Fast Food and Subway Essay Example

align="justify">In this case, substitute attractiveness would depend on the buyer's willingness to substitute, meaning if the consumer is willing to buy a burger instead of a sandwich. The attractiveness will also depend on the relative price and reference of the substitutes.

Suppliers Since Subway is one of the largest franchises in the world, it should hold a considerable bargaining power in relation to its suppliers. It is able to set demands 45 on suppliers to comply with, and due to its many franchised restaurants, it can buy in large volumes which makes a volume discount a possibility.

Furthermore, there are plenty of suppliers within the food industry so it would not be a major problem for Subway to change supplier if deemed necessary. This serves to decrease the bargaining power of the suppliers even further.

Overall, suppliers are no direct wreath in any way since Subway in a large extent can dictate demands and threaten with switching to another supplier if they can't comply with the specific demands. The upside as a supplier, however, is that Subway needs to make sure that the potential suppliers can live up to ensure its food meets the highest quality and safety standards.

This means that would not be taken lightly for decision to switch a different supplier. Customers limited to the possibility of choosing other restaurant to satisfy their needs. If you are not satisfied with the option, you can choose another next.

This is the case since many suppliers of fast food exist. Resource type and firm capability. Resource Types Subway are consists two resource type of resources, Tangible and intangible. Subways chains are tangible resource that can be observed

and quantified.

It's the support operation and to expand the volume of Subway business.

In additional, Subway has occupied in largest chain to decentralized competitor's market sales that lead to the competitive advantage. However, intangible resources are the differences between the total values of the business going concern, difficult for the competitors o analyze and imitate. Subway operates by using franchise system in the franchisees concede varying amounts of autonomy to franchiser for the right exchange to using brand name and interest from the franchiser's extensive marketing.

The each franchise profits result is from the combined efforts of the franchiser and franchisee.

Firms Capabilities Subway's customer are placed on sturdy, handcrafted pedestals with create and implement media plans that are relevant to their collectedly effective. Subway are experienced and connected in the full range of media elements, including broadcast, signage, web and mobile to extend reach and impact , which means Subway can be bask in the benefits of well-connected industry relationships which know how to rapid manipulation, precisely target and execute.

Subway has different promotions and discounts are the primary strategy that steals customers' heart every day. SOOT of SUBWAY Strengths Weaknesses . Strengthened in size and number of stores. Variety of nutritious menu item and ingredients.

Franchisee start-up costs is low.

• Higher quality products and quick services
• Cheap and healthy in Interior design of the outlets looks

High employee remover rate.

• Services delivery is inconsistent from store to store

Opportunities Threats

• Increasing demand for healthy food

Expand product and service lines.

• Different customer habits and new customer groups.
• Improve franchisee relations to provide better information sources
• Trend towards healthy eating
• Competition with local fast food restaurant chains
• Exchange
  

rate fluctuations.

Setup prices war between competitors Recommendations An increasing number of health-conscious consumers are seeking natural; more customers even believe that Subways sandwiches still fresh in mind. I strongly suggest Subway should continue to maintain their superiority in the healthy image, unlike any other fast food restaurants as a 'Junk food provider'.

Subway can focus their serve food that consistently meets the highest quality and safety standards to ensure that the food serve is always fresh and sustainable produced. In my opinion, Subway franchisees must always follow the stringent policy in provides training to their staff on importance of food safety.

Its grounds for franchisee termination, if franchisees can't uphold the restaurant level in evaluated for compliance of policies of policies monthly. If not, this is a good chance to competitor for pulling down the Subway healthy image in the people's mind.

Subway also can do some research to the different countries, setup different menu as following by different environment and cultures. However, Subway had a clear vision become the leading choice for people seeking quick and nutritious meals. I agree that Subway should continue to grow with their franchising strategies and the passion for delighting customer by serving fresh, delicious and faster. Conclusion Subway expansion as a simple sandwich shop but has grown becomes largest quick arrive restaurant franchise around the world which passed in 49 years.