Business plan

Sensational Fast Food Restaurant in India 1
LAUNCHING SENSATIONAL FAST FOOD RESTAURANT IN INDIA
by (Name)
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Executive Summary
Sensational fast food restaurant is a new venture in India that aims to transform the fast food
industry by providing the Indian population with what they need and suits their local culture and
religion. Given the fact that a majority of the Indian population practice Hinduism while others
are Muslims, the products served will not contain beef or pork and the local flavors. However,
for other individuals, pork and beef will be included in their menus to satisfy their appetites and
capture a larger audience. The restaurant primary target will be youthful customers who are
aged between 12 and 28 years, whereas its secondary target market will comprise people above
the age of 28 years. However, the company will face stiff competition from well established
brands like Barista, Coffee Day, KFC, Nirulas, Subways, Domino’s Pizza, and MacDonald’s. It
will strive to enhance its competitive advantage in the Indian market by using a wide range of
strategies like providing customers with high quality services, lowering the prices of products,
and improving convenience. Additionally, it will aim at differentiating the products from those
of competitors to attract more clients. Likewise, the company will utilize a wide range of
marketing programs such as word of mouth, online promotions, as well as newspaper, magazine,
and web campaigns to enhance its success in the Indian market.

Sensational Fast food restaurant in India
Given the fact that the fast food market in the United States, United Kingdom, and China
is already saturated, Sensational Fast Food restaurant, being a new venture identified an
opportunity in the Indian market (Prasad & Aryasri 2011, p. 63). Despite the fact that the Indian
market is already occupied by famous international brands, Sensational fast food restaurant aims
to enhance its competitive and strategic advantage by providing its target market with quality
services and friendly environment. In this case, its primary objective is to be the most profitable
fast food restaurant in the country. To differentiate its products from those of competitors, it aims
to provide clients with a seamless experience as well as serve them with high quality foods
Overview of Business / Management
Sensational fast food restaurant will be a privately owned fast food restaurant. As it plans
to establish itself in the Indian market, it will be registered as a limited liability company with
partners having equal ownership. The company will be owned by two individuals, each with
50% of shares (I and my friend Erick). To succeed in this market, we will conduct a thorough
market research of the market so as to comprehend the strategies that we will adhere to ensure
that our sensational fast food restaurant succeeds in the Indian market. Some of the strategies that
we will focus on include using technology to enhance the company’s competitiveness in the
industry as well as growing its customer base including enhancing the quality of the systems to
be used by the business.
Planned Staff Number
For a start, the company will employ 200 individuals to carry out functions in the Indian
store. Some people will work as restaurant managers, assistant managers, area supervisors, shift
officers, crew members, chefs, crew trainers, and waiters or waitresses. The role of the restaurant

managers will be to control and oversee all operations that are conducted by the business in the
country. They will also optimize restaurant management, ensure profitability, and supervise
teams such as human resource personnel and sales staff across major cities in India. Thus, the
restaurant managers will be expected to demonstrate effective leadership qualities in addition to
being disciplined, organized, self-driven, and ready to take initiative.
Similarly, the store will hire assistant managers who will be expected to help the
restaurant manager in supervision of projects. They will also be tasked with the responsibility of
running the restaurant if the store manager is absent. On some occasions, they will supervise
planning teams, including processes of recruitment and training. The assistant managers will
ensure that safety and quality levels of the restaurant are sustained to improve its performance.
They will as well be required to take part in sales forecasts and assessment of operational
outcomes. Some of the qualities that will be expected from applicants who wish to become
assistant managers include displaying managerial qualities, highly organized, ability to handle a
wide range of responsibilities with ease, operate in a dynamic market, and have the capability to
promote teamwork.
In contrast, the shift manager will ensure that the functions of the restaurant run smoothly
even when some staff members take a break from work. In addition to assigning individuals
tasks, the manager will supervise their activities in order to guarantee the provision of quality
services and goods for customers. They will also be expected to oversee maintenance of
restaurant’s equipment, including keeping records of the inventory and reviewing the quality of
state of items such as electronics and cutlery. Each shift manager will be expected to oversee the
activities of approximately 16 to 20 employees. To qualify as a shift manager, candidates will be

