Swot Analysis Of Lotteria

4. SWOT Analysis Strength - When asked about best-known fast food restaurant, nearly of all respondents picked brands such as Lotteria, McDonald’s, burger king and nation’s well established fast food business. However, the most powerful competitive advantages that enabled Lotteria to excel its competitors were Korea’s traditional tastes and Western style fast food restaurants. Those strengths helped Lotteria to become a Korea market leader in the field of food service industry.

Weaknesses - The biggest weakness of Lotteria is the brand value. Lotteria did not put much effort to improve its brand while its competitors were striving to enhance their brand value. As a result, consumers tend to have less recognition on Lotteria’s brand, even

But, the fast-food industry is in a difficult situation recently. Because ignored sanitation and nutrition aspects. And also fast food has too many calories for nutrition. So, fast food is raised the cognition of junk food by the public. This gives the consumers an immediate negative image of fast-food restaurants. That 's why Lotteria has been in a difficult situation. In addition, the Lotteria and fast food industry has suffered quite a setback because of the recent “well – being”

However, as the fast food industry becomes more competitive, Lotteria must come up with new strategies to maintain Lotteria’s position in fast food market, especially in fast food burger market as number one dominant player in the market share. For example, Lotteria have big competitors, which are Mcdonald’s, Burger king. These competitors may charge a lower price for its products than its Lotteria. But, in today’s competitive market, companies do not compete on price alone. Introduction of new products or new product features has become a main source of competitive advantage. One of the advantages of a product development strategy is Lotteria can identify the most common needs. So, respond to consumers needs as they change. Moreover, an effective product development strategy can create a culture of innovation, if this strategy consistently works, Lotteria can gain a reputation as a firm that is on the leading edge of fast food industry. This can help to raise the brand value of Lotteria (Chung and Hsu, 2010). On the other hand, differentiation strategy means that firm’ s product has some distinct attributes that separate it from their competitors. Can be associated with product, people, image and service. If differentiation strategy works, firm may be able to charge consumers a premium for product or service. The firm does so with confidence since they highly developed and