Ruth Chris Case

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RUTH’S CHRIS CASE STUDY QUESTION Is Ruth’s Chris able to succeed in foreign markets? A decision needs to be made as to which countries have growth potential with little risk. Although the study outlines different methods to aid in determining this like market selection criteria and the growth plan model; they need a more detailed method of narrowing down their choices. Some considerations used were 1. Corporate vs. franchise and introductions of a new concept/product vs. introducing the same model to a new market 2. Can the location chosen legally import US beef? 3. Population density 4. Availability of disposable income ANALYSIS When evaluating the points above, the bottom line is to concentrate on increasing…show more content…
Expanding franchises in countries where they already have proven success is a more cookie cutter approach in markets like Canada, Mexico, Taiwan and Hong Kong. The growth path model developed by Ruth’s Chris can guide them when opening these new locations in already existing markets by using the same methodology already shown to be efficient and profitable in those same areas. This option is a safer approach that could pose saturation risks and slower growth as restaurants already exist. Expanding to a new foreign market can also pose risks; however there are other types of ownership or entry methods that can be considered to increase opportunity like joint ventures or foreign direct investing. This opens up opportunities for larger surges of capital. I feel the top 3 new markets would be: Singapore has an increasing want for American product and services. Their beef consumption is high and has a highly developed economic market. UK is developed. Standard of living is higher. Economic Stability and high per capita beef consumption Germany has a high standard of living as well. Largest national economy y in Europe. Successful tourist
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