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MANAGEMENT IN ACTION - SOCIAL ECONOMIC AND

ETHICAL ISSUES

CONSULTING PROPOSAL

ASSIGNMENT 3

PROBLEM BRIEFING

ON

COMPREHENSIVE ANALYSIS OF FAST FOOD MARKET IN

INDIA FOR WHITE CASTLE

SUBMITTED BY:

SUKRIT VIGA0101911010

A-47

MBA (G) Class of 2013

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Methodology:

The methodology to perform this major task would require collection, study and analysis of secondary

and primary data. We at SV consultants would be following the following pattern of primary data

collection:

1. Identifying a population consisting of 3,500 respondents throughout 7 major cities in Indianamely, New Delhi, Mumbai, Kolkata, Chennai, Bangalore, Hyderabad, Chandigarh.

2. These respondents would be divided into stratas on the basis of gender, occupation, annualincome and other demographic factors, in order to gain a holistic view of the Indian consumers.

3. Further we would collect this data and present it in to White castle with the major outcomesabout the likings and disliking of the Indian consumers.

Secondary data would be used to collect data such as:

1. Per Capita income2.

Median Age

3. Population divide among rural and urban areas4. Major urban amalgamations.

Diagnosis:

The major problems that were identified during the research include:

1. Unstructured market:

The Indian market is unstructured and White Castle would face a great deal of competition from

local burger vendors and other fast food joints. Since the Indian consumers prefer cheap and easy

to have fast food, they would prefer a burger from any place that is easily accessible and provides

low cost options to eat.

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2. Urban and rural divide:The divide between urban and rural India is great and hence White Castle can only focus on urban

areas for the time being, since the rural areas do not have such a great disposable income level and the

rural areas are scarcely populated in comparison to urban areas.

3. Existing competition:White Castle would face a lot of competition from already existing fast food companies and mainly

burger companies like McDonalds, KFC, Wimpys and Burger King and others as well. White Castle

would have to position itself accordingly.

Market Research:

In order to study the Indian fast food market and the Indian consumers, SV consultants have used

secondary data and conducted a primary research in order to know the likes and dislikes of the Indian

consumers.

Existing competition in the Indian market includes:

1.

McDonalds:

McDonalds began operations in India in the year 1996 and has since become the largest burger and

fast food providing brand in India with its presence in all major cities and also all major national

highways and other routes.

The network of McDonalds is the most widely spread in India and is known as a pocket friendly and

family restaurant. Prices start from Rs.20 for a vegetarian burger and offer a wide variety of

vegetarian and non-vegetarian options to the customers. McDonalds have changed a lot with respect

to the Indian market; they have adopted Indian tastes and other cultures like no use of beef and pork.

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The McDonalds menu in India is as follows:

2. KFC:

KFC is another American brand that entered into India in the year 1995, following a similar model of

low cost pricing menu and focusing on vegetarian options as well. KFC introduced its street wise

price menu. It focuses more on the youth rather than focusing on being a family restaurant.

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The following is a KFC menu in India:

3. Subway:Subway is another major competitor in the Indian fast food market. It offers fresh sandwiches with a

wide variety of breads, fillings and sauces. It focuses on the youth with a USP of fresh and healthy

food. It is fairly priced and has also adjusted according to the Indian market and its needs.

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A primary research was conducted by our marketing research team and the following results were

published in our report:

The Indian consumer is very price conscious and wants pocket friendly prices when it comes tofast food.

Majority of Indian consumers are vegetarian and when it comes to non vegetarian food, the mostcommon choices are chicken followed by fish and mutton.

A vast majority of the Indian consumers do not eat beef and pork.

Combo offers are a great hit with Indian consumers as they offer more options in fewer prices.

White castle should also see that an average Indian household is most affected by the choices ofkids in the family, hence menus focused on children is a hit in India.

Geography of interest:

White Castle can focus on the following cities as they have more than 1 million population and also have

purchasing power:

1. New Delhi2. Mumbai3. Chennai4. Kolkata5. Hyderabad6. Bangalore7. Chandigarh8. Ahmadabad9. Ludhiana10.Lucknow

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Recommendations:

White castle should try to position itself as a family restaurant offering family fun and food at low

costs, and it should take into consideration the following results:

The Indian consumer is very price conscious and wants pocket friendly prices when it comes tofast food.

Majority of Indian consumers are vegetarian and when it comes to non vegetarian food, the mostcommon choices are chicken followed by fish and mutton.

A vast majority of the Indian consumers do not eat beef and pork. Combo offers are a great hit with Indian consumers as they offer more options in fewer prices. White castle should also see that an average Indian household is most affected by the choices of

kids in the family, hence menus focused on children is a hit in India.

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INVOICE

SV Consultants

E-215 New Rajinder Nagar, New Delhi -110060

Phone: 011-28744731

Bill To: White Castle Pvt Ltd. Invoice :45406

3000 Hanover Street

Palo Alto, CA

94304-1185

USA Invoice date- 12/3/2013

The cost of employee survey to judge their attitude and preference500Rs/Survey

Total no. of respondents to be surveyed3,500Rs. 17,50,000

For secondary data research and reportRs. 1,00,00,000

Consultancy FeesRs. 30,00,000

Total - Rs 1,47,50,000

Consultant Signature: Date:

Prepared by: Date:

THIS INVOICE HAS BEEN REVIEWED FOR TIME EXPENDED, NATURE OF THE WORK AND

RECEIPT OF THE DELIVERABLES AND IS APPROVED FOR PAYMENT.

Signature:________________________________ Date: 12/ 3 /12