Mkf3151 Current Market Environment Answers

• Internal Code :
• Subject Code : MKF3151
• University : Monash University Assignment Help Era is not sponsored or endorsed by this college or university.
• Subject Name : Marketing strategy

Market Planning and Strategy

Table of Contents

Evaluation of the current market environment

Problem Identification.

Alternative strategies proposition.

Recommendation.

Implementation and contingency plan.

References.

Evaluation of The Current Market Environment

The trend of opening restaurants in Dubai has drawn criticism from the market due to the potential risk of oversupply. The problem is that employees are usually home standard. The culture of expatriates in Dubai has eased the pressure on activists but has done little to minimize the training and selection annoyance. There are so many cultures and civic functions in Dubai's economy as well as several complex factors that contribute to the formation of industry (Grünig and Kühn 2015).

Competitor analysis

Dubai is one of the major tourist destinations in the world, attracting 14 million tourists by 2015. It aims to attract 200 million tourists by 2020. Dubai has become an integral part of the tourism and services market. Dubai’s seaside restaurants share the same style - more than 7,500 restaurants are listed on the website, like Zomato. However, these numbers are not just due to the increase in the number of tourists. Food is also a form of socialization for the local people. For this reason, many international restaurant chains are opening stores across the Middle East (Jogaratnam 2017).

Market segmentation

Considered as a gateway to the West, the UAE has become a hub of trade and commerce and the presence of almost all world-class organizations is increasingly earning expatriates. The UAE includes seven well-established emirates, such as Dubai, Abu Dhabi, and Ajman, Sharjah, Ras al-Khaimah, Fujairah, and Umm al-Quwain. Those who live in the emirate often travel for other purposes. More than 80 per cent of the total UAE population are expatriate population and more than 50 per cent of its population are from South Asia (Terhorst and Erkuş-Öztürk, 2015).

Problem Identification

With the “Diversification Pan” in place, Dubai Expo 2020 is approaching and the hospitality and restaurant industry will be at the centre of future economic planning and change, two things are happening:

• Restaurant to customer ratio has increased
• The competition is climbing sharply

The effects of these two effects are simple; this is problematic for restaurants to survive in the market because of cannibalization. The diversity here is different from the competition. Until the competition intensifies until the whole industry begins to suffer significant losses among its customers, this is called nationalization. The restaurants in the UAE attract many investors and entrepreneurs because of their unique position in the changing face of the economy. Problems and challenges in the Moshi restaurant are increasing due to increasing competition (He et al. 2019).

How to handle the competition in the UAE

To deal with this challenge and issue in Moshi restaurant, let’s make simpler it a slight fast. In its most basic terms, many problems mean many restaurants are affected by this increase while increasing their customer base because the hosts of the restaurants reduce personal profits. Now, this restaurant must shift its focus to customers. No customer is spending, just using it in different places. So, the solution to the problem is not just to get new customers, but to retain old customers.

Alternative Strategies Proposition

1. Product Strategy

Moshi provides a combination of products and services. The food served is part of the overall experience that intends to provide them to the customers. There is a tough competition when some steps need to be taken which means food should be taken. Here are a few:

• Potential Products: Moshi will aim to create a potential product. Most important in practice, however, is to try to integrate all customer feedback and use their skills to get started with improved products that will help maintain strong customer satisfaction.
• Specialty Products: The purpose is to be part of a particular restaurant where customers are trying to reach their potential. This is consistent with the brand position as Moshi provides a lifetime experience to customers (Jogaratnam 2017).

Customers need to be able to identify and differentiate between them appropriately. The following strategies will be adopted according to the overall product strategy:

Form

The food items being offered will be in varying quantities that will suit the determination of the consumers. Also, a certain meal in the culture of Emirate must be served to several people. This restaurant will offer different amounts to make sure the form is acceptable.

Features:

The product or feature of the food item will present some indications of great success. All features will be remembered to enhance customer value. Here are some important features of all food items:

• The best raw materials used.
• Freshly cooked.
• Suitable customization level will be added because there will be a set menu for the restaurant but it will also provide if there are orders.

Quality:

The food served will include the following qualities. This is the standard of performance and the standard of conference

• Conformance Quality: It also means that restaurants will be able to deliver the best tastes and services promised through marketing communications.
• Performance Quality: The taste of food is maintained at a high level. It means the taste must be of good quality. Taste varies from person to person. It provides one more dimension. The taste will be targeted based on the best choice in the target market.

