Innovation in the UK Fast Food Industry: A Research Report on Nando's

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Analyse the key trends that driving innovation in UK fast food
industry: A study of Nando’s UK
Research Proposal on Innovation and Invention
Student Name:
Student ID:
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Abstract
Innovation has influenced every industry all around the world and has become important to
meet the changing tastes and preferences of the people or customers. Any organization cannot
grow or develop without investing on innovation. However, it is necessary for organizations
to do proper market research before investing on innovation such that the changing needs and
preferences of the consumers can be met effectively and it can attract more customers. This
will assist the organizations to increase its profit margin thereby increasing its brand value.
Innovations foster the growth of an association and change the trend of the market.
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Table of Contents
1. Introduction............................................................................................................................4
1.1 Background to the Study......................................................................................................4
1.2 Research Aim.......................................................................................................................4
1.3 Research Objectives.............................................................................................................4
1.4 Research Questions..............................................................................................................5
1.5 Rational of the Study............................................................................................................5
1.6 Scope of the Study...............................................................................................................6
1.7 Literature Review.................................................................................................................6
1.8 Research Methodology.........................................................................................................7
1.9 Project Planning...................................................................................................................8
1.10 Ethical Issues......................................................................................................................9
Reference List..........................................................................................................................10
Appendix..................................................................................................................................11
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1. Introduction
Innovation is defined as the application of new ideas or solutions such that the requirements
are met effectively in an enhanced way. Innovation has favourable impact in every
organization in any industry. Increase in consciousness of people regarding food and diet has
compelled the food industry to implement changes and adopt innovation in the products that
it offers to the customers. The chefs continuously try to create new recipes such that more
customers get attracted and the sales of their organization increases (Jackson and Viehoff,
2016). Nando’s is renowned fast food restaurant chain that has its branches in several
countries. The organization is well-known for the finger licking dishes it serves and the ways
they continuously innovate new recipes.
1.1 Background to the Study
Innovation plays the key role in every organization and no association can prosper or grow if
it does not offer something new to its customers. The tastes and preferences of customers
change on a frequent basis therefore to hold on the consumers it is necessary for the food
industry to invest on innovation. The fast food industry has embraced innovation with open
hands such that it does not lose its customers and can keep flourishing.
1.2 Research Aim
The aim behind the thesis performed is to find out the latest trends in the fast food industry
that is ruling the market. The research has been performed by considering Nando’s and
performing a detailed analysis of its innovations and creativity.
1.3 Research Objectives
The objectives that have been developed to conduct a detailed research on the given topic are:
 To determine the importance of innovation in the food industry
 To find out the innovations that have been adopted by Nando’s to meet the changing
tastes and preferences of the customers
 To figure out the issues that Nando’s is facing to deal with the changing treats and
preferences of the customers
 To recommend suitable measures such that Nando’s can effectively deal with the
issues or challenges that it is facing
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1.4 Research Questions
The questions that have been developed to perform proper investigation on the given topic
are:
 What is the importance of innovation in the food industry?
 What are innovative measures adopted by Nando’s to deal with the changing needs
and tastes of the customers?
 Which kind of issues Nando’s is facing to deal with the modifying needs and tastes of
the customers?
 What measures can be taken by Nando’s in order to deal with the issues it is facing?
1.5 Rational of the Study
What is the issue?
The tastes and preferences of the customers are changing regularly. Presently, it has been
noticed that people have become more health conscious therefore this has impacted the fast
food industry adversely. It has decreased the sales of the fast food industry. Nowadays,
people prefer healthier lifestyle with healthy food and prefer to intake food that has less
carbohydrate content, therefore it has become necessary for the fast food industry to innovate
and adopt such measures such that the food offered to the consumers can be made healthier
with less carbohydrate content.
Why is the issue?
The issue has aroused because of the shift in the tastes and preferences of the people. The
preferences of the customers have shifted to healthier lifestyle thus it has become mandatory
for the fast food industry to deal with the changes in tastes of the customers.
What is the issue now?
