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Broad environment - Essay Example

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This report deals with the analysis of the external broad environment for developing a positioning plan for Oliva Garden Restaurant located in San Francisco. For this purpose, the economic, political, socio -cultural and technological trends and patterns in the restaurant…
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Download file to see previous pages When the economy experiences a downward trend, people tend to cut down on their eating out activities and as such, the sales of the restaurants are directly impacted. This is because, spending in restaurants is considered to be a leisure activity due to which the priority to save money by cutting down on these activities are higher (American Business, 2011). Consumer activism with respect to the restaurant sector of the US is high and as such the restaurants operating in this segment have to concentrate on continually adhering to the existing consumer demands and preferences so that a higher level of sustainability is achieved in the businesses (Glickman, 2009). There have been major regional shifts in the population of the United States noted in the last few years. This phenomenon has changed the patterns in which the restaurant industry hires people. The employment patterns have changed with an increase in the influx of diverse groups of employees into the restaurant industry of the country. Considering the interest rates and the banking trends remain a first financial priority for the restaurants in the United States. Also, the restaurants have to continuously adapt to the economic change so as to ensure higher sustainable competitive advantage (Chibng, 2011).
The technological changes have also become a crucial influencer of the functioning trends of the restaurant segment. The advent of new technologies has facilitated different ways of reducing operational costs and achieving higher efficiency levels in the restaurants services. The new cooking technologies and equipment makes it possible for the restaurant businesses to reduce the cost of operating and create higher levels of consumer service and consequently enhance the consumer experiences. The use of new technologies, robots and electronic gadgets for operating the manual equipment used for cooking food and disturbing food in the restaurants has become a high ...Download file to see next pagesRead More
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