Nandos Micro Environment
Executive Summary
This report complies of an extensive study of Nando’s South Africa. A brief background of Nando’s is provided. A SWOT analysis is used to scan the micro environment of Nando’s to identify the businesses strengths, which should be exploited to gain a competitive advantage, weaknesses, where strategies need to be implemented so not to lose customers , opportunities, where strategies to exploit these ideas to gain a competitive advantage need to be identified and implemented and threats, where strategies need to be implemented so the business is not negatively affected. The Porters Six Forces model is used to scan the challenges Nando’s faces in the market environment by looking at level of rivalry in the market, the threat
…show more content…
Fernando was from Porto, Portugal, and his family had emigrated to South Africa. The restaurant was then named after Fernando himself, and his son, who is also called Nando. The first restaurant was opened in Rosettenville, Johannesburg. The first international store was opened in 1992 in Earling West London. By 1997 there were 71 stores in South African and 46 stores worldwide and in 2012 the 1000th store was opened worldwide. As of July 2014, the Nando's restaurant group is ultimately owned by South African businessman Dick Enthoven and his family. Enthoven's son, RobbyEnthoven, was responsible for expanding the Nando's chain in the United …show more content…
Nandos has many direct competitors such as KFC , Chicken Licken and Afros Chicken. Steers is a new direct competitor for Nandos as they have started to sell half and full flame grilled chickens just like Nandos. KFC has a thousand stores nationwide which means they are more conveniently located compared to Nandos and this is a threat to Nandos.
The availability of substitute products
A substitute product is a different product that satisfies the same need. A substitute product for Nandos is ready made chicken from supermarkets like Woolworths. This could deter customers from choosing to buy from Nandos as the chicken that is ready made from the supermarket can be perceived to be healthier as well as more convenient as it is ready made and there is no need to order and wait where as customers would at Nandos.
Threat of new entrants to the market
It is not only current competitors that steal customers. New businesses entering the market also create challenges in the market. A new entrant in the market Nandos operates in is Afros Chicken. This new brand has started in and gained popularity in KZN and is quickly spreading through South Africa with the brand now having stores in many areas around the country, including Johannesburg. The Afros Chicken menue is very similar to the Nandos’ menu and this is why they are a competitor for
A1 Steak Sauce: Lawry's Defense
1559 Words | 7 PagesThey have a high brand awareness, history of product excellence, high contribution margin, and customer loyalty. They hold 50% of the market share on steak sauce as well as 10% of the market share on marinades after only one year. Their downfalls as a product are that they are a small niche market, meaning they are limited to only steak. The steak sauce market division is mature, and there is an operating loss from marinades.
Trader Joe's Case
1669 Words | 7 PagesCoulombe didn’t have a long term strategy in mind. According to the case study only after the arrival of John Shields TJ pursued the idea of expanding the markets and not playing the niche supermarket offering their tailored service in California. The previous sections already demonstrated how the internal resource, in this case the loyal customers insisted on the growth strategy and helped the management to open their eyes for better and more consistent strategies. The major stakeholders customers admired every opening of the New shop of TJ either creating fan pages and or by cueing for every newly opening
Porter's Five Forces Of Tesco
1680 Words | 7 PagesTesco faces pro-found competition from its afore mentioned competitors. There are no switching costs for consumers which in turn intensifies the competition. Extreme discounters such as Aldi and Lidl have also caused
Pantry Case Study Summary
3865 Words | 16 PagesRunning head: pantry inc. case analysis 1 pantry inc. case analysis 20 Pantry Inc. Case Analysis Sekia Grimes GEB5787 Table of Contents Introduction 3 Industry Analysis 4 General Environment 4 Sociocultural………………………………………………………………………………4 Political/Legal…………………………………………………………………………… .4 Economic…………………………………………………………………………………5 Porter’s Five Forces ……………………………………………………………………………... 5 Rivalry……………………………………………………………………………………5 Threat of New Entrants…………………………………………………………………..
Swot Analysis Of Odeon Cinema
1222 Words | 5 PagesOdeon Cinema becomes the largest cinema in the UK, with over one hundred cinemas. The founding of Odeon Cinema was Oscar Deutsch in 1930 (Odeon Cinema, 2018). The spelling of Odeon was an acronym of Oscar Deutsch Entertains Our Nation, at that time their art decoration and their interiors became the company icons. In the beginning, their mission statement was “not only simply somewhere to watch films, but somewhere to experience them” based on Herte (2018). The ODEON was acquired in 1941 by J Arthur Rank who had interests in the film production and distribution, in 1998 the company launch their rebranding campaign to reinforce ODEON place as market leader in the UK with introducing the “ Fanatical about the film” to UK cinema (Odeon Cinema,
Swot Analysis Of Trader Joe's
1012 Words | 5 PagesWal-Mart has been experimenting in smaller places rather than usual big cities. Wal-Mart proclaimed that they are planning to open %40 of their store openings over next years with small store formats. The SWOT analysis indicates us relevant information about the current threats of Trader Joe’s. The threat analysis indicates that there is huge rivalry in the market, having no technology and substitute companies creates big threat. The substitute threat and brand name items are concern for Trader Joe’s and competitive advantage.
