Transylvania Restaurant Business Analysis

This assignment analyzes the business model of the fictional Transylvania Restaurant. It examines the restaurant's financials, including revenue streams, expenses, and profits. A SWOT analysis identifies the restaurant's strengths, weaknesses, opportunities, and threats. Additionally, Porter's Five Forces Model is applied to understand the competitive landscape facing the restaurant. The assignment concludes with potential strategies for improvement based on the findings.

Running head: BUSINESS CANVAS MODEL
BUSINESS CANVAS MODEL
Name of the Student
Name of the University
Author Note

1BUSINESS CANVAS MODEL
Part 1
Business Canvas Model of the Restaurant
Key Partners
 Food Supplier (Meat
Supplier)
 Food Suppliers and
Equipment Supplier
then Green Market
and Waste
Management
 Equipment Supplier
(tableware & bar
supplies, kitchen &
storage, restaurant
furniture, staff
uniforms etc.
 Major activities on the
behalf of partners from
the bankers, debt
financing, inspection and
restaurant business
conducts, knowledge and
expertise on marketing,
legal and labor concerns.
Food quality control,
costing and positioning.
 Acquiring necessary
kitchen equipment
Key Activities
 Raw materials sourcing
and storage
 Portioning of food and
costing
 Food, cleaning, serving
and preparation
 Review of production
along with research and
development
 Accounting with sales
and stock and cash
 Effective meeting
 Training and motivation
 Consumer care and
measurement of
performance
Value
Proposition
 High quality
catering
 Solutions for
everyone by
means of a
low cost
 High value
process with
cuisines
which makes
sure of
healthy
eating
Co
nsumer
Relationship
s
Per
sonal
contract
Fee
dback
surveys
Em
ploying
social media
such as
twitter,
facebook,
twitter handle
and whatsapp
Hig
h text
messages
through text
up
Suc
h media
channels will
make sure
that the
C
onsumer
segments
T
he
company
is
generating
value for
everyone
those look
for quality
food at
affordable
costs
which
guarantee
s healthy
eating
M
ost
important
consumer
s of the
restaurant
are:
I
nformal

2BUSINESS CANVAS MODEL
 Developing necessary
policies along with
procedures
 Food, cleaning, serving
and preparation
 Review of production
along with research and
development
restaurants
keeps in
touch will its
consumers
with the
company’s
overall
business
model of
consumer
engagement
and service
Th
e budgeted
cost on a
monthly
basis is
observed to
be US$100.
employee
s
F
ormal
employee
s
O
mni bus
crews and
commuter
B
usiness
individual
s
C
ollege
students
P
asserby
Cost Structure
Highly important inherent expense present within the business model includes raw
materials, rent and labor long with expense of surviving and cooking equipment.
Highly expensive major resources such as raw materials sourcing
High value process with cuisines which makes sure of healthy eating
Revenue Streams
Inflow of revenue the payment that is being
done by the customers for the services and the food
that is provided by the organization
Payment to the suppliers and the
distributors of the company
Paying off the employees of the
organization
The tax payment and the other functions
undertaken by the organization for its smooth

3BUSINESS CANVAS MODEL
functioning
Consumers will be willing to pay a
considerable amount
Paying through using cash
Contribution of revenue stream to the
employed cooking oil, fruit salad packs and meals.
Key Resources
Funding of start up
Employees including cook, manager, kitchen assistant and waiter
Equipment for cooking, serving food and storage
Raw materials including cooking ingredients
Information technology including software and hardware
Channels
Purchase from the counter employing cash.
These serve as the best arrangement so far of the
target consumer market. Certain channel distributions
might be explored at the time the market to the
corporate consumers are organized groups such as
the ones at sports stadium and churches within the
district.

4BUSINESS CANVAS MODEL
Part 2
Reflection
The suggestions of my colleagues have helped me to a huge extent to improve on the
business proposal. According to my colleagues, they feel that the key partners have to be
improved in such a manner that this will analyze the essential suppliers of the respective
restaurant. I need to start my business proposal by providing a brief introduction on the different
key partners of the restaurant. I feel the suggestions provided by colleagues were appropriate as
the key partners has huge role to play in the success of the business.
The colleagues have suggested me that the menu of the items in the restaurant is essential
in nature as it is the first priority of the restaurant. The good quality of the food is essential in
nature, as this is required in order to implement waste management in the organization. I feel that
the suppliers name has to be introduced, as they are important part of the business. The food
supplier has to be included in the list of the key partners, as they will help me in the business of
the restaurant. Secondly, the equipment supplier and food suppliers has to be included in the list
of the key partners of the Transylvania Restaurant.
I feel that the different partners has huge role to play in the success of the organization as
the colleagues have suggested it. The different patterns have to be included in such a manner that
it includes the different suppliers of the company as per the tasks provided to them. The
equipment suppliers of the company plays an essential role as it has been suggested by my
colleagues wherein they take care of the bar and table supplies, furniture of the restaurant and

