Java Lounge Case – Problems and Opportunities Essay Example

bars in the country.

Despite, the presence of an international market, interest fee loans, high and abundant oil resources, corruption free and the presence of stable legal system made the country ideal for the business.Situational AnalysisS.W.O.T. AnalysisA. StrengthsIncreasing the younger population with the lounges. The Technology, adaptability to local culture, flexible management, the unique work experience at the java lounge.B. WeaknessesThe Java product prices, logo conflicts with other companies, lack of advertisement for these Java bars.

Opportunities

An opportunity is the globalization and high chances of expansion in the market. Many consumers of the java lounge market are becoming brand conscious. This often gives companies the opportunity to get an increased market share in this industry.

As a result, this would increase the number of people who want to enjoy Western-style servings. There are also, saving opportunities, with the increase in growth in the coffee market and the emergence of products during the process of adaptation. The increase product offering and expansion in the retail operations (Sohail, 2005).

Threats

The threats are the increased competition, prohibited foreign brands due to cultural considerations, and there is also growth in poverty as compared developed countries present across the world.

There is a decrease in entertainment, and often there is constant pressure. The reduced time for socialization might make the staff less productive in the work environment. There is and increase competition from McDonald, KFC, and Starbucks, recessions, and downturn in the economy. Lastly, there may be supply conflicts, which would involve raising prices for the food items and saturated market.

Alternative Courses of Action

An alternate course of action could be to create a separate entrance for the males visiting the lounge without women. Secondly, the

company could accommodate the layout of the bar in such a way that is in line with the Saudi laws. Lastly, provide two shifts in the bar. One for male and other for females. There should be an arranged space for saying prayers.

This would, in turn, increase the marketing and promotions to attract the Saudi teenagers and youth.Recommended Course of ActionI would recommend the companies to abide by the Saudi religion and standards of the local customs. The most important course of action for sustainability of Java lounge would be in offering separate space for the male and females in the Saudi Arabian culture. Also offering places for the drivers of these women that often visit the restaurant. There should be procedures, to ensure the religion standards are being met through shutting off the business during the pray hours. There should be a standard in establishing that men that come without the women at the daytime set on the upper floor.

However, have both floors should open for the families in the evening.

Justification of Recommended Course

These recommendations would help the businesses to expand. Even establish that businesses want to preserve the ancient customs that are popular in the country and gain more trust in the eyes of consumers. It will lastly, maximize the effectiveness the company may require for operating in the dynamic economy and complex culturally diverse country.