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Published byJasmin Sheena Sutton Modified over 8 years ago
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The Fast Food Industry Albert Lee, Robert Hupcher, Dee (Da) Ham, Nicholas Lawrence, Zhengning Li
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Genesis Industry overview Major competitors Industry SWOT Buyer Power Supplier Power Entrants Looking Ahead Conclusion
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Industry Overview 4 Industry Segments QSR – Largest segment, accounts for 71% of total market value Takeaways Mobile and Street Vendors Leisure Locations Market Value of 201.1 Billion (2009) Market Value growth 3.1% Market Volume of 208.1 Billion in transactions Market Volume growth of 3.9% Market Value forecasted to increase by 239.7 billion/19.2% by 2014
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The U.S. Market Minimal Growth (0.2%) Market Value 71.4 Billion Accounts for 31% of global fast food market Majority of fast food market is QSR(quick service restaurants)
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Buyer Power Strengthened Buyer Power due to: High rivalry competition in industry Leads to competitive pricing strategies to secure consumers Low switching costs High price elasticity Buyer Power decreases with: Brand Awareness Consumer loyalty
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Supplier Power Strengthened Supplier Power due to: Concentrated food wholesalers (in Europe) Minimum wage legislation for laborers Low dependence on fast food players Various alternatives in terms of foodservice customers Supplier Power decreases with:
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Barrier to Entry Retaliation by existing players Price wars Established brand strength of major chains Major market saturation
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Industry SWOT Analysis S trength W eakness O pportunity T hreat Low capital requirements (individual) Constant demand via convenience and availability Recession- flexible Saturated Markets Conscientious eaters Increasing competition & price wars Healthy eating trends Substitutes (Do-it-yourself eaters)
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Looking Ahead
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Looking Ahead (Cont.)
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Major Competitors
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Major Competitors (Cont.) Burger King McDonalds Domino’s Pizza Yum!
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Recap & Conclusion
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