Case 2 Chapter 19
Created by : 1. Al Farid Mustofa 2. Ikhwan Bayu Adhi Setiawan 3. Jet Nendra 4. Muhammad Ibrahim 5. Nadya Oktaviani
BAKRIE UNIVERSITY
MANAGEMENT
2012
A Fast Way to A Fast Food
According to a recent survey, the UK is particularly fond of fast food. Many people turn to fast food as it is quick, convenient, and relatively cheap even though there are many concerns over public health and obesity. With a large number of fast food chains available, how do likes of McDonald’s, Subway, and Pret. A merger maintain their market share at a time when people are cutting back on their spending?
In the 10 largest UK cities, the number of fast-food outlets increased by 8,2 percent, to 1.456 in 2009 (the highest growth occurred in London, Edinburgh, and Glasgow). Among the UK’s biggest chains, Subway grew faster than others. The number of Subway restaurants increased by 25,9 percent to 734 in 2009. In the same year, Domino’s pizza (DPZ) increased its outlets by 19,8 percent to 260 and E A T increased its outlets by 17,8 percent to 86. The growth of these chains is considered as a success particularly when competing against other giant chains such as McDonald’s, Burger King, KFC, and Wimpy’s. Although fast food chains provide quick and efficient service, their operation models are different.
In the traditional model, like Mc Donald’s, customers enter the restaurant, study the menu panels for a short period, and stand in the shortest line (behind the many counters). When the customer reaches the front of the line, he or she places an order, pays at the register, and collects the food within few minutes. When, a customer requests a nonstandard item, for example a burger with no tomatoes or extra bacon and cheese, the order is not available in the prestocked food area. The counterperson calls the order in to the production area. The item is then prepared to order as a priority. The waiting time is a bit