5BUSINESS CANVAS MODEL
uniforms of the staffs. The different analysis has to be analyzed and is required in such a manner
that they help in creating a unique place for the different customers.
My colleagues have even suggested me relating to the different other key activities of the
business that is required to be maintained by the different Transylvania Restaurants. The key
activities have to be analyzed in an effective manner, as this will help in solving the different
queries of the customers. The suggestions that have been generated by the colleagues on my
business have included their reviews on the different aspects of the business that is included in
Transylvania Restaurant. The colleagues had even commented that the sales have to be checked,
as this will help in improving the different operations of the Transylvania Restaurant.
After the different reviews of my colleagues, I felt that proper analysis and review the
key collaborates of my business. The list of the different suppliers has to be identified as per the
different positions in an effectual manner. This will help my business to grow more potentially in
the entire competitive market, as the new business that has been set up by me. The sales have to
be analyzed by me in a positive and effective manner as this helped me in making the business
successful in nature. The key partners and activities will be changed and rectified by me in such
a manner that this will help me in generating positive output for the business.
Similarly, the reviews provided by colleagues have helped me a lot in rectifying the
business. The colleagues have helped me in making me understand the usage of the business
canvas model in such a manner that this helped me in gaining competitive advantage in the entire
market. I will change the key partners and activities in the future, as this will prove useful for my
business. The different analysis has to be done as this will help my business to generate huge
sales and this will help in gaining competitive advantage in the business. With the help of the

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different valuable comments from the colleagues, I will be able to provide unique facilities to the
different customers.
Lastly, I will follow the different aspects that have been provided by the colleagues to me
by me in an effectual manner. I feel the different aspects have to be kept in mind by me, as this
will help in improvement of the business in the future.

7BUSINESS CANVAS MODEL
Part 3
About the business
The theme of the business is restaurant based. The given restaurant is named
Transylvania Restaurant. The restaurant will start its operations on 2nd February, 2017. It will be
situated in Leyton East London. The company aims to run on sole proprietorship. The restaurant
aims to offer organic food and the primary products are organic foods like smoked bacon
“Slanina afumata” and cabbage rolls - "Sarmale". This is because the owner of the business has
enough funds of its own; therefore, it considers that it should not get involved in the hassles of
other businesses. It is a Romanian restaurant, which has the following vision and missions:
Mission
 To satisfy the consumers by offering them organic traditional food.
 To provide them with good tasty food
Vision
To become the leading restaurant in the country.
The given section shall give details about the business canvas model of the Romanian
restaurant:
Infrastructure
Infrastructure mainly consists of the Key activities, the Key resources and the Partner
network of the firm. The given Infrastructure component of the Transylvania Restaurant is given
in the following section:

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Key partners:
The major food suppliers of the business are its meat suppliers, as the restaurant offers
various meat dishes as well. The company makes sure that the suppliers are responsible follow a
proper waste management system. The restaurant is extremely particular about its operations. It
uses equipments, which are supplied by suppliers who are environmental conscious. The various
equipment suppliers supply bar supplies, tableware and restaurant furniture. It has also partnered
with various waste management companies and green marketers. This alliance will lead to more
hygienic and proper waste disposal.
Other key partners of the firm include the bankers. Inspection and restaurant business
conductors, financiers, marketers and legal representatives.
Key Activities:
The key activities of the restaurant include Raw material sourcing and storage along with
cleaning, servicing and the preparation of the dishes. It also provides production and marketing
of organic food. The restaurant makes use of discounts and vouchers in case the customers are
not satisfied.
The activities of the restaurant also include the review of the products along with the
research and development of the same. Accounting of sales and matching stock and cash also
come under the key activities. On top of that, meetings, training and motivation activities of the
staff along with customer care activities come with the key activities of the restaurant.
Key resources:

9BUSINESS CANVAS MODEL
The resources of the firm comprise of the team followed by the brand of the organization.
The partners as well as the network of suppliers make up the other resources.
The key resources of the firm refer to the costs of the various restaurant furniture and
other equipments that will be involved, the starting up funds, various personnel like he cook,
kitchen assistant, manager and waiters. The business will also require information technology
and hardware.
Offering
Value proposition:
The Transylvania Restaurant offers the given value proposition:
It tends to offer high quality catering services to its consumers. It aims to provide the
consumers with organic and traditional Romanian food. It will also be offering customization. It
wants to offer solution for all kinds of customers by offering them good quality products at
extremely low costs. The restaurant will be providing high process cuisines, which combine
healthy eating along with good taste.
Customer segments:
The restaurant is targeting the various segments. Transylvania is targeting the consumers
with value goods and prices that will be affordable for all of them. The restaurant also provides
healthy eating with a good quality. They concentrate on a niche market.
However, the company has targeted the office crowd, which generally eats out and very often
looks out for healthier options for its consumers. These specific consumer groups are:

