Market Research for a Filipino Restaurant

This assignment focuses on conducting market research for a proposed Filipino restaurant in Bangladesh. It requires an analysis of the political, economic, social, technological, legal, and environmental (PESTLE) factors influencing the restaurant industry. Additionally, it involves designing and analyzing a customer survey to understand consumer preferences, spending habits, and potential suggestions for the restaurant. The assignment also necessitates evaluating the competitive landscape, identifying key competitors, and analyzing their strengths and weaknesses. Finally, it aims to develop actionable insights based on the market research findings to inform the restaurant's business plan and operational strategies.

Business development

Contents
Topic-: A business development proposal to set up a Philippine restaurant in Dhaka, Bangladesh...................................................................................5
Chapter -01..........................................................................................................................................................................................................................5
1.0 Introduction/Executive Summary..............................................................................................................................................................................5
1.1 Terms of reference.....................................................................................................................................................................................................5
1.2 Talk about the industry..............................................................................................................................................................................................5
1.3 Explaining the benefits of opening a new restaurant in Bangladesh.........................................................................................................................6
1.4 Concept and models which will be use......................................................................................................................................................................6
1.5 Research questions.....................................................................................................................................................................................................7
1.6 Research Objectives...................................................................................................................................................................................................7
1.7 Assumption................................................................................................................................................................................................................8
1.8 Time scales................................................................................................................................................................................................................8
Literature Review................................................................................................................................................................................................................9
2.1 Overview of the Business..........................................................................................................................................................................................9
2.2 The concept statement...............................................................................................................................................................................................9
2.2.1 The Product/Service..........................................................................................................................................................................................10
2.2.2 The Segmentation, Target Market and Positioning..........................................................................................................................................11
2.2.3 Value Added Features.......................................................................................................................................................................................12
2.2.4 Perceptual Mapping..........................................................................................................................................................................................13
2.2.5 Marketing Mix..................................................................................................................................................................................................13

2.2.6 Those Involved.................................................................................................................................................................................................15
2.2.7 The Window of Opportunity............................................................................................................................................................................16
3. Research Methodology..................................................................................................................................................................................................30
3.1 Research Philosophy................................................................................................................................................................................................30
3.2 The research approach.............................................................................................................................................................................................30
3.3 The research strategy...............................................................................................................................................................................................32
3.4 The research methods..............................................................................................................................................................................................32
4. Data Analysis and the business model...........................................................................................................................................................................35
4.1 Market attractiveness using survey questionnaires..................................................................................................................................................35
4.2 Strategic analysis.....................................................................................................................................................................................................35
4.2.1 SWOT...............................................................................................................................................................................................................37
4.2.2 ANSOFF...........................................................................................................................................................................................................38
4.2.3 Value Chain Analysis.......................................................................................................................................................................................38
4.2.4 Porter’s five force model..................................................................................................................................................................................39
4.2.5 VRIO Analysis..................................................................................................................................................................................................40
4.2.6 BCG Matrix......................................................................................................................................................................................................41
4.2.7 Balanced Scorecard..........................................................................................................................................................................................42
4.3 Business canvas model............................................................................................................................................................................................43
5. The business plan for a new business............................................................................................................................................................................45
5.1 Explain about the industry you choose....................................................................................................................................................................45

5.2 Population base........................................................................................................................................................................................................45
5.3 Break even analysis.................................................................................................................................................................................................45
5.4 VMO (Create new logo)..........................................................................................................................................................................................46
5.4.1 VMO.................................................................................................................................................................................................................46
5.4.2 Logo..................................................................................................................................................................................................................47
5.4.3 Slogan...............................................................................................................................................................................................................47
5.4.4 Marketing budget..............................................................................................................................................................................................47
5.4.5 More business objectives..................................................................................................................................................................................48
5.5 Operational plan.......................................................................................................................................................................................................48
5.6 Development plan for 3yrs......................................................................................................................................................................................49
5.7 Risk assessment.......................................................................................................................................................................................................49
5.8 Business sustainability (Critical success factors)....................................................................................................................................................49
5.9 Implementation plan................................................................................................................................................................................................50
5.10 Performance management – KPI...........................................................................................................................................................................50
5.11 Financial analysis...................................................................................................................................................................................................51
References..........................................................................................................................................................................................................................53
Appendix............................................................................................................................................................................................................................57

Topic-: A business development proposal to set up a Philippine restaurant in Dhaka, Bangladesh
Chapter -01
1.0 Introduction/Executive Summary
It is a research proposal of business development developed for the establishment of a new venture as a business entrepreneur. The new business
venture requires developing a business research proposal plan. The business proposal can be understand as a preapproved expression of the overall
vision of the entrepreneurial activity in context with the strategies and operations of the proposed business venture. The purpose of developing a
detailed business development plan is to offset the various costs and expenditures. The business plan helps the top executives and the management
for enabling the organisation to thing and consider about the business in an in-depth manner for the aim of communicating the business objectives
and have a strong base for decision making as well as to have smooth business functioning. For having an effective execution and implementation of
the business development plan there is a need to have a correct business proposal. The main objective of this proposal is to highlight the key concepts
and aspects in context with the opening of a multi-cuisine Philippine restaurant in Uttara, Dhaka, Bangladesh. It is a new business venture which will
completely be based upon an entire unique concept for Bangladesh.
1.1 Terms of reference
The key idea behind developing a business development plan and business proposal is to tapped by the proficiency and advice of the accountants,
marketing managers, consultants and professionals so that there can be successful execution and there can be gained successful results of the new
business venture. The key idea behind opening a new venture or a Philippines restaurant in Bangladesh is that it is booming as one of the recognized
tourist destinations in past few years due to its continuously rising historical and geographical significance.
1.2 Talk about the industry
The one of the industries which has gained enormous success, growth and boom is the hospitality industry. There has been a significant rise in the
number of restaurants, hotels and other hospitality services in last few decades. The one key reason behind the growth of this industry is the
increasing rate of tourism as well as changing needs and preferences of the masses (Kandampully, Zhang and Bilgihan, 2015). In last few decades,

people have been more connected with outside food on various occasions as well as on various bother days instead of preferring food at home.
Therefore, the increasing purchasing power and changing preferences of the individuals have resulted in the growth of hospitality industry and so the
business opportunities for the entrepreneurs.
1.3 Explaining the benefits of opening a new restaurant in Bangladesh
There are several benefits of opening a new restaurant in Bangladesh such as continuously growing hospitality industry, increased demand for good
restaurants and changing tastes and preferences of the masses. The one key benefits of opening a new restaurant in the nation is the increasing rate of
tourism in nations but majorly for the purpose of business meeting and there are growing efforts of the Government to develop the place as one of the
major tourist destinations with its decorated and heritage views comprising forts, palaces, mosques, tombs and gardens (Latif, et al., 2015). And there
is a growing opportunity for the various entrepreneurs to have new business venture of hotels and restaurants serving the needs of the masses as well
as the tourists with delicious Philippines food comprising of a number of sea food. The location Uttara in Dhaka, Bangladesh is considered as one of
the best place to open a restaurant. The restaurant will serve high quality of Philippines food and famous dishes as well as separate area for family
dining as well as business meetings. The menu will comprises of Mechado, Lumpia, Lechon, Kaldereta, Adobo, Kare-kare and many more other
famous dishes of Philippines. It is beneficial for opening the restaurant and serving all such dishes as people are fond of sea food and there is a higher
probability of success by fetching the attention of the customers (Arif, Noor-E-Jannat and Anwar, 2016).
1.4 Concept and models which will be use
In the business development and the research there will be used a number of models and concepts which will help in effective research analysis and
successful execution of the business plan. There will be used of the following models and concepts:
 SWOT Analysis
The first model that will be used is SWOT analysis. The reason behind taking use of this model is to analyse the internal strengths and
weaknesses of the new venture and the external opportunities and threats in the new market place. This will provide an overview to the
company to have appropriate strategies to take use of strengths to get benefitted from the opportunities as well as to overcome the weaknesses
and save the venture from external threats.
 Marketing mix

