Case Study: The Naked Calorie Bistro

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The Naked Calorie Bistro suggests a unique and fresh take on your healthy regimen whether you’re a pure vegetarian who vowed to have non-carnivorous diet, just someone who aims for a beach-ready figure or someone who really values his/her health. We, at the Naked Calorie, use natural and healthy sweeteners for diabetics and offer its best salads and vegan foods for consumers who are not only looking for meat alternatives but also for those who are aiming to lose weight and eat clean and natural foods. Our meals, specifically the juices, are well-thought-of and use natural ingredients only approved by our nutritionist-dietitian. The juices are slowly juiced which are proven to be an energy booster and we recognize these smart cooking methods…show more content…
Some new entrants in the industry are the extension of Green Kitchen at Walter Mart. The threat of new entrants is high in this business because there are no rigid rules for the potential entrant to start up. Since start-up costs are not that high for a restaurant business and the economies of scale are minimal, this opens up avenues for new businesses to enter this industry. However, there are some important barriers to entry but the lack of some significant ones makes it vulnerable. The barriers that are in place are high investments and high fixed costs. Marketing and advertising costs to keep existing customers and getting new ones are high. There is relatively high degree of loyalty to fast food restaurants. They have many of the same strategies such as low price, quick service and quality. The barriers that are not in place include the absence of economics of scale meaning even small local stores can be profitable. Many consumers are also price sensitive and the cost of switching is low. Because of the lack of some of the most important barriers, the threat of new entries is…show more content…
Here, bargaining power of suppliers is not that strong due to various aspects. One reason is because of the availability of countless wholesale food distributors in the locality. Second, since there are not much needed materials less available in the market, thus it can lead to the restaurant’s power of switching between suppliers. With a growing demand for supplies due to new entrants, suppliers increase their bargaining power. Supplies such as fresh ingredients, paper/plastic tableware and kitchen equipment and supplies are all in high demand in the healthy restaurant industry. The Naked Calorie Bistro can reduce our supplier’s bargaining power by making foods from

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