Taco Times Marketing Case Study

Running Head: TACO TIMES 1
Taco Times Marketing Case Study
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Date

TACO TIMES 2
Table of Contents
Part 1..........................................................................................................................................................3
Question 1: Situation Analysis..............................................................................................................3
Question 2: Marketing Concept...........................................................................................................3
Question 3: Strengths, Weaknesses, Opportunities, and Threats......................................................3
Question 4: Research Analysis..............................................................................................................4
Question 5: Competitive Assessment....................................................................................................4
Question 6: The Four P’s......................................................................................................................5
Question 7: Product Life Cycle.............................................................................................................6
Question 8: Comments and Recommendation....................................................................................7
Part 2..........................................................................................................................................................8
Question 1: Sales Promotion.................................................................................................................8
Question 2: Advertising.........................................................................................................................8
Question 3: Social Responsible Marketing..........................................................................................8
Question 4: Social Media.......................................................................................................................9
Question 5: Personal Selling.................................................................................................................9
References................................................................................................................................................10

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Part 1.
Question 1: Situation Analysis
Taco Time’s present situation is characterized by a sudden need for growth and market
penetration. Currently, it is operating as a Quick service restaurant (QSR) and it needs to
transform to a fast-casual restaurant offering authentic Mexican food. Fast-casual restaurants are
growing rapidly with some of the major fast-food franchises opening up fast casual outlets.
However, the presence of these competitors is a major challenge to the organization’s market
growth strategy (Hofer, Cantor, & Dai, 2012). Taco Time’s management believes that Cantinas
will be a major key in penetrating the urban market.
Question 2: Marketing Concept
The marketing concept is the philosophy that firms should analyze the customer’s needs and then
satisfy them better than the competitors (Gamble, Gilmore, McCartan-Quinn, & Durkan, 2011).
Taco Time has used the product concept by offering its casita platter when customers claimed
that foods served on a plate are better. Secondly, it has utilized the selling concept by highly
promoting its products through radio advertisement. For example the “Girl at the party” 30
seconds spot. Thirdly, it has utilized the marketing concept by focusing on offering Mexican
foods which are highly demanded by customers.
Question 3: Strengths, Weaknesses, Opportunities, and Threats
The major strengths of Taco Time are; competent management team which is able to make good
decisions. Secondly, a strong product promotion campaign through the use of radio spots.
Thirdly, market research capabilities which enable it to identify customers’ needs (Helms &

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Nixon, 2010). Fourth, limited competition in offering Mexican food since only Taco Bell
restaurant offers Mexican food. The major weaknesses include; low market penetration rate
which makes it be less popular than its competitor Taco Bell. Secondly, limited brand awareness
as a Mexican food restaurant, this makes it not be distinguished among other quick service
restaurants.
The major opportunities include; transformation from a quick-service restaurant to a fast-casual
restaurant. This will make it to easily meet the needs of the customers. Secondly, the use of
cantinas to increase market penetration. Third, product diversification which will enable it to
offer a wide range of Mexican foods. The major threats include; the threat of new entrants who
will bring new competition. Secondly, the bargaining power of customers which will limit its
ability to maximize returns (Helms & Nixon, 2010).
Question 4: Research Analysis
The company used a consumer focus group technique in its market research. This technique is
suitable since it provides direct customers’ view (Rollins, Bellenger, & Johnston, 2012). The
results obtained from the research include; Mexican food, sunshine, and tequila were among the
most desired things whenever customers thought of Mexico. Secondly, it was discovered that
food served on a plate rather than wrapped wax paper was more authentic and desirable. The
management used the research result to promote the company’s casita platter and also rebranded
and repositioned Taco Time as a Mexican restaurant serving authentic food.
Question 5: Competitive Assessment
The three major competitors are Taco Bell, McDonald, and Wendy. Taco Bell is the greatest
competitor since it offers Mexican foods just like Taco Time does. Taco Bell is also more