The second concept that will be used is the marketing mix technique. The reason behind taking sue of this model is to have a proper
understanding of the 7Ps of marketing as it is one of the key aspect in any new business venture so that there can be framed appropriate
strategies in respect with all the 7Ps and have a successful marketing of the new venture (Hollensen, 2015).
 STP
The third key concept that will be used is the STP approach. The reason behind the selection for this concept is to have proper market
segmentation on the basis of various dimensions such as demographic, geographic, behavioural etc. The STP helps in effective targeting of
the key target market and to have sound positioning in the selected market for gaining a strong market share and increased customer base.
 Ansoff Matrix
The fourth model or the concept is the Ansoff Matrix. The key reason behind taking use of this model in the research is to have appropriate
and sound strategies for market development, diversification, market penetration and product development. There is an essential need to have
an improved understanding of all these aspects to have increased customer base through continuous development in the products and the
strategies. This will help the new venture to attain future growth and success through implementation of effective strategies (Baker, 2014).
1.5 Research questions
 What are the challenges for opening this type of business?
 What are the key opportunities for success of a new restaurant in Bangladesh?
 Will a Philippines restaurant will be successful in gathering the attention of the masses?
 What are the opportunities of success and growth in Bangladesh for hospitality sector?
1.6 Research Objectives
The main aim and objective of the study is to have a successful business venture of a new restaurant in Bangladesh. The following are the various
research objectives of the study:
 To have a better satisfaction of the needs of the customers by serving them with quality food
 To have increased revenues and significant global expansion
 To have lowered cost of labour with minimum expenses
 To have increased revenues and profits in the next three years

 To have strong market share and customer base
 To attract the domestic masses as well as the tourist with some unique kind of experiences of food and visit.
1.7 Assumption
There are number of expectations from the new business venture which are basically the assumptions of the business plan. the first and the key
assumption is to serve the masses with a different type of food i.e. the Philippines dishes as the people will like the dishes as they are more in a habit
of having sea food and the Philippines food is basically sea food and the taste and flavours are usually more to have a positive influence over the
customers. The other expectation or assumption is to fetch the attention of the tourists so that they can have their business meeting and visit at the
restaurant for having a unique and satisfactory experience. It is also assumed that the venture will be one of the successful business ventures as it will
not only quality food but will also have a strong customer base in the coming time as it will have more innovative technologies and services to be
offered to the customers for fetching their attention. The next assumption is to increase the revenues and profits with a fast pace in next 2 to 3 years
of the establishment of the venture.
1.8 Time scales
The business plan will be conducted for the first 3 years. There is a time scale for three years as there is a need of adequate time for market research,
services and product development, advertisements and promotions as well as to have a sustainable future in the country. Therefore, a time period of
three years is considered to be sufficient for having good results in terms of customers and profits as well as stability in the markets of Dhaka,
Bangladesh.

Literature Review
2.1 Overview of the Business
The new venture is in respect with the new established Philippines restaurant in Dhaka, Bangladesh. The venture or the business is of huge
significance as it is based on a mixture of culture and cuisine of two diverse nations. The food of Bangladesh and Philippines is somewhat similar as
both of them have a major common factor i.e. love for sea food. This is one of the key reasons behind the opening of a Philippines restaurant in
Bangladesh. There are various other factors which are also major aspects behind the establishment of the venture i.e. in present time, there are
number of development taking place in Bangladesh and primarily in Dhaka from the tourism perspective which is increasing the number of foreign
tourists. Thus, to attract those customers and gain huge recognition, the venture is planned and will be established.
2.2 The concept statement
The concept statement of the business outlines the key purpose and aim of the business and what particularly the business will perform in order to
offer high value to the customers. It will give a base for all the further activities to be conducted for the business and is considered as a vital artifact
for the business plan. The concept statement will highlight the business idea, vision and mission statement of the business plan.
Business Idea
The business proposal is regarding the establishment of a new Philippines restaurant in Bangladesh.
Mission
The mission of the restaurant is to provide delicious and appetizing food and beverages to the domestic people as well as the tourists which came
from different regions of the world. The mission is that the food and the beverages must meet the standards of the original Philippines food, the
quality, taste and the freshness and must be offered with a level of creativity and uniqueness. It aims at providing the customers with the remarkable
services by the means of high level of professionalism, acquaintance, effectiveness, civility and warmth. It is also one of the aims of the restaurant to
offer a cooperative and rewarding environment to the employees so that they can be retained for a longer time period and support the growth of the
restaurant.

Vision
The vision of the restaurant is to have a successful establishment in Bangladesh and became of the first choice of the customers including the
domestic as well as the tourists for quality Philippines food and beverages.
2.2.1 The Product/Service
The restaurant is a Philippines restaurant which will be offering a number of Philippines dishes, food varieties and beverages and also providing a
strong cultural ambience similar to Philippines restaurants. The menu will have a number of most popular food items of Philippines including
Mechado, Lumpia, Lechon, Kaldereta, Adobo, Kare-kare and many more other famous dishes of Philippines. There will also be a number of seafood
dishes as it is holds huge importance in the Bengali cuisine (DENMARK, 2015). There will be dishes such as squab, chicken, vension, etc. but with a
Philippians’ taste and customary cooking. The huge menu will also need good chefs so there will be recruitment of chefs who specially have a deep
understanding of the Philippines food as well as also have a knowledge of the taste of the people of Bangladesh so that there can be used ingredients
as per the cuisine and the customers may feel satisfied. All the food products will be of premium quality as well as fresh and will also prepare with
utmost care and compassion (Besa and Dorotan, 2014).
There will also be available wine and other various drinks along with the multiple food options. All the drinks will be modest and will be especially
from Philippines only. There will also be offered a moderate international selection of beer to attract the foreign customers or the tourists. The quite
place with good lit features of the bar in the restaurant will be a complete assortment of the luxury and finest. There will also be available homemade
Philippians’ digestives and aperitifs and scotches. In the summer season, the customers will be offered with a choice to have outside sitting as well as
garden sitting arrangements so that the customers can enjoy the seasons, special menus and drinks. At the terrace area, there will be also performed a
number of cultural activities of Philippines at evening and night time for offering a complete sense of Philippians culture as well as to attract the
tourists (Dhaugoda and Dang, 2015).
The restaurant will remain open be seven days a week. The interior and the ambience of the restaurant will be based on Philippians culture and
theme. When the customers will come at the restaurant there will be a welcome through a piece of Philippians music comprising of various genres
and styles such as glass and rock music as well as with a mixture of indigenous, American, Spanish and Asian influences (Kim, 2014). In different to
many other restaurants, the new restaurant will have excellent menu as well as ambience to attract both the domestic as well as the foreign customers.

The services which will be offering at the restaurant will have high standards, quick with affability and warmth hospitality ( Yanagida, 2016). The
customers will be overwhelmed with ambience, hospitality and value which will be offering to them. For developing a sense of satisfaction and
assurance in regards with value there will be a level of consistency which will be maintained in the quality of the products and the services. There
will also be offered customized and special services to the customers if they will be booking a party in the evening or some event requiring tailored
services. All such products and services are the key ingredients or factors which will help the restaurant gaining an increased number of reliable
customers which will prefer visiting the restaurant again and again (Vu, 2013).
2.2.2 The Segmentation, Target Market and Positioning
Segmentation
The total customer of the newly established restaurant has been divided in two different segments i.e. demographic and behavioural segmentation.
Demographic Segmentation: As per the population of Bangladesh, there are high income diversities among the individuals. The age group i.e. 25 to
39 are the biggest group or the main age group that have highest purchasing power. Moreover, there are low income levels of the domestic people
from the overall analysis. So the primary segmentation will be of the basis of age factor and considering the potential customer group of the age 25-
39. There will also be consider the segmentation on the basis of income level as the restaurant primarily serves the cuisine which is of a bit high
range and people who have good purchasing power can afford it. From the perspective of tourist customers, the location selected is also one of the
best locations of Dhaka so that more tourist groups can be attracted to become the potential customers (Bowie, et al., 2016).
Behavioural Segmentation: The customers are also segmented on the basis of behavioural segmentation which comprises of a number of factors such
as the key behavioural aspect is that the customers who prefer new taste and different flavours other than the regular food. These are the most
potential customers as the restaurant will offer Philippians cuisine. The customers are also segmented on the loyalty aspect of behavioural
segmentation as there are customers who are loyal and remain reliable to a place or a service by visiting a similar restaurant. Thus, there will be
offering food in aspect with having potential and loyal customers (Rogers and Davidson, 2015).
Targeting
The target customers of the restaurant comprises of secondary and primary.