required to be highly organized, encourage teamwork, flexible, and versatile at the operational
and management levels as well as demonstrate dedication to serving others.
Besides, the business will require the services of area managers. They will be expected to
support shift managers at operational and managerial levels. Likewise, they will be tasked with
the responsibility of ensuring the smooth running of all sections of the restaurant such as the
counter and kitchen. They will also act as a link between employees in various stores and the
senior management of the restaurant. Another key responsibility will be guiding workers to
maintain the appropriate safety and hygiene standards of the facility. To qualify for the position,
applicants will be required to prove that they are keen to details as well as be responsible,
flexible, and versatile while working at the operational and managerial levels. They should also
possess leadership and teamwork skills.
The primary responsibility of waiters and waitresses will be to serve the customers. They
will also be expected to answer clients’ questions and address their complaints to boost customer
satisfaction (Reynolds & Biel 2007, p. 352). To qualify for the position, individuals will be
required to show excellent communication and interpersonal skills, be courteous, dynamic, and
organized in their delivery of services.
On the other hand, the crew trainer will be expected to educate all employees who will be
hired by the restaurant. They will ensure that the workers comprehend ways of satisfying the
needs of customers. To qualify for the post, applicants will be required to possess a wide range
of abilities, including excellent communication and interpersonal skills, flexibility, and
versatility. The responsibility of crew members will be to enhance customer satisfaction by
carrying out distinct tasks within the store. Some of the roles include working at the counter,
cleaning the premises, and packaging of items that customers purchase. The individuals will also

be responsible for preparing and taking orders as well as collecting payments from clients.
Applicants for the position should have qualities such as being self- motivated, encouraging
teamwork, and excellent communication skills.
Products / Services
Sensational fast food restaurant will primarily focus on serving non-pork and non-beef
menus. For instance, the restaurant will serve its target market with fried chicken, chips, fresh
juices, rice meals, pizza, sauces and eggless mayonnaise. These products will be prepared using
traditional flavors. Ideally, the restaurant will primarily focus on providing the target population
with a wide range of flavors of refreshments and food that meets their culture and taboos.
Main Products and Distinctive Qualities
Sensational fast food restaurant will primarily focus on selling non-beef and non-pork
products. However, the company will also sell mayonnaise, chicken, sauce, fries, pizzas, soft
drinks, burgers, and lemon. The burger (Chicken for Indians, beef and pork burger for other
individuals in the population) will be produced in different sizes, ranging from large to medium,
and small. The varied sizes will capture a larger customer base with distinct incomes. Since the
restaurant is operating in India, the menu will include local Indian foods and custom dishes such
as the hot chilli sauce. After acquiring more customers in the Indian market, the company will
expand its product line to include new items that appeal to both locals and non-Indians.
The restaurant will utilize various methods to differentiate its products from those of
competitors. One of them is application of the local flavors to prepare every meal. The advantage
of the technique is that it will enable the business to prepare foods that appeal to almost every
person. Additionally, the restaurant will encourage its staff members to provide clients with
services in a friendly manner, which mirrors the company’s culture and aspirations. To guarantee

the provision of better quality products, the restaurant will primarily focus on acquiring raw
products such as meat, chicken, fresh fruits, and vegetables from the local suppliers.
Technological Capacity
Since Sensational fast food restaurant wishes to automate its process, it will interact with
the target audience using technologies that will be installed in all stores. For instance, self-order
kiosks will be established to enhance the provision of quality services to clients and visitors.
Additionally, the company will make use of social media platforms to answer customers’
questions and collect feedback for improvement of the services of the company.
Intellectual Property Rights
Sensational fast food restaurant will ensure that any product in its stores is licensed or
utilized by its subsidiary, affiliate, or related companies that it intends to open in future, to be
precise in the emerging market. Furthermore, only the business manager will be expected to post,
upload, publish or distribute details of the restaurant online. However, it is acceptable for
individuals to download the material for non-commercial use as long as they do not change or
delete any trademark, copyright, or proprietary notices. The use or modification of the
downloaded material for financial gain will be an infringement on Sensational fast food
restaurant intellectual property rights.
Market and Competitors
Industry Analysis
The fast food market in India is expanding at a rapid rate as a consequence of increased
investments and population growth. In fact, the market is expected to expand by 18% by 2020
due to the transforming demographic patterns and consumer behaviors (Baek, Ham & Yang
2006, p. 685). Currently, the expansion of the fast food market in India is fueled by the rising

