I definitely can agree with McDonalds entering the market, with its aggressive marketing program. Even though McDonalds creates high competition for Burger King, I still believe that Burger King is making the right decision by entering Japanese market, even though it is a bit risky. However for Burger King it would be hard to gain big market share, because market is near its saturation. Contrast Burger King’s entry strategy twenty years ago with its present entry
Looking around you are probably seeing many fast food restaurants. Maybe you see Burger King, or Wendy’s. Eating at Wendy’s is better than eating at Burger King because its menu reflects a variety of healthy options, gluten free food, and healthier sides. Wendy’s is a fast food restaurant that first opened its doors in 1969. According to NASDAQ: WEN they are the world’s third largest quick service hamburger company.
Burger King over the course of years has evolved from its 1954 InstaBurger King privately owned origins to the publically traded company you see today. The core competency of this company is its flame broiled burgers that it offers to consumers on a daily basis from their nearly 12,000 restaurants all over the world and the innovative way the company advertises it. Two major ways in which Burger King differentiates itself from competitors are the way it cooks hamburgers-by its flame-broiled method as opposed to grills that fry-and the options it offers customers as to how they want their burgers (Daniels, Radebaugh, & Sullivan, 2011). The Burger King Flame broiled burger is difficult to duplicate. There is no other competitor in the fast food industry that flame broils their burgers.
The burger is affordable, portable, and customizable; they can be served gourmet-style or as a rustic yet classic to-go food. When it comes to a good hamburger, Americans definitely are not careless eaters. A report indicated that 75% of burger-lovers rank the quality of the meat as the first or second most important attribute to their burger. Second in line were toppings, ranked either first or second place by 42% of consumers. Even
Murrell passes up Five Guys’ regular cheeseburger, which comes with two patties and 840 gluttonous calories, and orders the “Little Burger” — a single patty with lettuce and tomatoes. No cheese or jalapeños, no mushrooms or any of the other 11 free toppings. Not even ketchup. Though he’s proud of the offerings, chosen by his sons who help run the business —
To drive sales BK decided to focus on 4 points: the menu, marketing and communication, image and operations. Unlike Burger King’s ® major competitors, McDonald’s ® and Wendy’s ®, who prepare their burgers on a flat grill which fries the meat, BK prepares their hamburgers on a flame-broiler. They also focus on expanding their menu to appeal to a wide range of demographics. In addition to expanding their menu, BK has established a driven marketing process to target these same demographics. They have created a new image in an inspired 20/20 design displaying their flame-grilled process to increase same store sales, higher profits and a strong return on investments (Burger King, 2013).
Because of customer demand the chain began to open stand alone restaurants in 1986, it now has 938 stand alone restaurants around the country. To be true to their mission “Be America's Best Quick-Service Restaurant” the company has drive through only restaurants for fast service and added convenience to their customer. Chick-Fil-A has also licensed, non-traditional outlets; this program allows licensees to serve delicious Chick-Fil-A food in settings such as college campuses, hospitals, airports, and business and industry locations. One creative approach that the company used was their advertising; this approach set them apart from other restaurants. The use of cows to put their restaurant out on the market was a success.
Chipotle was founded my Steve Ells in 1993. Ells was fortunate enough to have one investor to borrow from, his father, to open Chipotle. With the location of the first store being located near a university it surpassed its goal to sell 107 burritos a day to 1000! They were so successful that they caught eye of McDonalds and with such a large investor he was able to expand from a few locations to hundreds. A definite strength is the simple menu.
They take up a big chuck in the market but with McDonalds being such a big well-known brand this will not affect us that much. The USP of this product is the sweet succulent taste of the BBQ chicken and sauce that comes up after you eat the burger. The price Of all the aspects of the marketing mix, price is the one, which creates sales. The price of an item is clearly an important determinant of the value of sales. Researching consumers' opinions about pricing
Economies of scale enjoyed by dominant companies can make life extremely tough for smaller companies battling to make headway in the same market. A new entrant to the UK fast-food market dominated by McDonald’s is the Gourmet Burger Kitchen (GBK). The business was set up by three ex-pat New-Zealanders who spotted a gap in the market for premium-quality gourmet burgers, freshly prepared to order. In addition to a standard burger and chips, the GBK menu also includes more esoteric menu items such as a chorizo spicy Spanish burger and a hot chicken satay sandwich. On average, a burger at GBK costs nearly £8.