Primary target: The primary target is in context with demographic segmentation. There will be both women and men as the target customers which
will be of age group 25 to 39 as it is largest percentage of the individuals which have a good spending power. As well as, the individuals under this
age group also comprises of the upper class employees so they are also the target customers of the newly established restaurant (Andaleeb, 2016).
The new restaurant also focuses on the customers who are married as well as single as there are special arrangements and preparation done for dinner
dates as well as for celebrating some special events. And owing to the employees of these age group, these people are more willing to spend money
over good ambience, meal and quality experience with great value. The new restaurant will offer services by perceiving the requirements of the
customers so that there can be improvement in the services (Canha, 2015).
Secondary target: the secondary target is in context with the behavioral segmentation. The secondary target customers are those who are walk-in
customers that means out of them the maximum are the first time user only or those who rarely visit the restaurant. Such type of customers visits the
place by walking nearby and wish to visit the restaurant by analyzing that how much busy the restaurant is or how many customers are there at that
point of time. (Qi, 2015). As well as the second point of attraction is the Philippians decoration which is a fascinating point for the customers to have
a different or foreign cuisine. The new restaurant is aware of this opportunity that all such customers can be the reliable and loyal customers of the
restaurant in the coming future so there will be slight changes which will be taking place in the restaurant occasionally (Schlegelmilch, 2016).
Positioning
The new restaurant is positioned in the medium to high range segment in the hospitality market which is based on the average of the prices of the
main course dishes. But from the quality perspective, the restaurant is position as the premium quality serving restaurant (Wirtz and Lovelock, 2016).
There are a number of restaurants which already exists and have a recognized presence but there is a competitive advantage with the new restaurant is
it offers a different taste and something innovative to the customers i.e. Philippians food and cuisine which is the key aspect for attracting the
customers (Hair, 2015).
2.2.3 Value Added Features
The value added features of the new restaurant which will not only help in fetching the attention of the customers but also add value and recognition
to the restaurant comprises of few features such as there will be a special kid playing zone where the kids can enjoy so that the couples and the
families can have a better experience. The other value added features is that there will be separate areas for meetings and conferences so that the

business meeting can also be successfully performed (Van Vliet, 2014). There will also be offered menus in different languages so that the visitors
can understand and order their food. The unique ambience is one of the most value added feature which will not only attract the foreign customers
but also the domestic individuals. Thus, all these are the value added features which will help the restaurant in gaining huge recognition in a shorter
span of time (Leschke, 2013).
2.2.4 Perceptual Mapping
The perceptual map demonstrate that the new restaurant is good in quality as well as medium to high range in price but can have a better positioning
in the market as it offers a number of values added services, unique products and differentiates cuisine to the customers. The perceptual map helps in
analysing the position of the restaurant in the market and the above developed perceptual amp demonstrates that there is a good scope or opportunity
for the restaurant to sustain and achieve increased attention of the customers.

2.2.5 Marketing Mix
Product
The restaurant will offer fresh and quality food to the customers which will comprises mainly the Philippians cuisine. There will be offered both the
vegetarian as non-vegetarian dishes. There is internationalization of the flavours so that there can be gained attention both from the foreign customers
as well as the domestic customers who want to have some different flavours and food. The menu will have a number of most popular food items of
Philippines including Mechado, Lumpia, Lechon, Kaldereta, Adobo, Kare-kare and many more other famous dishes of Philippines. There will also be
a number of seafood dishes as it is holds huge importance in the Bengali cuisine. There will be dishes such as squab, chicken, vension, etc. but with a
Philippians’ taste and customary cooking. There will also be available wine and other various drinks along with the multiple food options. All the
drinks will be modest and will be especially from Philippines only (Kwokn and Yu, 2013).
Place
The place selected for opening the new restaurant is Uttara, Dhaka, Bangladesh. The reason behind selecting the particular place is that there are
several benefits of opening a new restaurant in Bangladesh such as continuously growing hospitality industry, increased demand for good restaurants
and changing tastes and n preferences of the masses. The one key benefits of opening a new restaurant in the nation is the increasing rate of tourism
in nations but majorly for the purpose of business meeting and there are growing efforts of the Government to develop the place as one of the major
tourist destinations with its decorated and heritage views comprising forts, palaces, mosques, tombs and gardens. And there is a growing opportunity
for the various entrepreneurs to have new business venture of hotels and restaurants serving the needs of the masses as well as the tourists with
delicious Philippines food comprising of a number of sea food. The location Uttara in Dhaka, Bangladesh is considered as one of the best place to
open a restaurant (Nykiel, 2016).
Price
The prices of the food will be comparatively a bit high from the various other restaurants but will be affordable for the medium as well as the high
class customers as it will in a mid to high range prices. The pricing strategy which is to be used by the new restaurant is the differentiation strategy
where the food and the services will be offered which will be different in nature i.e. the Philippians food, cuisine and beverages in Bangladesh and
thus, the prices are quoted accordingly. There are both economic as well as premium prices according to the dishes (Vo, 2014).

Promotion
For the effective promotion and advertisement of the new restaurant, there will be take use of a number of different advertisement media such as the
newspaper, posters, hoardings, pamphlets, radio advertisements and television advertisement. Secondly for effective promotion across the region
there will be use of online and social media such as through emails, pop-up notifications, advertisements and social media sites such as Facebook,
Twitter, etc. all these promotional activities and advertisements will help in gathering the attention of the masses (Bly, 2015).
People
There will be recruited an employee competent and trained staff for the restaurant who can manage the working and offer complete satisfaction to the
customers in respect with hospitality services. There will also be appoint good chefs who specially have a deep understanding of the Philippines food
as well as also have a knowledge of the taste of the people of Bangladesh so that there can be used ingredients as per the cuisine and the customers
may feel satisfied. For overall management there will be a separate management team (Lovelock and Patterson, 2015).
Process
There are number of efficient processes which will be used to manage all the operations and functions of the restaurant such as in respect with food
preparation, services, home delivery of food, faster processing and cleaning. The processes including booking of tables, managing events etc. all
these tasks and various other functions will have a separate process so that utmost level of efficiency can be achieved (Babin and Zikmund, 2015).
Physical evidence
The new restaurant will be spacious and have separate arrangement of sitting for individuals, families and couples. In the summer season, the
customers will be offered with a choice to have outside sitting as well as garden sitting arrangements so that the customers can enjoy the seasons,
special menus and drinks. At the terrace area, there will be also performed a number of cultural activities of Philippines at evening and night time for
offering a complete sense of Philippians culture as well as to attract the tourists. The interior and the ambience of the restaurant will be based on
Philippians culture and theme. When the customers will come at the restaurant there will be a welcome through a piece of Philippians music
comprising of various genres and styles such as glass and rock music as well as with a mixture of indigenous, American, Spanish and Asian

influences. In different to many other restaurants, the new restaurant will have excellent ambience to attract both the domestic as well as the foreign
customers. The music will be soothing so that the customers can enjoy their food and have a quality experience (Khan, 2014).
2.2.6 Those Involved
The people involved in the new venture comprise of a partner with whose partnership the new business will be established. There will also be
involvement of the suppliers who will be supplying material in the food ingredients to the restaurant. The next vital involvement will be of the staff
or the employees who will manage the overall organisational working such as restaurant manager, waiters, chef, other cooks, cleaners and other
employees for back-end operations.
2.2.7 The Window of Opportunity
The present time is the window of opportunity for the establishment of the new restaurant as it is the peak time when the country is focusing upon its
tourism sector and having continuous improvements to attract foreign visitors and so offering a wonderful place to stay and have food is one of the
most opportunistic venture which can be succeed. Secondly, another window of opportunity is that there has not been offered such a different cuisine
i.e. Philippians cuisine to the people of Bangladesh who are also sea food lover but demands for some different cuisine and dishes. Therefore, it is a
first mover advantage gained by the new restaurant as the presence of window of opportunity (Wang, et al., 2014).
2.3 Feasibility Research
2.3.1 Industry Attractiveness using Porter 5 forces
In this modern and competitive market, the bargaining power of customers is extending day by day and it’s extremely high in terms of the new
restaurant, because there have a power to buy or see another door for cheap and better product and service (Arif and Hossin, n.d.) When guest comes
at the restaurant and have an occurrence of un-satisfaction in the service or restaurant then the associate takes an initiative to prove that we really care
of customer (Okumus, Altinay and Chathoth, 2010). Much less, the power of suppliers is very low in terms of the restaurant because many of them
are the form of people with the restaurants already. Threat of new arrivals is another threat for every business and especially big companies and also
it’s a force to keep the company at the same level. Threat of new arrivals is low as many branded hotels are already in the market, and therefore there
are fewer gaps for a new company to enter to the market (Babin and Zikmund, 2015).

