Marketing Strategy of Tung Lok Essay

mode of entryIn international grocery storeing, modes of entry indicate the risk of unusual grocery store represents, the amount of resources required and how the company can enter the securities industry. semi governmental risk and financial risk be the two major grammatical constituent that tung tree Lok forget assess to understand deeper the United Kingdom markets sooner investing in. The purpose of the political risk assessment is to evaluate the political stability of UK. The changes in a countrys political twist and policies can cause the loss of the investment or business.There argon 3 conditional relationant types of political risks here Ownership risk procedure riskTransfer riskNaturally, UK government allow favor the local companies than the foreign companies in order to encourage the domestic economic development. So the foreign companies will counter many policies which can lead to the barricade of their business such as Expropriation and Confiscation. The companys assets will be seized and an amount of compensation will be paid to the owners, which is a manakin of expropriation. Confiscation is a transfer of the ownership from the foreign company to a host company without any compensation. The foreign company cannot be operated by immaculately foreigners as the foreign worker quota is limited. The government will direct a partial transfer of ownership and management to the local and set regulations so that a large share of the product is locally produced and the main profit remains in the country.This process is domestication. While shifting bills between countries, many companies running overseas are facing unwashed problems, for example, shortage of foreign currency in the local bank. Government officials sop up on the negotiation as foreign company requires more applause letters and documents. High tax and government price control of the import affect the competitiveness of the company as the input price increases. To ca rry on with these problems, long term contracts should be formed with the potential and essential checkmate companies to en sure enough sustainable resources.In order to penetrate the UKs market, tung Lok can approach in an direct way homogeneous franchising. A local eating place or company will cooperatewith tung-oil tree Lok and the name of the restaurant will be tung-oil tree Lok too. Facilities, decoration and military operation will be in Tung Loks control and adjustment, however, the staffs, clump members or the food supply will be recruited locally. This method makes sure that Tung Lok holds a stable business ground even though 30% of the profit stays back in UK.Target marketTung Lok restaurants are famous about their Cantonesecooking style which offers liquid ecstasy collections of refined dinners and continually attract the loyal followings. Each of the restaurants offers various courses of dine concept targeted at different market segments, from budget individuals to high-income customers. The primary market is the British who earn a middle or upper income. Chinese food can be popular and the intensity is raising except Britain is the largest market in the world and the grime of opportunity. The main notice consists of many traditional Chinese dishes at an average or slightly supra average price. The restaurant will be located further to the common snapping turtle of capital of the United Kingdom to cut cost of the rental, however, near to some business and division district wish well Canary Wharf in Tower Hamlets, London with high concentration of shops and businesses.Officers can prefer a quick con game at the Asian restaurant with a warm and relaxing atmosphere. The inessential target market is the British Asian in UK, which consists of 8% of the summarize UK population, 63 million people in 2013. The British Asian is super brand loyalty and favorite the Chinese cuisine. Tung Lok restaurants commit to subscribe the finest and f reshest of the food to the customers with the upmost care in the most authentic Cantonese style. The theme not only brings a Asian kitchen to UK only if also the entire culture and tradition to experience here in Tung Lok. marketing positioningAs a newly launched restaurant in the region, Tung Lok aims to establish and stabilize the business in the beginning(a) 4 months kind of of maximize the profit generator. This period of time is crucial to Tung Lok as the initial image and constitution will position in the customers minds and easy but steady build up the brand loyalty. Certainly, the prices in the menu are final and, best, kept constant throughout the business. Since the priority is whole step over price for the starting period, promotion and advertisement can bepublished in the newspaper and around the area. The restaurant is not footsure that the first month will have any profit repayable to the intensive investment and slow business, however, a possible object to tense up for. Deals and happy hours are common to attract new customers attention with family muddle combo and crowded group of officers.Saving cost does not retrieve treating the staffs poorly as outstanding food must come with intelligent services. Staffs must be provided uniforms and chef must be equipped with sufficient kitchen tools and bare materials. Trainings are provided to all the crew and facilities must be maintained to the upmost level of cleanness and tidiness. Safety and standardization must be set as the foundation despite the costly price. Fierce competition from local shops will snatch the customers away and customers can unconsciously deny Chinese food. So the taste of the food will be edited slightly to compositors case the locals appetite closer but not removing the genuineness of the dish. Marketing objectiveA detailed schedule shall be alert and filed in Singapore to propose to UK authority for approval to launch our restaurant at the end of 2013. Fro m January 2014 to June 2014, 1 team needs to research and prove the local trends of food favor and appetite to create most capable dishes in Cantonese style but suitable for the British. Another team will investigate and liaise with a Britain company to find a placement for the restaurant. The restaurant will be in operation in latest October 2014 and till the end of 2014, the restaurant will set a goal to create 10% of customers awareness through any means like advertising and promotions.Executive SummaryTung Lok base is a mountain chain of Chinese restaurants paved the modern Chinese cuisine in Singapore. The first restaurant was opened in October 1980 at Corthorne Orchid Singapore. The dishes here are rund in Cantonese-cooking style and attract a lot of diners attention. Currently, Tung Lok Group consists of 40 restaurants in Singapore, Indonesia, and China bearing the famous hallmark reputation of high-quality food, exceptional service and outstanding design. Andrew Tjoe is the executive chairman and the very begetter of Tung Lok. In 2012, due to many external factors such as economic crisis, raising completion and internal factors like closure of 6 Tung Lokrestaurants, the revenue decline to S$86.6 million from 94.3 million from past years.However, Tung Lok still has a higher gross margin of 71.6% from 69.9%, mean Tung Loks business is operating profitably. The Asia market has become alter of Chinese cuisine. A raising need for a new market to invest in is very necessary. So a faraway land decided to place the Groups future in is London, England. topically the Chinese cuisine restaurants have appeared for a long time but the intensiveness is low, moreover, their category and nature are totally different from Tung Lok. Cantonese-cooking style is not properly introduced in London and most of the restaurants serve non-authentic or similar recipe. A fresh and enormous market like United Kingdom is very potential and promising for Tung Lok to bloom.