Presently the preference of the consumers has shifted and they prefer healthy food as well as
lifestyle. This has decreased the demand of fast food manifold thereby decreasing the sales
and profit margin of the organizations belonging to the fast food industry. This has put
immense pressure on the fast food industry to concentrate and invest on innovation.
What light this project will shed upon?
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This research project throws light on the importance of innovation in the fast food industry
and the forces that has driven innovation in the specified sector. The issues that the given
sector is facing have also been specified keeping in consideration the renowned organization,
Nando’s. The ways through which it can overcome the issues have also been illustrated.
1.6 Scope of the Study
This research project will aid the management of the food industry to realise the importance
of innovation and will emphasize them to invest on innovation. In this thesis, the issues that
the organizations are facing and the ways through which it can deal with the issues has also
been described.
1.7 Literature Review
Analysis of innovation in the food industry
According to Trott and Simms (2017), innovation has left no sector or industry untouched.
The importance of innovation in the food industry was realised in early 1980s. Low and
medium technology or LMT industries recognized the importance of innovation and
emphasized on the innovation or encouraged creativity in their operation. In the food industry
the innovations that take place are generally not disruptive therefore it is difficult to adopt
innovative measures in this industry so as to attract more customers and increase the revenue
earned by the organization in this sector (Reardon et al., 2018).
Potential of research on innovation in the food industry
The packaged food industry in the United Kingdom, has adopted innovation such that they
can gain competitive edge over other organizations in the market. According to Khan et al.
(2016), proper research to emphasize on innovation the food industry is of utmost importance
such that the sales of organizations based in the food industry can be increased and the
customer base can be increased. Proper formulation and implementation of policies with apt
focus on food and health will aids the organizations to adopt new trends and innovate new
features (Bayona-Saez et al., 2017).
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Literature Gap
The statistics that has been collected to investigate the topic are not so reliable and cannot be
used for considering or analysing the status of innovation in other fast food restaurants
because the data has been collected by surveying the employees of Nando’s only.
1.8 Research Methodology
Research methodology is defined as the procedures that are adopted for collecting data, its
investigation, explanation and inference such that the problems or issues can be addressed
appropriately. Quantitative research methodology has been used in the given research project
as that data has been gathered by conducting surveys and the statistics can be measured. This
method aids the researcher to evaluate and present the data effectively.
Research Philosophy
Research philosophy is concerned with the origin, nature, and the growth of knowledge or
facts. It aids the research to collect and present the data suitably. In this thesis, positivism
approach has been used which emphasizes on structured and large models of data or
statistics. This process of measurement is generally quantitative however qualitative
methodology can also be used (Research-Methodology.net, 2019B).
Research Approach
Research approach is defined as the strategies and steps that are adopted by the researcher to
collect detailed information on a given topic, its evaluation and its appropriate inference. It is
generally based on the nature of the issues of the topic or problem. Deductive approach has
been used in this thesis, that is, the data from the journals and articles that have been
published before has been interpreted.
Research Design
Research design refers to the strategy that is adopted by the researcher to incorporate various
elements of investigation in a proper way such that the issues can be addressed effectively.
Exploratory design has been used in this thesis, as the data has been collected without
following a strict method or procedure and the investigation has been done in a generalised
way (Research-Methodology.net, 2019C).
Data collection method
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The process of gathering statistics and information in order to conduct a meaningful
investigation on a particular topic is known as data collection method. The researcher has
used both primary and secondary sources in order to collect apt data for the research. This
method of collecting data from both sources is termed as missed method of data collection.
Sampling technique
Sampling is defined as the process of selecting particular elements from a population such
that the information so collected from them can be incorporated in investigation or study. In
this thesis, probability-sampling technique has been used and the data has been collected
through random sampling (Research-Methodology.net, 2019A). To collect apt data, 100
employees of Nando’s UK has been interviewed or interrogated.