Moreover, due to many well branded hotels are in the market and expense is high, if someone wants to enter to the market it may cost huge money.
There are many competitors in Bangladesh, and therefore threat of substitute is high for the new restaurant ( Ali and Parvin, 2010). Because,
customers have alternative options available, as a result if they are not satisfied in terms of services and quality of the restaurant, they can move to
other hotel very easily (Sakib, 2014). The power of the competitor is going high day by day and that’s why the new restaurant will try to fight with
the competitors to keep their stand in the market of hospitality (Enz, 2009). On the other hand, Threat of competitors is also high in respect with the
restaurant as many chain and international hotels are waiting to operate their business in Bangladesh (Khan, 2014).
2.3.2 Marketing analysis by using PESTLE
(Source: Vaishnav, 2016)
Political Factors
Bangladesh is changing rapidly and has a parliamentary democracy. In respect with the taxation policy, there are levied various taxes including
corporate income taxes, personal income taxes and principal direct taxes on significant consumer goods. The publicly traded organisations are
charged 27.5 percent insurance companies and financial institutions are charged 45 percent and on the companies other than these, there is charged

37.5 percent rate of taxes. Bangladesh is a highly populated nation which always strives hard to have a representative government. There is a
democratic political system but still the fight for equality is continue in the nation. There are a number of different political parties which make
continuous efforts and wish to rule the nation. The country suffered from increased political instability during 1982 but later on with the rule and
power of Ershad there can a little of democracy and appointment of new political leaders for improving the political conditions (Vaishnav, 2016).
In the recent years there are increased cases of violence and even murdering of journalists and political figures. There is also a risk of further
deterioration. There are also violations of the human rights but at some point there are few positive progresses too in terms of democratic process and
power structure. There is also increased level of corruption and mistrust and there is lack of financial resources. Due to the bureaucratic inertia there
is a delayed plan for public administration which results in lack of development of the nation. But in the coming time frame and in next five to ten
years there will be high focus upon the development of the nation and the political stability so that there can more number of foreign investments.
Economic Factors
The economy of Bangladesh is represented by that of a developing nation. The GDP is a lower in comparison with other developing nations. The
economy is growing with a rate of six to seven percent p.a. in the past few years and almost more than half of the total GDP belongs to the service
sector only (GTU, n.d.).
Social Factors
The history of culture of Bangladesh is exceptional and it is almost possess a history of 2500 years. There is a heritage developed by the land, rivers
and people with diverse religions. The culture of Bangladesh is composite and is majorly influenced by Hinduism, Buddhism, Islam and Jainism. The
nation has developed in a number of factors including literature and languages, religion and philosophy, celebrations and festivals, dance and music,
drama and folktales and craft and art. Bangladesh is also recognized as an extremely populated country across the globe. The maximum of the
population is Bengali and among there are two percent people that are tribal and the other rest belongs to non-Bengali groups. And maximum
percentages of the population are Muslim (Gurjar, 2017).

The annual growth rate of population is about two percent. The infant death rate is approximately seventy five for every one thousand birth. The male
life expectancy and female life expectancy is about 50 to 80 years. Bengali is the primary language which is spoken by maximum of the non-natives.
The labour division is influenced by the political system, practices, cultural norms, age and religion.
Technological Factors
The technological factors help in decreasing the entry barriers by minimizing the proficient production levels. It comprises of computerization,
technology inducements and research and development. The change in technology is exceptional impact on the lives. There is a huge impact upon the
trade, manufacturing, industries, service and commerce. The country has to struggle a lot in respect with meeting the demand of new and innovative
technology and so it creates difficulty in competing with the market demand and internal market competitors (Gurjar, 2017).
Environmental factors
The nation is also experiencing a number of environmental issues in the present time. The economy is completely based upon the agricultural activity
and the country is experiencing huge trouble in respect with natural calamities such as cyclones, floods, etc. (Begum, Biswas and Hopke, 2011).
There are various NGOs and also governmental organisations that are planning to modify the land into the forests and have a successful
environmental programme to save the country from negative factors (Mohammad and Mosharaff, 2001).
The other key major issue is pollution which impacts the private as well as the public sector. There are projects on Dhaka which make the people and
the companies aware of the cottage and small industries of the country. There are efforts to have those business operations and evolvement of the
technologies which are eco-friendly and have no negative impact on the environment (Vaishnav, 2016).
Legal Factors
It is essential to gain a good knowledge of the legal system of any nation while investing or trading in an overseas nation. There are traces of both the
Muslim and the Hindu administration. The legal barriers comprises of the complex governing structure and corruption which make the business
operations difficult. There has been developed an Anti-Corruption Commission by the government. The key focus of the foreign policy is upon the
nation cooperation. There has been developed polices for trade and can’t be made any kind of modifications in the policies ( Vaishnav, 2016).

2.3.3 Product or service feasibility
There is a significant need of assessing the product or service feasibility to understand the services or products to be offered to the customers. The
service feasibility answer the questions such as does the business address any particular need or does it sound profitable or does the proposal possess
the competence to face the competition. With the help of the primary research all such questions are answered as it offers an opinion of the buyers in
respect with the willingness for accepting the services or not (Rimmington, Williams and Morrison, 2009). As per the research performed, there has
been appreciated the idea of a Philippines restaurant. And this response supports the viability of the market. Therefore, from customers’ view point,
the new restaurant is an attractive business proposal that confirms the profitability of the business.
Restaurant
Name
Cuisine Service Food Venue Ambience Price
Aadi Dhaka Indian/Pakistani 4 4 4 3 $6-$10
Reasonable
BBQ
Bangladesh
Korean 4.5 4.5 3.5 4 $10-$15
The Dining
Room
Bengali 4.5 4.5 5 4.5 $3-$15

Aadi Dhaka BBQ Bangladesh The Dining Room
0
1
2
3
4
5
6
Service
Food
Venue
Ambience
Rating of the competitors based on various attributes
By having an analysis of the various competitors, it is clearly visible that there is no direct competition to eth new restaurant as the restaurant serves a
completely different cuisine. Thus, it is a unique restaurant which will gain the attention of the domestic as well as the foreign visitors.
Product or service feasibility through primary research questions:
Question1. How was the food experience?

Food Experience
Highly Satisfied
Satisfied
Not Satisied
Highl not satisfied
According to the responses collected, it has been found and analysed that maximum of the visitors were highly satisfied and allured by the awful
culture and the aesthetic nature of the new establish Philippians restaurant and they wished to visit again as well as had increased word of mouth
publicity to their families and friends. As per their view, the restaurant is full of friendliness and energy with least level of pollution. Besides this, the
cuisines and drinks are also affordable by the people.

Question2. Is there was something you missed?
From the responses collected, it was found that maximum of the visitors were happy and found nothing missing. whereas some of the visitors had
some level of dissatisfaction in terms of value for money and service. A few of the visitors experience that there was missing the Wow factor which
can force them to visit again.
Question3. Do you like the fusion of Philippians cuisine?
Anything missed
Nothing
Value for money
Wow Factor
High-end Service

Fusion of Philippians Cuisine
Ver much
Liked
Average
Not liked
According to the responses the visitors liked the fusion of Philippians cuisine an mainly the they were allured by the famous Philippians dishes
served to them including the most favoured ones such as Mechado, Lumpia, Lechon and Kaldereta. Further some of the respondents also favoured
and shown their acknowledgment to the dishes such as Adobo and Kare-kare. From the overall view people liked the cuisine and a very few were
there who found the cuisine a little unsatisfactory.
Question4. What was your normal spending for beverages and food at the restaurant?
 $20-$25 per head
 $25-$30 per head
 $30-$35 per head
 Over $35 per head

Normal spending per person
$20-$25
$25-$30
$30-$35
Over $35
As per the response collected, there was approximately a total of $25-$30 per head which was an average spent for the food in the new restaurant.
Maximum percent of the total respondents responded that there average spent falls under the bracket of $25-$30 per head on the food in the new
restaurant and the rest of the responses supported the other options.
Question5. What was the payment mode for the food?

