-even point for the business.
Furthermore, the plan to enter the Chinese market was not implemented effectively. Written Case Submission: Levendary Café Table of Contents Introduction 3 Identification of Main Issue 3 Analysis and Evaluation 5 Operational Analysis 5 Financial Analysis 6 Cultural Analysis 9 Parent Company vs.
Subsidiary 12 Alternatives and Recommendations 13 Alternatives 13 Recommendation 14 Action Plan 14 Additional Questions 16 Works Cited 18 Introduction Levendary Café has grown.
Levendary Cafe Case Analysis Essay Info: words.
Levendary Café was founded by Howard Leventhal in Colorado as a small soup, salad, and sandwich restaurant. Free Essay: Written Case Submission: Levendary Café Table of Contents Introduction 3 Identification of Main Issue 3 Analysis and Evaluation 5 Operational.
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Café D Pownd Case INTRODUCTION Café D Pownd is a campus cafeteria, which serves students and faculty, on the campus at . Levendary Café Case Analysis Final Case Haley Woods International Management Professor Vogus December 3, Levendary Café Case Analysis Introduction.
Case Analysis of Levendary Café Essay Sample. Levendary Cafe is spreading too fast in China. It is getting short-term profit.
But in the long run, some stores will close because of less training, nonsufficient supply and other issues. Levendary Café is a delicate brand.
In this case we have highlights on issues which should be.