Monday, January 28, 2013

Chapter 7 Swot Analysia

7.1 Strength

- Arguably A&W is the first fast food restaurant originated in the United States in 1919.

- The A&W franchise was brought into Malaysia in 1963 by Mr and Mrs Lie Boff from USA. A&W Malaysia has entered The Malaysia Book of Records as the first franchise restaurant in Malaysia.

- A&W opened their first outlet in Jalan Tuanku Abdul Rahman in Malaysia. A&W also became the first Drive-in restaurant in Petaling Jaya in coming 1965.

- A&W mascot, The Great Root Bear and their corporate orange color stated in people’s mind.

- A brand differentiates from other competitors with the different menu. It serves as “American typical fast food” with variety menu of burgers and onion fries, as well as hot dogs and their signature “A&W Root Beer”

7.2 Weakness
- A&W is closing down 24 outlets in Malaysia due to the problems or relocated or close down outlets that cost its lost profit because location is not strategic or rented fee is too expensive. Currently A&W only have 19 outlets in nationwide. Compare to the competitors, A&W is considering less outlets.

- A&W has not advertised extensively in Malaysia. People couldn’t find the A&W latest promotion around, but the competitors have strong advertise in anywhere caused the people will almost forget A&W existing and lost its popularity in the market.

- A&W need to improve their servicing & food quality in order to serve the food on time and make sure the food quality is fresh.

- A&W is slightly pricing higher than their competitors, A&W is having a Sen Saver lunch set, but is pricing from Rm4, included with the charge of beverages and service tax, it cost around Rm10. For a normally student or worker which income is not more than Rm500, this will cause them heavy expenses. Somehow they might choose to go for mamak stall rather than fast food restaurant.

- A&W hardly updating their website and social network, example like A&W never change their website information about their closing down outlets, when consumers check the information in website, it still stated the old/ closing outlets in their website, this will confusing the consumers about the outlets location.

7.3 Opportunity

- A&W can consider having reasonable saver lunch treat meal to target in young 8teenagers which allow them to have cheaper meal set with food quality but in time can save their budget.

- A&W can plan to have more Festival Promotion (Chinese New Year, Ramadhan dinner and etc) to attract another target market which likes family to have their Ramadhan open dinner in A&W.

- Open new outlets in proper location with parking and drive-thru services in shared facilities, example in petrol station or convenience store.

- Currently or within in a year, A&W can comes out with an idea of releasing collectibles for any upcoming month. Example like in a duration time, A&W can comes out with a new set meal with the collectibles gift but this is available in limited time only.

- A&W should put more effort on updating latest news to the market to allow the consumers gets to know follow their updates on time to time. Example like updating their website and social network, always concern about consumer’s feedback and improving all the times.

- A&W have to strengthen in advertisement or commercial, they need to advertise their products or brand image wisely to avoid consumers forget about their existing in the market due to the strong competitors in the market.

- A&W can corporate with some big event, like “Running Day” or visiting to orphanage to increase publicity in market.

7.4 Treats

- Fast food restaurant in increasingly rapidly in the market. There are lots of others fast food restaurant competitors are competing with A&W.

- The researchers concluded that having fast food will increase a person’s risk of health (weight gain and obesity).

- Expensive fast food restaurant’s rented fee costly in expanding franchise in everywhere. Economics crisis, fast food restaurant chain change in approach of leading in coming years.

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