Payment Mode
Cash
Plastic Card
PayPal
Other Applcations
Making up of the payments was sounded as a tedious job as from the responses collected it was found that for approximately more than seventy
percent of the tourists as there was some difficulty in accepting the cards and thus there was about to take help from the currency converters for the
tourists who visited the restaurant and paid through cash only. The other visitors used to pay through various other mobile application and plastic
cards.
Question6. Do you have any further suggestions or comments?

Further Suggestions
Nothing
Related to food
Related to payment
Relted to service
As per their view, the restaurant is full of friendliness and energy with least level of pollution. Besides this, the cuisines and drinks are also affordable
by the people. The respondents found the restaurant a very good place to visit with high level of satisfaction, amazing cuisine and friendly
environment. In respect with the payment method, people suggested to have high use of cards for payment rather than cash. In respect with food and
service, few visitors suggested that these can be improved with little modifications.
2.3.4 Legal Feasibility
The main aim of performing legal feasibility analysis is to analyse that whether there are adequate legal work and follow rules and regulations for
bringing services to the market in a successful manner or not. This comprises of the various non-financial aspects which are significant for the
business. The legal feasibility for the new restaurant is checked through the proper licensing for liquor, adequate agreement for the land as well as
registration of them restaurant and other legal requirements to be fulfilled. The new restaurant will be following all those regulation as well as has
proper licensing and agreements to conduct the business in Bangladesh.

2.3.5 Technological Feasibility
The main aim of performing technological feasibility analysis is to analyse that whether there are adequate technical resources and tools for bringing
services to the market in a successful manner or not. This comprises of the various non-financial aspects which are significant for the business. The
technological feasibility comprises of the analysis of the physical transformation systems, processes and other systems that includes availability of
unique software products as well as tailored info system structure which can offer better information about the customers so that appropriate planning
could be done. The new venture take use of innovative technologies such as for gathering the feedback of the customers, there is a linked mobile
application which can save the time of the customers just be ranking the experience through mobile. As well as there are various other technological
support too for effective functioning of the business (Roy and Al Mamun, 2016).
2.3.6 Organization Feasibility
The main aim of performing organisational feasibility analysis is to analyse that whether there are adequate resources and skills for bringing services
to the market in a successful manner or not. This comprises of the various non-financial aspects which are significant for the business. There are two
primary issues which are required to be considered i.e. adequacy of the resources and the management competence. For the assessment of the
management competence, there must be evaluated the competence of the management team on the basis of the expertise as well as the passion in
respect with the launch of the restaurant. Further, for assessing the adequacy of the resources required for eth establishment of the restaurant, the
primary emphasis must be on the various non-financial resources that comprises of acquaintance of the competitors, customers, suppliers, quality of
workforce pooling, government support, affordable place, etc. For testing the adequacy of the resources, there must be listing of the critical non-
financial resources to move the plan ahead and if there is inadequacy of the resources then plan must be re-structured (Jung, et al., 2009).
2.3.7 Resource evaluation (Human resource feasibility)
The main aim of performing human resource feasibility analysis is to analyse that whether there are adequate human resources and competent
employees for bringing services to the market in a successful manner or not. This comprises of the various non-financial aspects which are significant

for the business (Zahan, 2017). There is a need that it must be ensured that following requirements are met before the business start-up so that human
resource efficiency could take place.
Staff name The number of the individuals required
Head Chef 1 (expert of Philippians cuisine)
Chef 2 (other experts of different cuisine including food of
Bangladesh)
Assistant Cooks 2
Waiters 8
Bar Manager 1
Reception staff and counter staff 1
Manager 1

2.3.8 Financial feasibility
i. Start of capital table
Start-up Funding
Start-up Funds Funds
Start-up expenses $275,500
Start up assets $75,000
Total Funds needed $350,000
Assets
Start-Up: Non-cash assets $25,000
Start-Up: Cash requirements $50,000
Additional Cash $0
Starting date: Cash balance $50,000
Total Assets $75,000
Capital & Liabilities
Liabilities
Borrowing $0
Liabilities: long term $0
Outstanding bills (accounts payable) $0
Other liabilities: current $0
Total liabilities $0
Capital
Planned Investment
Owner Equity $50,500
Loan: short term $300,000
Additional investment needed $0
Total Planned Investment $350,000
Loss: (start up expenses) start-up ($275,500)

Total Capital $75,000
Total Liabilities’ and Capital $75,000
Total Funding $350,500

ii. Sales forecast for 1yr
Sales Forecast Sales for First year
Units 248,146
Sales Value ($1000/Unit) 3,722,190
Sales Policy
Cash flow on Sales 3.722,190
Cost of Goods 2,543,487
Payment policy of supplier
Cash flow (COGS) 2,543,487

iii. Profit & loss acct.
Profit and loss Forecast
Year 0 1
Revenue 0 3,722,190
Cost of Sales 0 2,543,487
Gross Profits 0 1,178,703
Expenses
Premises (rates, rent) 9,000 54,000
Salaries and Wages 288,000
General Expenses 91,350
Bank charges and Interest 30,000
Lease Payments 0
Depreciation 2,150
Other expenses 150,000
Total Expenses 9,000 615,500
Profit before tax -9,000 563,203
Dividends 0
Transfer to reserves 563,203

iv. Cash flow
Cash Flow Forecast
Preop
Year 0 1
Cash Inflows
Cash from Sales 3,722,190
Directors loans 300,000
Share Capital 50,500 0
Other external loans
Other cash inflows
Total Cash Inflow 350,500 3,722,190
Cash Outflows
Payment for the materials 0 2,543,487
Operating Expenses
Premises (rates, rent) 9,000 54,000
Salaries and Wages 0 288,000
General Expenses 0 91,350
Bank charges and Interest 0 30,000
Cash Flow Summary
Net Cash Flow 170,000 715,353
Opening Cash balance 0 170,000
Closing Cash Balance 170,000 885,353

v. Breakeven point analysis
Fixed Cost: Liquor license cost, salaries and rent
Variable Cost: Food ingredient and supplement cost
Break Even Analysis
Monthly rent $4,500
Liquor license: Monthly renewal fee $1,000
Monthly salaries $24,000
Total $29,500
Contribution per customer $4.50
Breakeven point: per month: customer $6556
Breakeven point: per day: customer $220
The Breakeven point for the new restaurant is below the estimated sales that mean that the establishment is attractive from the context of investment
purpose (Arif, Noor-E-Jannat and Anwar, 2016).

3. Research Methodology
The research methodology had analysed and evaluated the benefits and advantages to be gained by opening a new Philippians restaurant in
Bangladesh. It has employed the primary research through survey by taking use of a questionnaire to gather data from a number of respondents.
3.1 Research Philosophy
The research philosophy has referred to the info and insights to the knowledge development and its various features. The research philosophies
included a number of components in respect with the way in which the new restaurant would be established and achieve sustainability in the market
of Bangladesh. There were particularly three well known forms of research philosophy that comprised of epistemology, ontology and axiology
(Creswell and Poth, 2017).
First type of research philosophy named epistemology dealt with the adequate and concerned knowledge. It regarded with those components that
includes of the knowledge which is accepted in analysing the factors involved in the establishment of a new restaurant. The second type of research
philosophy name ontology dealt with human survey. The third type of research philosophy named axiology dealt with moral and ethical behaviour
which is in relation with the decisions in regards with the value. It stated that the effective business plan can be used in the businesses for successful
business expansion and long term sustainability (Easterby-Smith, Thorpe and Jackson, 2012).
3.2 The research approach
The deductive approach:
First research approach is the deductive approach which has an interconnection with the scientific individuals by the individuals. The study had its
emphasis which has been accomplished, understanding the phenomenon studies or the existing theories. The hypothesis explained the final results
and analysis gained from the theories (Sekaran and Bougie, 2016). There is work done from general to highly specific in the deductive reasoning.
Therefore, it is recognized as they top-down approach. The conclusion gained followed reasonably the currently available facts. Following is the
water-fall framework of the deductive approach:

Theory
Hypothesis
Observation
Confirmation
Figure 1: Deductive approach (Water-fall Framework)
(Source: Tseng, S.M. and Lee, P.S., 2014, 158-179)
The deductive reasoning or the deductive approach presented the usual concept by the means of defining new venture establishments and the
effective business planning. After this there would be presented examples as well as illustrations for the information presentation. The key benefit of
the deductive approach was that it could help in effective learning. More general principles are identified and favoured by the deductive learners. In
spite of all the above things the deductive approach would not ever permit the researchers or the students to think in a divergent way. Moreover, it
never focused on the issue and reasoning (Ormston, et al., 2014).

