1. INTRODUCTION
Café Desange is a coffee shop that was set up half way on Monck Street (Westminster) and traded from April 2012 to December 2012. The premises were located at a walking distance of the Home Office building and other government offices as other major company such as channel 4. Although it only traded for few months, most locals and regular customers would associated the café with ‘excellent tailored-made hot beverages’.
At the time of trading, Café Desange offered a mix of product including roasted and high-quality hot beverages, a diversity of fresh hot and cold food items and other beverages.
The strategic problem considered is to analysed Café Desange operations at the time it ceased to trade and suggest recommendations
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A number set to grow to almost 21,000 by 2020, according to Allegra Strategies.
3.2 Industry demand determinants and profitability drivers:
Among others, profitability depends greatly on the organisation ability to
• Secure prime location
• Deliver high quality beverages
• Drive store footfall
• Offer specialised products
• Quality of service delivery
• Marketing
• Brand recognition and differentiation
• Power of purchasing
• Financial back up
• Labour market
• Personal level of customer service
• Product consistency through training
• Rigorous inventory processes
3.3 PESTEL Analysis
See Fig 1 below
Factors Environmental analysis
Political/Legal Few but mainly consisted of:
Minimum wage
Change of UK political environment with coalition government
Employment law changes
Tax policy
Increased pressure for businesses to trade ethically
Increased of Valued Added Tax (VAT) to 20%
Introduction of laws such as the Consumer Protection act, the Discrimination Act and the Food and Hygiene Regulations in order to offer healthier food products
Economical Slow recovery from economic recession
Economic downturn meant tightened consumer spending
Increased in unemployment equal decrease in spending
Coffee is a non-essential item putting pressure on sales
Social Increase in IT and white collar jobs
High standard of living
Regulations for foods, served in public schools are a matter of great concern as it is essential for the purpose of creating a healthier lifestyle for children studying in public schools. The government has supported several children through the free education and free food program. But the quality of this food is not at par with the standard of the food quality approved by nutritionists so it needs to be changes.
Now, there are five competitive forces which shape every business and industry. These competitive forces are the threat of power of suppliers, new entrants, competitive rivalry, power of buyers, and availability of substitute which all will help the café sustain a competitive advantage (Baltzan, & Phillips, 2009). The power of the supplier is low for the café due to the fact that there are many suppliers that the café can buy from. So, if the café is not satisfied with one supplier we can always switch to another supplier with no problems or issues as long they meet the café’s standards and expectations.
Beth Veeder has stocked the new coffee shop very well with an ice maker, reverse osmosis machine, brand-new espresso grinder, espresso maching, mini-fridge, and will be featuring coffee syrup brand Stirling. The shop will be serving hot drinks, iced and blended drinks, and even
Marketing is a competitive field that companies outdo each other to make a profit. Café Campesino is a retail-based company that assists farmers to sell their products in a fair and profitable trade. The American coffee industry is that which is on growth with more than 64% of American drinks an average of a cup of coffee a day. The coffee industry just like other agricultural products is affected by a host of factors from climatic variations to fluctuation of prices. This paper seeks to look at Café Campesino's marketing plan in the coffee industry. The paper appreciates the effect
Food is considered a basic necessity in order to live. Each year, foodborne illnesses strike 48 million Americans, hospitalizing approximately 128,000 people and killing 3,000 (“Estimating Foodborne Illness”). Over time, the Food and Drug Administration (FDA) has implemented various legislations in order to prevent illnesses and reduce risks. In 2011, the Food Safety Modernization Act (FSMA) was signed by the President which was considered to be a “historical legislation” (Hamburg). Along the course of its development, the Executive and Legislative branches of the United States government played a significant role in approving and modifying the food regulation law. Since its approval as a legislation, the policies have been implemented in order to prevent problems that can make people sick however it is still a work in progress (Taylor).
The reason the investigation was conducted was to gauge what was both good and bad about the new café opening, what needs to be changed in order to increase efficiency at work and any legislative laws involved.
Café d'amour has the best coffee and banana bread on Brown Street and in the suburb. The service and coffee are good.
The origins of current U.S. food regulation primarily date back more than 100 years to the Food and Drugs Act of 1906. Since then significant issues continue to exist and remain prevalent in the United States. In fact, Patrick Paul, member of the Natural Resources & Environment professes that in 2011, THE CDC&P (Centers for Disease Control and Prevention) put a report issuing that an estimated, “more than forty-eight million Americans become sick from contaminated food every year, one hundred thousand people require hospitalization due to food contamination and three thousand die from food contamination.” (Paul, 2013) Much of today’s current food regulatory measures stem from the Food Quality Protection Act of 1996 (FQPA) as Paul notes. In
Coffee pot: The café was a walking distance from our hotel – and opened very early, so ended up having breakfast here many times. The coffee and food were great, but we really enjoyed the ambiance and the friendly service. They also offer half-plates so won’t have leftovers to carry around. My favorite dish was the build your own omelet and the Waffles.
By 2003, the number of retail specialty coffee shops, cafes, kiosks, coffee carts, and roasters in the United States reached over 17,000, equating to nearly $9 billion in sales. According to the Specialty Coffee Association of America, 16 percent of adults in the United States drink coffee from one of these specialty outlets daily. (“Organo Gold”, 2008).
nalyze the specialty coffee café industry using Porter’s Five Forces and Macroenvironmental Analysis. What are the key success factors in this industry?
The CC also investigate disputes between suppliers and retails and issues with unfair competition (Competition Commission, 2013). In 1999, The Food Standards Act was created to establish the Food Standards Agency, which, to ensure food production and the supply chain is set to a standard that protects public health. (Food standards agency, 2014). Representing over 90% of companies within the retail industry, the British Retail Consortium is the major trade body (BRC, 2014). The Environmental Health Department monitors food hygiene within the industry.
In conclusion, the Broadway Café faces a strong buying power and rivalry among competitors due to the large volume of shops offering the same products and services. The threat of new substitute products and alternatives is also high for the same reasons for buyer power. The Café also faces the threat of new entrants due to the lack of insignificant entry barriers. One upside is the relatively weak supplier power. The coffee industry is huge as stated above and vendors are more than ample. With this information we can conceive our business focus. The Broadway Café is best suit for a focused differentiation strategy. We plan to achieve
The Food Standards Agency deals with the safety of the food regime, established by Parliament to protect the public’s health and consumer interests in respect of food. It has a specific remit to provide consumer education. It is a Government agency, responsible to Parliament through Health ministers and to the devolved administrations. The Food Standards Agency has national offices in Scotland, Wales and Northern Ireland. (Food Standards Agency 2010)
The purpose of this project is to identify the retailing techniques, processes, systems and practices used by Coffee Island which may not be visible to the regular customer in order to increase its profits. This project will begin by presenting the company and how it operates in the Greek and International market but it will specialize on its operations in Greece. The next step after introducing the company will be to analyze Coffee Island retailing strategy and its retailing mix. In order to attain information about both the retailing strategy and retailing mix an interview was conducted with the store manager of “Coffee Island” Alimou Mr. Theodore Tziaros. The specific store is a franchise store so pieces of information about certain systems, practices, processes and techniques may differ from those that the company officially uses.