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 Business individuals- The business individuals do not get time to prepare their lunch and
therefore have a habit of eating outside. Therefore, the customers tend to purchase
unhealthy meals and fall sick. Transylvania provides options for these customers.
o Informal employees- The informal employees work on contract basis. These
employees are also one of the primary target segments of the given restaurant.
o Formal employees- Formal employees are full time employee who works all
around the year. These employees are also big target markets for the company.
 College students- The college students also have a habit of eating outside and tend to
look out for cheaper as well as healthier options, which will fill their hunger. Therefore,
Transylvania understands this and has great combo offers for them.
 Omnibus crews and commuters- Generally crew and commuters prove to be the market
segment of the restaurant.
Customer Relationship
The restaurant needs to ensure that it maintains important relationships with its clients
and hence they provide them personal assistance along with maintaining personal contact with
the various consumers. They have planned to conduct proper feedbacks and contact the
customers using various social media websites like the whatsapp, twitter, face book and text
messages. These are one of the widely used channels and will be of great help to the various
consumers. One of their primary plans is to cater to the bulk buyers and various clubs to gain
loyalty and also get referral discounts.

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Channels
The channel followed by the restaurant involves, purchasing from various counters after
employing cash. This kind of a service proves to be the best kind of arrangement for the target
market of the restaurant. The company can explore certain new markets and explore to the
corporate consumers. It also makes use of shows and exhibition to advertise their products.
Finances
Cost structure
Cost structure can be used to describe the monetary pattern of the restaurant. In the case
of the given restaurant, the business model of the restaurant is based on the value driven
component. The cost structure for the given company has a highly significant inherent expense,
which consists of raw materials, labor and rent. This consists of highly expensive resources such
as raw material sourcing. It also invests a high value process with cuisines with good healthy
proportion.
Revenue Streams
The restaurant aims to earn its money by providing services to the consumers and charge
money for the food that it is providing
The company will be incurring the following costs:
 Payment made to the suppliers and the various distributors
 Paying off the employees
 Tax payments
 Costs for equipments

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 The payment of the consumers will be received in cash.
Budget
Budget
Particulars Year 1 Year 2 Year 3
Income
From sales £75,000 £81,000 £85,000
Total Income £75,000 £81,000 £85,000
Expenses
Rent £15,000 £15,000 £15,000
Salaries £28,000 £28,000 £28,000
Utility bills £4,000 £4,320 £5,000
Loans (interest) £4,000 £4,000 £4,000
Total £51,000 £51,320 £52,000
Profit 24000 28680 33000
SWOT of the Business model
Strengths:
 Innovative Idea
 Good funding
 Good location
Weakness

13BUSINESS CANVAS MODEL
 Not so strong suppliers
 Labor problems
 Competitor Threat
Threat
 Various new laws, which can affect the company
Opportunities
 It can provide home delivery
 It can come out with new recipes.
Porter’s Five Forces Model of Transylvania Restaurant
Competitive Rivalry is one of the forces wherein the restaurant industry is competitive in
nature as the demand of the customers is growing slow. The revenue of the restaurant is
dependent on the customer traffic and marketing has become daily routine of the
restaurant as well. The different strategies have to be used by the respective restaurant in
order to gain competitive advantage in the entire restaurant. However, it can be seen that
the respective restaurant is concentrates on the niche market, wherein the other markets
help in concentrating on all the markets.
Threat of new entrants is other element that has huge influence in the entire restaurant
and it is high in nature. The differentiation of the products is difficult in nature and the
since this is a brand new restaurant it is required to apply different marketing strategies in
order to make their presence in the entire competitive market.

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Power of suppliers is the element wherein bargaining power of the suppliers is essential
in nature and it is low in nature. The relation between the suppliers and the Transylvania
Restaurant is necessary in nature, as this will help the respective restaurant in managing
their tasks of the restaurant in an effectual manner. The different suppliers of the
respective restaurant helped in improving the different issues faced by them.
Power of the buyers is the other element wherein the bargaining power of the buyers is
strong in nature as there are no costs where different restaurants are selected to dine by
the different customers. With the help of social network and internet, it has been easy by
the customers to understand the different prices and specialties of the restaurant and
compare with the other restaurants in the market. The buyers has huge importance in the
market as this will help the restaurant in making the customers informed about the price
and quality of the foods and services. The buyers need to understand the different
advantages that can be gained by them in different restaurants. This will help them in
understanding the preferences in an effective manner.
Threat of the substitutes is the element that is related to the competitive pressure from
the other substitutes in the entire market. The different aspects have to be kept in mind by
the restaurant in such a manner that this will help respective Transylvania Restaurant in
making their demand high. The respective Transylvania Restaurant needs to implement
different strategies in such a manner that this will help in gaining competitive advantage
and gain the presence of the customers. The substitute markets in the entire competitive
market is the big threat for the respective Transylvania Restaurant as they implement
such strategies of marketing that helps them in gaining the competitive advantage in the
market.

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