The inductive approach:
The inductive approach is used by exposed to a concrete example of the approach. The researcher would develop the context and the scope wherever
there could be effective generalisation, guiding with the requirements. Moreover, the inductive approach never improved the creativeness and
efficiency (Bryman, 2015).
The key benefits of the inductive approach comprised of that the students would be able to draw effective approaches. It helped in demonstrating
long term retention ability and creativity. Thus, it would offer the competence for meeting the challenges of new scenarios. Therefore, there might be
some scenarios where there can be drawn irrelevant understanding from the given instances. Additionally, the inductive approach might take
additional time and could be less effective in comparison with the deductive approach (Maxwell, 2012).
In the particular research there would be taken use of the deductive approach as it would be more suitable.
3.3 The research strategy
In respect with the research strategy, there had been conducted both the primary as well as the secondary and attitudinal research ( Jansen, 2010). For
information collection, there has been used survey research strategy by questioning the customers through a questionnaire and asking about their food
experience. There has been taken use of the views of some of the respondents which would further be utilized for the determination of the manner in
which the restaurant can be established and have a sustainable positive impact on the restaurant’s performance. For the secondary information, there
will be assessed the overall outcomes of the data collected and the various literature reviewed (Yvonne Feilzer, 2010). It would assist in the
establishment of the successful opening of the new restaurant in Bangladesh.
3.4 The research methods
There had been a data collection method which comprises of both secondary as well as primary method. The primary data collection method would
have targeted the potential individuals as well as the characteristics of the local market of Bangladesh. It would be conducted by the survey method.
In the survey conducted, there would be comprised of the tourists that would be entering in the nation as well as the local people. These people would
be asked for their views and opinions in regards with the concept of the new restaurant as well as their respective expectations. Additionally, there
would be an expert interview method that would be used for their appropriate suggestions and opinions (Bryman and Bell, 2015).

The secondary data collection would be done for the assessment of the economic condition and the industrial condition. Backed by both, there would
be tested the feasibility of the new business ideas for the establishment of the restaurant. To make decisions regarding the investment of huge funds
in new venture there would be required adequate analysis of a number of things. The analysis and the evaluation could be achieved through either
secondary or primary research (Pluye, et al., 2009). Literally, the primary research could be understand as the research conducted particularly for the
issue or the research problem highlighted in the study by the means of observations, surveys or interviews. For the establishment of the new
restaurant in Dhaka, Bangladesh, appropriate fund and various other supplementary resources would be necessitated. Additionally, significant and
proper manpower as well as time would also be required. It would make essential to perform an in-depth research before the establishment of the
plan (Yin, 2013).
Primary market research
The primary research would be based on the scientific methods and principles. The investigation theory had been developed in the middle of
nineteenth century by John Stuart Mill as discussed in the “Philosophy of the Scientific Methods” book. There are particularly three specific methods
for conducting primary research i.e. surveys, interviews and observations (Godfrey-Smith, 2009). For the ease and the convenience of the research
there has been taken use of observations as the primary research method. There has been used online interview method by the means of blog
designing for the tourists and local visitors of Bangladesh for conducting the research. It comprised of a well-structured interview, where there would
be included an already establish set of questions which were required to be asked to the blog visitors for their respective opinions and views
(Littlejohn and Foss, 2010).
In the blog designed, there would be description of heritage and natural sights of Bangladesh were discussed with various viewpoints. The blog
visitors were required to offer their opinions n respect with the new restaurant. As well as they could also share their various experiences acquired at
the time of their visit to the restaurant and the experiences in respect with the food and with a number of suggestions for having improvement in the
services offered. Both potential as well as past visitors were addressed in the interview. The research had been carried out in a particular time frame
of approx. three months. Approximately a total of thousand interviews had been collected from the various visitors and tourists from diverse regions
of the globe (Bryman and Bell, 2015). The appendix section comprised of the questions for the interview.
Following are the observations for the interview:

1. Maximum of the visitors allured by the awful culture and the aesthetic nature of the new establish Philippians restaurant and they wished to
visit again as well as had increased word of mouth publicity to their families and friends.
2. As per their view, the restaurant is full of friendliness and energy with least level of pollution. Besides this, the cuisines and drinks are also
affordable by the people.
3. The threat of terrorism is also very less in Bangladesh which also a major factor in the increased number of international visitors.
4. There are served a number of Philippians dishes and among the respondents the most favoured one comprises of Mechado, Lumpia, Lechon
and Kaldereta. Further some of the respondents also favoured and shown their acknowledgment to the dishes such as Adobo and Kare-kare.
5. As per the response collected, there was approximately a total of $25-$30 per head which was an average spent for the food in the new
restaurant. 18 percent of the total respondents responded that there average spent falls under the bracket of $25-$30 per head on the food in
the new restaurant and the rest of the responses supported the other options.
6. Making up of the payments was sounded as a tedious job for approximately seventy percent of the tourists as there was some difficulty in
accepting the cards and thus there was about to take help from the currency converters for the tourists who visited the restaurant.
The idea of the establishment of the new restaurant in Bangladesh with features of Philippians cuisines in the Philippians culture and ambience and
availability of the wines and alcohol from diverse areas in the bar section with effective service of payments by the means of plastic money helped in
fetching the attention of the ninety percent respondents. The respondents have acknowledged as well as appreciated such idea of payment.
Secondary Market Research
In the secondary market research, there has been employed information which was assembled by various external sources that comprised of
chambers of commerce, labour unions, media sources, industry and trade associations and government agencies as well as various other sources. The
secondary information sources comprised of educational institutes, public sources and the commercial sources (Wilson, et al., 2009). For the
satisfaction of the urge of the research, the guide for performing business in Bangladesh has also been referred as the secondary information sources.
The various data that has been published in it will be taken use for the current study whenever needed.

4. Data Analysis and the business model
4.1 Market attractiveness using survey questionnaires
There is high market attractiveness which can be analysed by the means of the survey questions as by the data collected through the response
gathered on the question of how was the food experience, is something was missed, does people like the fusion of cuisine and with their further
suggestions and comments, it can be analysed that the market is much attractive. The responses collected show that there is high demand for
something innovative and a different service to give a new taste to the customers (Zhou, Brown and Dev, 2009). As well as from the data in the
responses, it is also analysed that the market is also attractive on the basis of the food experience as people liked the quality of the food.
Survey Questionnaires comprises of the following questions:
Question1. How was the food experience?
Question2. Is there was something you missed?
Question3. Do you like the fusion of Philippians cuisine?
Question4. What was your normal spending for beverages and food at the restaurant?
 $20-$25 per head
 $25-$30 per head
 $30-$35 per head
 Over $35 per head
Question5. What was the payment mode for the food?
Question6. Do you have any further suggestions or comments?

4.2 Strategic analysis
The key aim of strategic analysis is to have an analysis of the external environment of the company in regards with the future as well as the present
conditions. With the help of the strategic analysis there can be answered two major questions i.e. first, in what manner the external consequences and
incidents can impact the business and secondly, what should be the most appropriate reaction of the business in respect with the probable changes.
The business model is the key logic of the manager that offers the opportunity to capture the various market opportunities by mitigating risks. It also
helps in the identification of the required resources and for value creation for the various investors (Grant, 2016).
In the following part, there will be carried out a thorough analysis of the new business idea from the strategic point of view and on the basis of that
there will be development of a business model.

