March 23, 2013
Deogracias Victor M. Danguilan
MBAH 10B
Entrepreneurship
Food Trip Paper
Banana Leaf Curry
The business concept of Banana Leaf Curry is to provide a flavorful fusion of oriental cuisine which leans more toward letting people experience and enjoy Singaporean dishes at relatively reasonable prices in a uniquely oriental ambiance. The food service business targets people who work, live, play, or those who spend time in or near Rockwell Power Plant Mall. These people are most likely to be within the AB social class bracket and who are exposed and enjoy international cuisines and who are somewhere in the age bracket of 30-60. Their setup allows them to accommodate bigger groups of people which attracts families, groups of co-workers, etc. It is observed that they have strategically created a system that delivers food fast so that it promotes high turnover of customers resulting to higher utilization of their leased space. The business also earns more through cross-selling techniques. They primarily bank on the strength of their brand, the pull of traffic of the mall, and the captive market coming from within the Rockwell compound such as the office workers, residents, and mall-goers. They create awareness and attract people mainly through on site promotion strategies and through locating their branches in malls that strategically focuses on the AB, 20-60, working professionals and families crowd. Banana leaf curry takes advantage of their presence in metro manila and will likely enjoy and reap the benefits of economies of scale and standardization of inventory, services, and other resources.
One of the relevant innovations that have been observed was their use of banana leaves in place of the usual ceramic plates. This allows them to reduce manpower costs and saves them a lot of time and resources supposedly needed in dishwashing activities. Not only does it let them save on time and effort but it also reduces costs brought about by storing and maintaining plates and sunk costs caused mainly by breakages.
Sugar house
The primary concept of Sugar House is that it offers delectable sweets and hot and cold beverages that are perfect for after meals or even for a mid-afternoon snack in a casual and easy environment. Similar to Banana Leaf Curry, it targets people who work, live, and play in or near Rockwell Power Plant Mall. It was seen that the customers who were there during the period of observation were mostly within the upper limit of the age bracket - around the 40-70 range. It seems, according to personal observations, that the concept of Sugar House was not at all unique. I believe, however, that they differentiate themselves through the quality of the products that they offer, although not necessarily unique products. Compared to Banana Leaf Curry, their onsite promotions, is more on the passive side. Their pricing strategy reflects to target the middle market and they would likely be generating income from cross-selling activities also. I also noticed that one of their significant channels for generating more revenues was the take out sales. More importantly, it has been observed that they have the capacity to push down their costs through requiring less manpower since majority of the products most likely come straight from central commissary and that only finishing touches and other minor preparations are done onsite. This strategy that they employ also allows them to serve their clients faster and lets the business use manpower resources more efficiently. Having a central commissary may also allow them to expand and scale up businesses easily as compared to full-fledged restaurants + cafes.
Draft
Draft uniquely offers international beers, cocktails, and visually and gastronomically appealing food in a classy ambiance convenient for casual conversations. This differentiates them from many bars within Rockwell and even in Metro Manila. They, I believe, want to create a 'third place' (similar to the Starbucks Concept) that provides a classy and comfortable place for after-work drinks and easy conversations before finally retreating home. This unique offering puts them in an advantageous position wherein they can eliminate the risk for a cost-price squeeze and create a bigger margin than competitors. This does not mean, however, that they have access to low-cost supplies. In terms of manpower requirements, their operations should need less of it since their focus is on selling beers, cocktails, and cold cuts which are relatively fast and easy to prepare. I believe that they still have to build and develop the strength of their brand in terms of recall, preference, and loyalty. It can be seen that they cater to the upper class of the market segment which is primarily the AB, after-office crowd. These people are mostly working professionals which include local business executives as well as expatriates.
