Spice Room Restaurant Expansion Plan

This assignment analyzes the potential expansion of the Spice Room restaurant into the Sydney market. It examines factors influencing customer satisfaction, such as food quality, service, and promotional activities. The analysis also considers competitive challenges and recommends strategies for successful expansion, including market research, feedback mechanisms, and targeted promotions.

Running head: INTEGRATED BUSINESS MANAGEMENT PROJECT
Integrated Business Management Project
Name of the student:
Name of the university:
Author note:

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Executive summary:
This report discusses the overall process and the implementation for the business expansion. This
paper recommends few aspects that need consideration before or along with the expansion.
This paper will highlight in what way the restaurant will gain more customer attraction and will
be able to stand up in the competitive market as well. Sydney has many Indian restaurants and to
stay in the market by having increasing customers the restaurant needs a planning.

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Table of Contents
Introduction:....................................................................................................................................3
Background of the restaurant:..........................................................................................................3
Problems faced by the restaurant:....................................................................................................4
Discussion:.......................................................................................................................................4
Recommendation:............................................................................................................................5
Conclusion:......................................................................................................................................6
References:......................................................................................................................................7

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Introduction:
The Spice Room is an Indian restaurant located in Sydney. This restaurant is set in up in a
fully Indian concept and though the owner of the does not live there anymore but still the
restaurant has memories and possessions of royal lifestyle. This restaurant is famous for serving
purely Indian food and the spices added to the foods are prepared with great care (Symons,
2013). Very few restaurant get popularity like this restaurant in their first few days. This
restaurant has transformed the popularity of Indian street food to something the Australian
people admire. This restaurant has made the street food a must try for the people living there
(Jochim, Ottenbacher & Harrington, 2015).
Background of the restaurant:
The expansion must include renovating of the place of the restaurant so that it can
transform to an innovative and interesting place (Dupont, 2014). This will increase the customer
attraction and the result of which will be the increase in profit. Before promoting the plan for
expansion, the restaurant must learn about the expenditure and cost that they will have to bear
along with having idea about the existing competition of the market. Discussing about the
expansion of restaurant business in Sydney will help to understand the factors that are necessary
to keep in record for the expansion. Many components contribute to the increase of profit by
evaluating the customer behaviour. There are some recommendations, which will be of help
during the execution of the expansion process. According to research, a large number of
restaurant businesses face many problems in the first few years of their starting. Expanding a
business needs the innovative idea that will be commenced through the expansion, the planning
of the expansion, the implementing of the idea and the regulatory framework and lastly, the

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contacts (Assaf & Barros, 2013). Restaurant business must have a structure and this restaurant
already has one hence to change the present image and setting a new one will be tough for the
restaurant. However, before commencing the expansion, the restaurant must need to focus on the
type of business they want to perform further. It can be possible that the amount of capital cost
for the expansion is not affordable by the restaurant (Symons, 2013).
Problems faced by the restaurant:
The restaurant after adapting some innovative ideas in their business can lose its old and
existing customers because the restaurant cannot be sure that the customers will like the new
ambience as they like the old one. There will be another problem of capital as expanding a
business is similar to opening a new business, which needs a lot of capital. The other problem is
the present competition of the market. Another problem faced by the business is that of the
customer preference. Food quality will change when the customers are more, this is because the
restaurant will face problem in handling the orders of large number of customers at a time
(Hogben & O'Callaghan, 2014). The restaurant also has to focus on the matter of employment
because when their services are expanded there will be need of extra work force (Taylor, 2015).
The restaurant can face the problem of timings after the expansion and for this, they have to
prefer to timing that even the customers prefer them.
Discussion:
This restaurant is a very preferable one for all the Indian people living there and they love the
taste of the food that ‘The Spice Room’ offers them. Apart from the food, the customers also like
the services that they experience in the restaurant. The customers are in love with the ambience,
service, food quality and environment that they get from the restaurant. The restaurant is one of

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the most famous restaurants in Sydney and the speciality of this particular restaurant is that it has
still kept the Indian history alive in its walls and all the other decorations. If this restaurant
expands, they will not face any loss in fact they will truly experience the fame and increase in
sales (Dupont, 2014). The customers of The Spice Room restaurant know that the restaurant has
been loyal to them over the years and that is why the innovative idea that the management of the
restaurant adapts will not be unattractive for them. The main aim behind the expansion is the
increase of profit and the increase in customer access. The restaurant can face many more
problems but a proper planning and execution will provide the restaurant with an opportunity to
trade freely (Dupont, 2014). Planning is very important for every business and for restaurant
business planning starts with customers and ends at customers. The Spice Room has to aim a
certain range of customers before they start expanding their business. The innovation can be in
renovating the restaurant and giving it a new look, though it cannot be surely said that the
customers will be happy with the look but innovation and change is good and as the restaurant
has already kept the same decorations, new decorations will attract the new customers. The
implementation of this customer management process will result in better business for the
restaurant (Assaf & Barros, 2013).
Research findings:
The expansion of the Spice Room in Sydney market would be opportune for the business
in terms of developing the customer base. The survey result clarifies that Spice Room requires
paying attention more on these factors since these determine the satisfactory rates of the
customers. Reaching to the level of customer satisfaction would help the company to gain more
profitability for the future run. The company requires paying attention to the quality parameter of
the foods. The high quality food would be creating the significant impact on the customers’

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behaviour for the repeat visits. It can be assumed that Spice Room may face the competitive
challenges from these food chains. Therefore, it is essential for the company to gather the
extensive knowledge about the market preferences for strengthening the sustainable position.
Spice Room requires concentrating on undertaking the effective promotional activities that
would gather the attention of the customers towards the restaurants. In such cases, selecting the
relevant promotional medium is essential.
Recommendation:
It is recommended that for expanding their business and increasing their profit,
 The Spice Room needs to update their services and interact with their customers.
 They can also have an option of feedback for the customers, who will help the restaurant
have the record of how to serve the customers and what are the requirements of the
customers from the restaurant.
 The restaurant is a famous one but when it comes to expansion the restaurant have to
keep an idea about which place will be convenient for the customers so that many
customers visit the restaurant and this will increase the sales of the restaurant.
 Analysis of the market is very important part of the restaurant expansion business
(Koutroumanis, Alexakis & Dastoor, 2015).
Conclusion:
From the above it can be concluded that expanding the restaurant will need consideration
of many key points. Tackling of the overall problems that may arise at the time of expansion will
provide the restaurant a chance to expand their services and increase their profit. This paper has

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broadly covered and discussed all the concepts required for the expansion of the restaurant
business and highlighted the required process in which the expansion may take place.

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References:
Assaf, A. G., & Barros, C. P. (2013). A global benchmarking of the hotel industry. Tourism
Economics, 19(4), 811-821.
Dupont, M. J. (2014). It's Not the Serve, But the Return.
Hogben, P., & O'Callaghan, J. (2014). Leisure Space: The Transformation of Sydney, 1945-
1970. NewSouth.
Jochim, T., Ottenbacher, M. C., & Harrington, R. J. (2015). What and how are firms in the
quick-service restaurant industry reporting on corporate social responsibility?. Journal of
Foodservice Business Research, 18(3), 258-286.
Symons, M. (2013). The rise of the restaurant and the fate of hospitality. International Journal of
Contemporary Hospitality Management, 25(2), 247-263.
Taylor, E. J. (2015). Fast food planning conflicts in Victoria 1969–2012: is every unhappy
family restaurant unhappy in its own way?. Australian Planner, 52(2), 114-126.