4.2.1 SWOT
Strengths
 The bushiness idea is innovative in
nature
 The establishment of the restaurant is
backed by effective planning and
research
 Financially sound
 There has been lucrative market growth
as analysed from past ventures
Weaknesses
 There is high level of dependence upon
the acceptability of the new restaurant
among the domestic people as well as
the tourists as it is a Philippines
restaurant
 Extremely dependent upon the growth
and development of the tourism sector
of Bangladesh
 One more dependent factor for success
is the performance of the staff
 Sensitive to the rules and laws of the
Government
Opportunities
 Increased tourism
 High growth and economic
development
Threats
 There is a threat of upsurge competition
as there is no such entry barriers
 From the business’s point of difference,
there is a threat of acceptance as it is an
innovative theme and cuisine as well as
it can also be copied easily
 There can be a damage to tourism
because of the dependency of the
Government on the foreign direct
investments

4.2.2 ANSOFF
Market Penetration: For any new business, the entry strategy is of high significance. The new restaurant is also a new opening and a new entrant in
eth market thus there will be much impact of the market force of penetration and as well as on it financial and strategic position.
Product Development: This is the second phase of Ansoff matrix which has a relation with the present business administration and the aptitude
towards new product development. The restaurant is a new venture so it coming future it may have specific gimmick of networks for increasing its
profits. And the development of the services and the products can help in gaining increased revenues (Okumus, Altinay and Chathoth, 2010).
Market Development: This particular segment of Ansoff has its emphasis on targeting the new markets with the services and the products which
have already been developed. Once the restaurant will be established and have good customer base then it can achieve growth and higher
productivity through market expansion. It will be that stage where the restaurant will be entering into new markets with a diverse system but existing
portfolio of services and products (David, 2011).
Diversification: The market expansion demands for innovative services and products. The diversification phase of Ansoff matrix requires adequate
and large amount of skills as well as capital for having diversification. There could be diversification in the cuisines as started with Philippines
cuisines, now the restaurant can diversify by including Mexican, Thai, or any other cuisine (J. Harrington, et al., 2014).

4.2.3 Value Chain Analysis
4.2.4 Porter’s five force model
Threat of new entrants
As the restaurant itself a new business venture, therefore there is an increasing and high threat of small businesses or other organizations to enter in
the hospitality sector. There is great threat of new entrants as the restaurant does not hold any historical brand image and so it is challenging for the
restaurant to save its sales and sustainability in the market. It is also possible for the new entrants to give competitive threat to the restaurant as well
as the less laws, regulations and trade barriers also support entry off new business ventures (Babin and Zikmund, 2015).
Threat of Substitute
There is moderate level of threat of substitute as there is a competitive environment in terms of hospitality sector but from the differentiation point of
view, there are no such restaurants which offer such Philippines cuisine and various remarkable dishes. Thus, from this pint there is less threat of
substitute for the restaurant. In the hospitality sector of Bangladesh there are various substitutes available that offers food at competitive prices as
well as good ambience. Thus, the threat remains foe the restaurant but it can be managed with the strategy of differentiation (Ali and Parvin, 2010).

Industrial Rivalry
There is a string industrial rivalry in the hospitality sector of Bangladesh as there are already well recognized and established restaurants and hotels
which offer efficient services to the customers. These restaurants and the hotels account for maximum share of the market. So, from the industrial
rivalry point of view, there is high level of competition in the market which many a times restrict the new entrant to have successful sustainability
and growth in the hospitality sector (Sakib, 2014).
Bargaining power of Suppliers
There are raw materials and various inputs which are required by the restaurant for its business operations thus there is a level of dependency on the
suppliers. The supply includes raw materials, labor any various other components (Arif and Hossin, n.d.). With the supply of these components
between the organisation and the suppliers there develops an association. In eth hospitality industry, there are things which are required on a daily
basis and thus being a new restaurant there is high bargaining power of the suppliers. For being established in eth new place, there is a need to have
good supply of materials. Therefore, it enhances the bargaining power of the suppliers (Enz, 2009).
Bargaining power of Buyers
In the hospitality sector, the buyers hold a strong bargaining power of the buyers as the business is completely dependent upon the customers and
their preferences. In the hospitality sector of Bangladesh there is a high bargaining power of the buyers as the customers have a number of choices
and they can easily switch to any other restaurant (Okumus, Altinay and Chathoth, 2010). There are number of other restaurants that are offering
services and multi-cuisine products to the consumers at competitive process. Thus, the restaurant is required to offer highly efficient services with
unique ambience and other associated offers and products to retain the customers for longer time period (Khan, 2014).
4.2.5 VRIO Analysis
Valuable Rare Costly to imitate Exploited by Organisation
Brand Recognition No No Yes Yes

Differentiation Yes Yes Yes Yes
Distribution Channel No No Yes Yes
Resources Yes No Yes Yes

4.2.6 BCG Matrix
In BCG matrix, there are particularly four categories that comprises of Star, Dogs, Cash Cows and Question mark. The star shows that there is large
market share at a rapid rate. The Dogs demonstrate that the organisation possess low market share in a rapid growing and developing market. The
Cash cows demonstrates there is large market share but a slow growth rate. And lastly the question mark demonstrates that the organisation is a new
entrant in an industry which is developing and have limited market share (Mazur, 2015).
According to the analysis performed through BCG matrix, the hospitality sector is one of the fastest and rapidly growing sectors across the globe but
it is also slow moving and thus the organisations are required a longer time frame for gaining market recognition and brand visibility. The new
entrant s is not easily visible and also does not gain a strong market share in a shorter time frame. The new Philippines restaurant falls into eth
Question mark category as it is a new business venture and have very less market share. The restaurant sit required to develop its brand by working
efficiently in the coming future so that it can also earn competitive benefits. It is necessary for the management of the hotel to remain highly
conscious in respect with their growth and development strategies so that they can enhance their customer base and the market share (Bowie, et al.,
2016).

4.2.7 Balanced Scorecard
Objectives Goals Indicators Initiatives
Financial Perspective Increase Profits Increase the net profits by
at least ten percent
Annual report and financial
statements
Having new credit policies
Customer Perspective Possess high average
customer rating
Upsurge the purchase value
by fifteen percent on an
average
Value of the invoice of
every customer
Having improvement in
quality, offers, services and
product mix
Internal Process
Perspective
Provide choice of
sales/service channels
To transfer approx thirty
percent of the sales to the
new location or the service
channel
Percentage of sales (per
channel)
Having more set up at more
public places which have
huge crowd visibility
Learning & Growth
Perspective
To possess competent sales
force
Train the staff members
100 percent
Certificates of quality and
performance acquired by
the teams
Developing a partnership
with the professional
development course
providers

4.3 Business canvas model

The Business Model Canvas
Ownership
 The new restaurant is
owned by the
entrepreneur with one
business partner
 The key motivations
behind the investment
is the continuous
development of the
tourism sector as well
as the economy of
Bangladesh
Key Activities
 In the restaurant
business, the primary
activities comprises of
maintaining the quality
of the food and have a
level of consistency
 To have a timely
renewal of the license
to carry out the
operations of liquor
section effectively
Value Proposition
 To deliver adequate
value to the
customers for the
money paid for the
services
 To cater to the
needs and wants
and market
expectations of the
niche market too
 To maintain the
supreme quality of
the food
 To maintain higher
service standards
 To have an equality
policy in the
business
 Providing growth
and development
opportunities to the
staff members
Customer Relationships
 Offering efficient
after-sales services
 To give respect to
the feedbacks of the
customers
Customer Segments
 One who prefer diverse
cuisines
 Domestic people as
well as tourists that
come to the region
Key Resources
 The finances and the
capital will come
through short term
loans or from the
pocket of the owner of
the restaurant
Channels
 Online marketing
through Facebook as
well as by having toe
ups with tourist
companies
 Marketing also through
TV , radio and news
paper advertisements
Marketing
 Continue marketing activities as there are chances of increasing
competition as well as the place is also sensitive enough in respect
with tourism
Revenue Streams
 Through the bar
 Through the restaurant
Explanation:

The reason behind the selection of this research topic is that the hospitality sector is one of the sectors which have gained enormous success, growth
and boom in last few decades. There has been a significant rise in the number of restaurants, hotels and other hospitality services. In last few decades,
people have been more connected with outside food on various occasions as well as on various other days instead of preferring food at home.
Therefore, the increasing purchasing power and changing preferences of the individuals have resulted in the growth of hospitality industry and so the
business opportunities for the entrepreneurs are high in this sector. Therefore, because of the lucrative nature of this sector, I chose this research topic
(Leschke, 2013).