1.9 Project Planning
Activities 4th Feb-
17th Feb
18th Feb
3th Mar
4th Mar-
24th Mar
25th
Mar-14th
Apr
15th
Apr-6th
May
7th May-
24th May
Select the topic of
research or
investigation
Gather apt data or
statistics on the selected
topic
Propose a draft for the
research proposal
Literature Review
Devise ways to complete
the project
Methods of
investigation are
developed
Analyse the data
Conclude the research
proposal
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Submission of the file
Table 1: Gantt chart
(Source: Created by the learner)
1.10 Ethical Issues
The data that has been collected to complete the project have been kept private and
confidential. The identity of the applicants has not been revealed as per the Data Protection
Act (2018). No applicant was forced to take part in the research and was given full right or
independence to back out as per their choice.
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Reference List
Bayona-Saez, C., Cruz-Cázares, C., García-Marco, T. and Sánchez García, M., 2017. Open
innovation in the food and beverage industry. Management Decision, 55(3), pp.526-546.
Jackson, P. and Viehoff, V., 2016. Reframing convenience food. Appetite, 98, pp.1-11.
Khan, S.S., Timotijevic, L., Newton, R., Coutinho, D., Llerena, J.L., Ortega, S., Benighaus,
L., Hofmaier, C., Xhaferri, Z., de Boer, A. and Urban, C., 2016. The framing of innovation
among European research funding actors: Assessing the potential for ‘responsible research
and innovation’in the food and health domain. Food Policy, 62, pp.78-87.
Reardon, T., Echeverría, R., Berdegué, J., Minten, B., Liverpool-Tasie, S., Tschirley, D. and
Zilberman, D., 2018. Rapid transformation of food systems in developing regions:
Highlighting the role of agricultural research & innovations. Agricultural Systems.
Research-Methodology.net (2019A). Sampling in Primary Data Collection. [online]
Available at: https://research-methodology.net/sampling-in-primary-data-collection/
[Accessed 26 Feb. 2019].
Research-Methodology.net (2019B). Positivism - Research Methodology. [online] Available
at: https://research-methodology.net/research-philosophy/positivism/ [Accessed 26 Feb.
2019].
Research-Methodology.net (2019C). Exploratory Research - Research-Methodology. [online]
Available at: https://research-methodology.net/research-methodology/research-design/
exploratory-research/ [Accessed 26 Feb. 2019].
Trott, P. and Simms, C., 2017. An examination of product innovation in low-and medium-
technology industries: Cases from the UK packaged food sector. Research Policy, 46(3),
pp.605-623.
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Appendix
Q1. How strongly do you agree innovation is important to increase the profitability of
an organization?
 Strongly agree
 Agree
 Neutral
 Disagree
 Strongly disagree
Q2. What are the latest trends that are taking place in the food industry in UK?
 Food for medicinal purpose
 Meat reduction
 Transformative technology
Q3. Has your organization adopted any sort of digital technology to enhance customer
service?
 Yes
 No
 Maybe
Q4. To what extend you agree that the organizations like KFC and Mc Donald’s which
serve healthy food are a threat for your organization?
 Strongly agree
 Agree
 Neutral
 Disagree
 Strongly disagree
Q5. What are the promotional activities your organization has undertaken to increase
its sales?
 A tour of the kitchen that lets them know the methods used
 Games with remunerations
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 Food sampling with remunerations
 Tutorials of the recipes
Q6. Do you think that the shift in the preferences of the customers towards healthy food
will decrease the profitability of your organization?
 Yes
 No
 Indifferent
Q7.Which factors have proved to be a threat for the fast food industry nowadays?
 Rise of organic products
 People have become health conscious
 Anti sugar movement
 Innovation cycle of products is slow
Q8. Do you contribute in the decisions the management of your organization makes to
boost innovation in its products?
 Yes
 No
 Indifferent
Q9.What are the problems you face while promoting your organization’s food products
among the customers?
 Claims about stuffing
 Demographic location
 Brand name
Q10. What are the technologies your organization is adopting to increase its customer
base?
 Online food delivery
 Blockchain technology
 Virtual reality
 AI powered robots
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