Design

The goal of Moshi is to create a position that represents superiority and excellence. This means that special emphasis should be placed on how they present dishes. It will help to create an aesthetic concept. The theme of the restaurant is culture. Therefore, the design must fit into the local culture (Lasek et al. 2016).

Packaging

Packaging will not be required for dining customers. Emphasis on the packaging would be ensured for takeaway customers. The design, quality, and form are not affected. It may require additional costs because packaging materials can be expensive. However, this does not mean that the packaging will not be used as a brand strategy.

Labelling

The nature of the business requires no more labels than the presence of Arabic spices for sale. Because there are special food boxes here, they will have small labels regarding the ingredients as well as a small advertisement for the restaurant. Therefore, the label will be used to assist the marketing process (Jalilvand et al. 2017).

Ingredient Branding

The owner of Moshi will link the effect of ingredient branding to its product strategy. The awareness of the ingredients used in food is growing. The use of organic materials can have a significant impact on the development of proposed food products.

Co-branding

This restaurant is also planning to take the co-branding. Besides, this will help Moshi develop a strong brand image. There are plans to use organic products at the Dubai Mall to promote the business. This will benefit both brands in the future.

2. Pricing Strategy

Price is often cited as an important goal of buyer choice. At the same time price can be used to develop strong brand equity but if it is not applied properly it can affect other customers. So, it is important that they not only reach their goal but also help in achieving the financial goal of Moshi. With the advancement in the age of technology and the internet, consumers are looking for new ways to compare prices.

The steps the business need to take to develop a pricing strategy are as follows:

Step 1: Select a pricing objective: Maximum current profit

The branding of Moshi is to make a solid growing food trend. Business does not expect difficulties in life. The company expects to make a profit even in the most adverse circumstances. So, the goal is to make the most profit.

Step 2: Set the demand

The demands will be counted using price experiments, customer surveys, and other statistical methods. Besides, the price sensitivity is low because the product will lead to high quality, exclusivity, and status. So, the determination of the demand gives Moshi a real perception of the level of marketing objectives that this restaurant can reach (Jogaratnam 2018).

Step 3: Estimating cost

The cost will be forecast. There is a strong understanding of the cost process, such as variables, fixed costs, etc.

Step 4: Analyse competitors’ prices, costs, and offers

Most competitors compared to Moshi when the market is lower than profiles. High competition can be expected. The goal is to make the product or service more price-oriented, but the price of the competitors is also very important. It is an internet where customers can easily compare prices.

Step 5: Selecting the pricing method and Perceived Value pricing

The purpose of business is to produce positive quality-based services and products. Therefore, for the price method, the perceived value in each direction will be evaluated. Marketing communication will help Moshi realize the values they feel and ultimately help them generate revenue. The markets where it is trading are not as price-sensitive to other areas because the offering of Moshi falls under the special products that are less vulnerable to price factor (Al Qaydi 2016).

3. Promotional Strategy

social media and other internet media are becoming increasingly popular, particularly in the Arab states because this region is adapting the technology quickly. Some strategies may not be enough to succeed. But promotional designs combine with social media and other factors to provide more efficient and positive results.

• Facebook and other social media: Facebook, Twitter, and other social media can be used for buzz and virus marketing. The promotional design will try to make a buzz that means the marketing strategies will create excitement and publicity. Also, the brand still wants to find its footing, so it is appropriate to give customers a lasting impression. Buzz would be made by explaining the best experiences a buyer has in their visit to the restaurant. Customers will share their experiences. It will help to make promotions that are important for the restaurant. This is the spark that will start the business operation (Al Qaydi 2016).
• Instagram: Popular social media used for photo distribution is also widely used. This will be used to describe the quality of the food that is on display. It will help bring new customers because they will know what food is being served. Also, Instagram is a very powerful medium in the region.
• Search Ads: The main target market of the restaurant is foreign tourists who do not know the nation. They will depend on the internet to get information. Therefore, paid-search advertising will be a great chance for the business.
• Blog: The company will also offer written payment for the restaurant and ask the author to visit the restaurant and write about the experience. It will provide a better approach to promote the restaurant (Fathelrahman and Basarir 2018).
• Interstitials: The offering of the restaurant will be more appealing if visual support is available. It means that displaying the delicacies through video will be ultimately effective in restaurants.

