Business Report: Analyzing the Transformation of Rustic Fig Café for Competitive Advantage

Running Head: BUSINESS REPORT
Business Report
Name of the Student
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Table of Contents
Introduction......................................................................................................................................2
Discussion........................................................................................................................................3
Overview of the café................................................................................................................3
The current operations.............................................................................................................3
Strengths..................................................................................................................................3
Weaknesses..............................................................................................................................4
Procedures for accomplishing transformation.........................................................................5
The gaps to be bridged.............................................................................................................8
Approaches to be adopted for the complete transformation....................................................9
Conclusion.....................................................................................................................................11
References......................................................................................................................................13

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Introduction
In the competitive market, every company follows a specific business model for the
growth and development of their organization and gain the competitive advantage over their
market rivals. A business model is the company’s plan for generating the revenues a make a
profit in the industry (Xie and Chou 2017). It especially elaborates the product or services relate
to the manufacturing in the market along with sketching the expenses it might incur. In specific
marketplace, a business model is the step –by-step layout of the business operations. Taken for
example, the business model of a café or restaurant is completely different than the business
model of an online operating company. In order to form a good business model, one needs to
have the knowledge of the value proposition (Roy 2015). The value proposition is the
straightforward statement of the company offerings which is worth value of the potential
customers which differentiates it from the other market dealers. There are many types of
business models such as the brick-and –mortar, e-commerce, online marketplace, brick –and –
clicks, retailer and manufacturer and many others. In order to comply with the changing business
environment and global market, organizations are often found to be transforming their business
models (Zohdy and Rakha 2016).
The method of establishing innovative process in the business model varies company
wise. There are many challenges too of implementing a new business model such as
organizational inertia, fear of cannibalization, resistance to change and also the risk aversion.
The current report will deal with the Rustic Fig Café situated in Australia. This restaurant is on
the verge of transforming their business from a rustic style café into an exquisite fine dining

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restaurant. The purpose of the report is to determine the operational and strategic measures
required to the café in order to address some of the vital issues while executing the overall
transformation. The report will elaborate the current operations of the café along with its
strengths and weaknesses. It will then propose the actions which are needed for the business to
accomplish the transformation. It will also analyze the gaps to be bridged and conclude by giving
an overview of the entire report.
Discussion
Overview of the café
It is a Lebanese café that serves breakfast, drinks and snacks situated in Adelaide,
Australia. The café has been holding the legacy of the flavors of the eastern suburb of Erindale.
The Rustic Fig Café is known for the casual relaxing friendly atmosphere that helps the visitors
relish the taste of Lebanese cuisine. They also offer vegan items along with a variety of meat
and fish dishes. The owners of the café are Naji and Erica Rizk who opened the café after
spending and experiment the flavors of Lebanon for nineteen years. As found from the reviews
of the customers, the menu card they serve consists of a detailed information of every dish so
that the customers feel free and do not hesitate before ordering (Therusticfigcafe.com. 2019).
The café is also loved by the visitors due to the affordable price range of the food and beverage
they serve. The Café has opened just a year ago and has become a preferable choice for the
people who love exploring the different flavors and dishes.
The current operations
The Rustic Fig Café is a café that sells the affordable range of products to a casual bit
upscale market. Among the well-known dishes of this café, the zaatar extra, falafel platter, lamb

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kafta, Lebanese dips are the most favored. It also provides other baked dishes associated with
the breakfast. It keeps a selected range of out –of –town newspapers to attract the customers. The
food and beverage services of the café is personally observed by the owners and the guests are
supported with all necessary help. The competitors of the café are “The Flying Fig “, “The
Coffee Club Café” and “ My Kingdom For a Horse” mostly. The raw- materials are taken from
the local suppliers to maintain the freshness of the food. It also targets and maintains a net profit
of minimum of 14 % by the third year. It aims at cultivating monthly sales of $ 167,000 by the
end of the fourth year (Therusticfigcafe.com 2019). the mission of the cafe is to establish the
rustic favors of Lebanon in the form of a fine dining restaurant.
It is dedicated at providing better quality food, coffee and beverage products no less than
a five –star restaurant. It concentrates at earning the position of becoming the “destination” of
choice to most of the Adelaide residents and outside too (Zhou, Fu and Yang 2016). The
transformation from a small rustic style café into an exquisite fine dining restaurant will help it to
provide a complete and high quality evening experience for those people who are searching for
the same. The transformation will enable not only the patrons to dine and receive comfort but it
will be open for people of all class and all race. People will have the opportunity to enjoy the
extensive range of dishes and enjoy the entertainment shows every organized every evening
(Zendzian, Carter and Jones 2017). The focus of the café is quite simple. It desires to provide a
sensual, sophisticated but casual dining experience to the Australian residents. It will bring
about those dishes in the menu which are unavailable in the entire Adelaide.
Strengths
The strengths of the café are the well qualified and well trained team who have sufficient
experience in managing the customers and serving the food. There is undoubtedly a wide range

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of Lebanese food along with the Italian pizza. It helps the customers to find the dish of their
choice. The quality of the product is always kept high and there is a strong relationship with the
suppliers who supply the raw materials. It helps the café to receive on time delivery of products
at affordable range. The stocks in the kitchen are also maintained and refilled before running out.
It further helps to retain their good will and customers never return dissatisfied (Dash and Bajpai
2015). The selection of menu is done with extra care experimenting the taste of the Australian
people. The location is another big strength of the café as it attracts the tourists too. There is no
other such restaurant nearby who serve such Lebanese food. The flexible timing of the café has
made it more favorable to people especially to the youngsters. It is open from 9 am – 11 pm on
weekdays and 9 am – 12 am on the weekends. The café welcomes all including the family,
friends, couple, children and others too. The customer reception and management is smooth and
swift. It plays the traditional Lebanese music at the evening time and also affords daily
newspaper for those who desire to relish the morning breakfast along with the news headlines.
Overall, it is a comfortable atmosphere and people want to visit it several times (Hora, Bouwma-
Gearhart and Park 2017).
Weaknesses
The weaknesses of the café are comparably lesser than the strengths. The business was
started having known the target market. Hence, there is no issue with the customers. The
products are also designed according to the customer’s preferences. Among the very few
weaknesses, one of the biggest weakness is lack of space (Rejikumar et al. 2018). It is a small
restaurant /café and do not have large space for arranging other events. There is space for
maximum of 50 people at a time. Hence, the café is aiming at expanding into an exquisite dining
restaurant along with the support of proper investors and financers. The second weakness is that