5. The business plan for a new business
5.1 Explain about the industry you choose
The one of the industries which has gained enormous success, growth and boom is the hospitality industry. There has been a significant rise in the
number of restaurants, hotels and other hospitality services in last few decades. The one key reason behind the growth of this industry is the
increasing rate of tourism as well as changing needs and preferences of the masses. In last few decades, people have been more connected with
outside food on various occasions as well as on various bother days instead of preferring food at home. Therefore, the increasing purchasing power
and changing preferences of the individuals have resulted in the growth of hospitality industry and so the business opportunities for the entrepreneurs.
5.2 Population base
The population base comprises of both women and men of age group 25 to 39 as it is largest percentage of the individuals which have a good
spending power. As well as, the individuals under this age group also comprises of the upper class employees so they are also the target customers of
the newly established restaurant. The new restaurant also focuses on the customers who are married as well as single as there are special
arrangements and preparation done for dinner dates as well as for celebrating some special events. And owing to the employees of these age group,
these people are more willing to spend money over good ambience, meal and quality experience with great value. The new restaurant will offer
services by perceiving the requirements of the customers so that there can be improvement in the services. The population base also comprises of
those who are walk-in customers that means out of them the maximum are the first time user only or those who rarely visit the restaurant.
5.3 Break even analysis
Fixed Cost: Liquor license cost, salaries and rent
Variable Cost: Food ingredient and supplement cost
Break Even Analysis
Monthly rent $4,500
Liquor license: Monthly renewal fee $1,000
Monthly salaries $24,000
Total $29,500

Contribution per customer $4.50
Breakeven point: per month: customer $6556
Breakeven point: per day: customer $220
The Breakeven point for the new restaurant is below the estimated sales that mean that the establishment is attractive from the context of investment
purpose.
5.4 VMO (Create new logo)
5.4.1 VMO
Vision
The vision of the restaurant is to have a successful establishment in Bangladesh and became of the first choice of the customers including the
domestic as well as the tourists for quality Philippines food and beverages.
Mission
The mission of the restaurant is to provide delicious and appetizing food and beverages to the domestic people as well as the tourists which came
from different regions of the world. The mission is that the food and the beverages must meet the standards of the original Philippines food, the
quality, taste and the freshness and must be offered with a level of creativity and uniqueness. It aims at providing the customers with the remarkable

services by the means of high level of professionalism, acquaintance, effectiveness, civility and warmth. It is also one of the aims of the restaurant to
offer a cooperative and rewarding environment to the employees so that they can be retained for a longer time period and support the growth of the
restaurant (Ban, 2012).
Objectives
The main aim and objective of the study is to have a successful business venture of a new restaurant in Bangladesh.
5.4.2 Logo
5.4.3 Slogan
Slogan for the new restaurant is: “A Philippines touch…”
5.4.4 Marketing budget
The overall marketing budget will be $100,000 which will be utilized in all the marketing activities. The complete utilization of te budget will
comprise of the following activities:
 Marketing through on-air channels
 Marketing suing internet
Other marketing techniques and strategies: There will also be used pull and push marketing strategy such as by the use of pull strategy, the
business will focus on motivating the customers to take the services of the restaurants by making them attract towards the products and services. It
will include strategies such as advertised sales promotions, word-of-mouth referrals and mass media promotion so that the customers can be

fascinated and pull to experience the services. In the push marketing strategy, the business will focus on taking the products directly to the customers
by the means of various strategies such as trade show promotions, point of sale displays and direct selling to the customers.
5.4.5 More business objectives
The other business objectives comprises of the following objectives:
 To have a better satisfaction of the needs of the customers by serving them with quality food
 To have increased revenues and significant global expansion
 To have lowered cost of labour with minimum expenses
 To have increased revenues and profits in the next three years
 To have strong market share and customer base
 To attract the domestic masses as well as the tourist with some unique kind of experiences of food and visit.
5.5 Operational plan
Activity Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8
Allocation of funds
License: Restaurant and Liquor
Floor finalization
Building
Interior
Other installations and fixture procurement
Designing of menu
printing work
Designing promotional and advertising activities
Organising of complementary event
Restaurant inaugration
All the operational activities will be divided in top three management of the business. There is a need to have high focus of all the members on the
quality of the services and the responsibilities must be divided equally as per the expertise and knowledge.

For the allocation of funds, license the main owner must be responsible. For the floor finalization and other building and interior and fixtures work,
there will be responsible the partner of the business and the remaining work comprises of designing, promotional activities and organizing of
complementary products the manager must take the responsibility of the same.
5.6 Development plan for 3yrs
Year 1 2 3
Activities
Initiating Sales
Increased Staff
Making Profits
Opening another branch
Restructuring of restaurant
Extending Services
5.7 Risk assessment
To assess the risk, there will be risk forecasting in respect with the market risks, competition risks, technology risks, management risks and financial
risks. The management risk will include assessment of competence of the human resource. The market risk will include assessment of economic
environment analysis and customer preference analysis. The financial risk will include assessment of the allocation of funds and cost of compliance
analysis. The technology risk will include assessment of the business processes and the new and innovative ways of services offered by the
restaurants (Armstrong and Taylor, 2014). Lastly in the competition risk there will include assessment of the already existing competitors, their
strategies and the customer loyalty programs. There will be analyzed all the risks and appropriate risk mitigation plan will be developed to attain long
term sustainability in the market.
5.8 Business sustainability (Critical success factors)
There is a huge significance of the critical success factors for any business in the present dynamic business environment. The hospitality sector is one
of the most sensitive business lines which experiences both failures as well as recognitions. There is a need to consider a number of critical success
factors to grow and develop any business. Following are some of those critical success factors which can impact the success of the new restaurant:

Resources and Capabilities
From the resources and capabilities point of view the critical success factors comprises of rate of employee turnover, workforce relationships, skills
and competence of staff, service levels, product quality, organisational culture, internal control, profitability of the business, financial capital and the
firm size.
Marketing
The key objective of marketing is to recognize the demand at an adequate time and satisfy the demand effectively. For the same, the restaurant
possesses the marketing competence, involvement of community and improved customer association. The role of pricing is significant in the success
of the restaurant and it is necessary that the restaurant must be emphasis on the concept of value delivery (Trkman, 2010).
Competitive factors
The critical success factors in respect with the competitive factors comprises of relevance of the product, competitive forces, competitive intensity
and restaurant density. The intensity of the market competition defines the success and sustainability of the venture in the market as if there is a high
competitive risk then it becomes extremely difficult for the new venture to sustain and achieve success. In the case of restaurant, there is also a vital
role of the competitive forces to analyze its success and growth in Bangladesh (Wheelen and Hunger, 2011).
Strategic choices
It includes firm’s value, competitive strategy including differentiation, target market, business concept, positioning strategy, business plan and
location of business (Ajmal, Helo and Kekäle, 2010).
All the above stated critical success factors must be taken care so that the business plan can be flourished.
5.9 Implementation plan
Activities Jan-
Feb
Mar-
Apr
May-
June
July-
Aug
Sep-
Oct
Nov-
Dec Jan-19
Filing of Patents
Registering business
listing target market
Applying for loans
Funding
Marketing Activities

Initiating Sales
Promotional Activities
Making Profits
5.10 Performance management – KPI
There are basically three key performance indicators which can help in the measurement of the efficiency and the effectiveness of the business plan:
 The overall percentage of revenue received from the restaurant
 The overall percentage of revenue received from the liquor section
 The rate of customers visit for the second time
5.11 Financial analysis
Investment
Start-up Funds Funds
Start-up expenses $275,500
Start-up assets $75,000
Total Funds needed $350,000
Projected Balance Sheet
Balance Sheet
Year 0 1 2 3
Assets
Fixed Assets
Building 0 0 0 0
Furniture 21,500 19,350 17,200 15,050
Vehicles 0 0 0 0
Plant & Machinery 0 0 0 0
Net Fixed Assets 21,500 19,350 17,200 15,050
Current assets
Stock 211,957 254,068 304,508 364,529
Debtors 0 310,183 392,398 496,421

Cash 170,000 885,353 1,907,233 3,113,020
Other-
Rent 9,000 54,000 59,400 65,340
Market survey cost 10,000
Other Preliminary
expenses
140,000
Sub Total 540,957 1,503,603 2,663,538 4,039,309
Current Liabilities
Taxation 420,733 431,092
Sub total 0 0 420,733 431,092
Total assets- Current
Lib.
562,457 1,522,953 2,260,005 3,623,267
Liabilities
Share Capital 50,500 50,500 50,500 50,500
Reserves 563,203 1,262,200 2,555,477
Total equity 50,500 613,703 1,312,700 2,605,977
Loans 300,000 300,000 200,000 100,000
Total 350,500 913,703 1,512,700 2,705,977

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