Recommendation on Market Planning and Strategy

1. Strategies for developing new products

As new products were developed in the case of Moshi, it became a necessary task to meet the constant needs of customers who knew the style and fashion of the world market. Here are some different strategies:

• Experimentation: It includes the generation of different product concepts as done at Rahul that is trailed by concept testing and development in the future stage. The experimentations help in the development and design of new products based on the demands and requirements of the target market.
• Test marketing: It involves the marketing of new products based on different perspectives in a small subset of target customer groups aimed at analysing customer feedback in the target market as Dubai and helping to understand the success of any product, in case, they are launched with complete marketing effort on the larger or global levels or country-wide. This strategy helps restaurants like Moshi to make changes to potential new products based on customer feedback selected for experimental marketing analysis (Vij and Verma 2016).

2. Advice for pricing, communication, and distribution

The suggestions would be followed:

• Pricing: Moshi emphasizes product quality, so prices will be higher, and the range will target high-end customers, including many customers with a high per-capita income in Dubai.
• Promotion or communication: The promotion will include outdoor promotions as well as magazines and will be on display at the outlet in Dubai. Also, this will work on sales promotions to attract more customers. Digital media, including television commercials, will also be considered crucial for Moshi (Vij and Verma 2016).

Implementation and Contingency Plan

Contingency plans

The most important part of a marketing plan is to reach and understand the goals. The presentations and offerings of services that reflect the life experience will attract customers to visit the restaurant. It will provide a way for cultural insight. Moreover, the tourist and people who know very little about culture can also very attentive to understand the culture of the UAE. This approach will help to navigate and change the business strategy so that the plan can be tracked and organizational resources are not wasted. This is what Moshi needs to reach out to them and they will succeed if they can execute their plan efficiently.

References for Market Planning and Strategy

Al Qaydi, S., 2016. The status and prospects for agriculture in the United Arab Emirates (UAE) and their potential to contribute to food security. Journal of Basic and Applied Sciences, 12, pp.155-163.

Fathelrahman, E., and Basarir, A., 2018. Use of Social Media to Enhance Consumers' Options for Food Quality in the United Arab Emirates (UAE). Urban Science, 2(3), p.70.

Grünig, R., and Kühn, R., 2015. Strategy Planning Process. In The Strategy Planning Process (pp. 41-52). Springer, Berlin, Heidelberg.

He, Z., Han, G., Cheng, T.C.E., Fan, B. and Dong, J., 2019. Evolutionary food quality and location strategies for restaurants in competitive online-to-offline food ordering and delivery markets: An agent-based approach. International Journal of Production Economics, 215, pp.61-72.

Jalilvand, M.R., Salimipour, S., Elyasi, M., and Mohammadi, M., 2017. Factors influencing word of mouth behaviour in the restaurant industry. Marketing Intelligence & Planning.

Jogaratnam, G., 2017. How organizational culture influences market orientation and business performance in the restaurant industry. Journal of Hospitality and Tourism Management, 31, pp.211-219.

Jogaratnam, G., 2017. The effect of market orientation, entrepreneurial orientation, and human capital on positional advantage: Evidence from the restaurant industry. International Journal of Hospitality Management, 60, pp.104-113.

Jogaratnam, G., 2018. Human capital, organizational orientations, and performance: Evidence from the restaurant industry. International Journal of Hospitality & Tourism Administration, 19(4), pp.416-439.

Lasek, A., Cercone, N., and Saunders, J., 2016. Restaurant sales and customer demand forecasting: Literature survey and categorization of methods. In Smart City 360° (pp. 479-491). Springer, Cham.

Terhorst, P., and Erkuş-Öztürk, H., 2015. Urban tourism and spatial segmentation in the field of restaurants: the case of Amsterdam. International Journal of Culture, Tourism, and Hospitality Research.

Vij, M., and Verma, A., 2016. The Rise of Fujairah: An Emerging Destination of the United Arab Emirates (UAE). International Journal of Excellence in Tourism, Hospitality, and Catering, 364(3856), pp.1-10.

Remember, at the center of any academic work, lies clarity and evidence. Should you need further assistance, do look up to our Market Strategy Assignment Help