Pricing Strategy Of Chipotle
1450 Words | 6 PagesIntroduction The restaurant industry in the United States had annual sales of $ 631.8 billion and employs 12.9 million people in 2012. Even in times of recession there is little evidence that this industry has seen a decline especially in its fast food and quick service segment. But with a depressed economy with no immediate upward trend in the near future, majority of the customers indicated that they would either curtail their spending on eating or best maintain its current level which is certainly going to affect the future of many restaurants in the industry. Chipotle is part of the fast casual segment of the U.S industry with over 1,600 restaurants.
Swot Analysis Of Eataly
860 Words | 4 PagesThese firms supply around 25% of retail products where as 75% is purchased from more than 2000 producers. Threat of Substitutes The products that Eataly is offering include wine, pasta, pizza and cheese being their universal product. Eataly is able to differentiate them with artisanal slogan. On the other hand ‘small size market chains’ or larger stores might supply similar or same products from and can be compete or substitute Eataly in long term through changing their structure (Carlucci & Seccia,
Jb Hi-Fi Case Study
1355 Words | 6 PagesIt is a chain store operation headquartered in Melbourne. The business was started with a single store in Melbourne in 1974 and grew to 10 stores by the time it was acquired by the Existing Shareholders in August 2000.
Porter's Five Forces Of Twitter
903 Words | 4 PagesThis theory is based on the concept that there are five forces that determine the competitive intensity and attractiveness of a market. Porter 's five forces help to identify where power lies in a business situation. This is useful both in understanding the strength of an organization 's current competitive position, and the strength of a position that an organization may look to move into. Strategic analysts often use Porter’s five forces to understand whether new products or services are potentially profitable. By understanding where power lies, the theory can also be used to identify areas of strength, to improve weaknesses and to avoid mistakes.
Porter's Five Forces Analysis Of Cadbury
2096 Words | 9 PagesBy the given operational timings, the sales that Cadbury will make will vary as consumers does not have a fixed schedule as when they are able to buy from Cadbury. Porters’ Five Forces This external analysis is a force that utilizes five different dynamics to determine the viability of an organization and how it manipulates the competitive strategy of the corporation. With the implementation of this analysis, Cadbury would be able to meticulously scrutinize what are the advantages and disadvantages that they are currently or might face and hence, able to prepare themselves to avoid landing themselves in the foreseen situation. Threat of new entrants/Potential Competitors
Porter's Five Forces Model Of Biscuits
1832 Words | 8 PagesPorter’s five forces model To analyse the microenvironment facing United Biscuits in China, Porter’s five forces model is selected to provide an understanding of the competitive forces, to determine the competitive position of the company and profitability within the biscuit industry whilst offering a framework for predicting and influencing competition over time (Porter, 2008, p.80). The findings are explained below: Threat of new entrants • The high capital cost required for investing in developing distribution, sales network and acquiring production equipment could deter new entrants. The barriers are high when capital is necessary for unrecoverable expenditures such as marketing and product development capability which is difficult for new entrants to succeed in the short-term (Euromonitor, 2014; Porter, 2008, p.81).
Swot Analysis Of Giant Supermarket
1051 Words | 5 PagesIntroduction The following strategic analysis report was carried out for Giant Hypermarket in Malaysia. Giant Hypermarket also popularly known as “Giant” is a subsidiary of Dairy Farm International. The objectives of the study is to advise the Board of Directors into a possibility to revisit and redesign the current business strategy based on the blue ocean strategy (Kim and Mauborgne, 2005) to provide value based innovation via cost reduction with increased value for buyers and to ensure sustainable business operation in Malaysia. Additionally, the analysis also includes the possibility of developing a global strategy for Giant.
Fruit Juice Industry Case Study
737 Words | 3 PagesPORTER 'S FIVE FORCES MODEL OF FRUIT JUICE INDUSTRY COMPETITION BETWEEN EXISTING COMPETITORS: - Mango pulp industry has been entered a phase of rapid development. The consumers are more education and health conscious. The product has been recognized by the public. At present, the mango pulp market, there are more competent competitors, the variety of products in various segments both leader, but lack of a strong brand. Large enterprises are faced with the plight of lower profits while SME 's in the capital, channel, product and other areas subject to significant competitive pressure, coupled with the impact of a price war.
Swot Analysis Of Wimpy
1862 Words | 8 PagesSecondly, Porter’s Five Forces Model is used to analyse the level of rivalry in the market, the attractiveness for potential new entrants, the power of suppliers, the power of buyers and the threat of substitution. This will allow us to see a holistic view of the industry in the market environment. Thirdly, the PESTLE framework is used to analyse the factors within the macro environment that are influencing
More about Nandos Micro Environment
A1 Steak Sauce: Lawry's Defense
1559 Words | 7 PagesTrader Joe's Case
1669 Words | 7 PagesPorter's Five Forces Of Tesco
1680 Words | 7 PagesPantry Case Study Summary
3865 Words | 16 PagesSwot Analysis Of Odeon Cinema
1222 Words | 5 PagesSwot Analysis Of Trader Joe's
1012 Words | 5 PagesPricing Strategy Of Chipotle
1450 Words | 6 PagesSwot Analysis Of Eataly
860 Words | 4 PagesJb Hi-Fi Case Study
1355 Words | 6 PagesPorter's Five Forces Of Twitter
903 Words | 4 PagesPorter's Five Forces Analysis Of Cadbury
2096 Words | 9 PagesPorter's Five Forces Model Of Biscuits
1832 Words | 8 PagesSwot Analysis Of Giant Supermarket
1051 Words | 5 PagesFruit Juice Industry Case Study
737 Words | 3 PagesSwot Analysis Of Wimpy
1862 Words | 8 Pages