Future outlook and trends
For its outlook, BreadTalk planned for the China and regional market and rising food cost. This is the largest challenge for the Bakery business. BreadTalk is going to shorten the supply chain and buying in bulk globally for economies of scale. Shanghai is one of the example that BreadTalk have successfully piloted using frozen dough to arrest rising labour and rental costs while maintaining the quality of our products. This is to encourage that BreadTalk will explore the possibility of extending this initiative beyond Shanghai. The BreadTalk Transit model has also proven to be an efficient model for swift expansion and its potential we will be harnessed to expedite growth. For Market Trends, KFC, McDonald's, Long John Silver's and Pizza Hut were dominating most of the chains in the past in Singapore. However, trends have been changed for decades. Local Brands were replaced. BreadTalk controls 55% of Indonesia’s bakery market and it becomes giant franchises dominate the Southeast Asia region. (Fresin Fries,2012)
Analysis of competitors
BreadTalk operates in the highly competitive F&B industry which has close to no barriers to entry. Some of its competitors are established players in the bakery and confectionery industries and may have greater financial and marketing resources. The entry of new competitors into the same F&B segments or into the immediate areas around the group’s retail outlets may affect its earnings (CIMB Research Report,2009). Focusing on main competitors, the direct competitors of BreadTalk outlets are local names such as Four Leaves and My Bread (CIMB Research Report,2009).
Market segmentation
BreadTalk divides itself into three segments: bakery, food court and restaurant. The bakery segment is not only bakery products but it includes the business of manufacturing and retailing of all kinds of food also franchising. For the management and operation of food , drinks and drinks outlets are in