number of working women, a young population, and disposable income. Middle-class
individuals also prefer ready-made foods because of their busy schedules. The popularity of fast
foods among the Indian population is attributed to various factors like the price level,
convenience, and quality. The government also provides both international and domestic players
with an opportunity to expand and succeed in the market. For instance, organizations are
permitted to form alliances to enhance their competitiveness in the industry as well as broaden
their customer base. Equally, firms that have a large market share in a particular region are
allowed to expand into other provinces where the number of restaurants is still low.
Market Analysis
As Sensational fast food restaurant plans to venture into the Indian market, its main target
will be the young population of customers who are aged between 12 and 28 years because their
demand for fast foods is high. However, the company will also target other groups such as
individuals above the age of 28 years as its secondary market. Similarly, Indian schools that have
extra-curricular activities in their educational programs will offer a market for the firm’s
products during sports events. The restaurant will also sell food to individuals who offer services
in shopping malls, as well as in private and public offices during lunch time (Judge 2008, p. 26).
Given the wider target market, it will set different prices for the products to attract various
groups of buyers. For a start, large- sized fries and chicken will cost about $2.99.
Competitor Analysis
The fast food market in India is dominated by several global brands like Barista, Coffee
Day, KFC, Nirulas, Subways, Domino’s Pizza, and MacDonald’s (Stone 2007, p. 95). Despite
the economic slowdown, the demand for quality fast foods in the nation is relatively high. Both
domestic and international fast-food chains are expanding at a rapid rate since they are providing

services to young and middle-class individuals who prefer ready-made food. Since markets in
Europe, China, and the United States are experiencing slow growth, most of the international fast
food chains are shifting operations to other regions such as India that offer an opportunity to
improve business performance (Prasad & Aryasri 2011, p. 75). Domino’s Pizza, a US based
company established a branch in India, and it considers the country’s market as expanding at a
rapid rate. According to Mutum, Roy, and Kipnis (2013, p. 85), international companies control
nearly 63% of the Indian fast food market. Of the share, 20% is dominated by Domino’s Pizza,
11% by McDonald’s, 12% by Subway, 8% by Pizza Hut, and Kentucky Fried Chicken has about
9% of the customers (Baisya 2008, p. 55). Therefore, Sensational fast food restaurant will
encounter stiff competition from the already established brands in the Indian market. The 63%
share represents the organized market, whereas other regions are yet to be explored, implying
that Sensational fast food restaurant has an opportunity to grow by investing in the Indian market
(Chlosser 2009, p. 158).
Apart from the international brands, the restaurant will encounter competition from local
brands. They include Kaati Zone, Jumbo King, and Faaso’s which are expanding at a rapid rate
(Association of Food Scientists & Technologists 2002, p.16). Currently, Faaso’s has over fifty
outlets, and it is planning to expand further in order to compete successfully with international
brands. Similarly, Cherukuri and Ankisetti (2011, p. 69) show that Jumbo King intends to
increase the number of outlets to 200 from the current 43. With new entrants in the Indian market
as well as low startup costs, the country’s fast food industry is expected to grow rapidly as the
population of young consumers who prefer affordable meals that are served at convenient
locations. To increase the sales of its items, Sensational fast food restaurant will make use of
advertising and marketing strategies to inform the public of the availability of delicious foods

that it will be selling in the nation. The business will utilize brochures, social networking sites,
the radio, television, and magazines to reach the target audience.
Competitive Business Strategy
Mahnken (2012, p. 95) notes that achieving success in the fast food industry requires
knowledge in various areas other than the provision of high quality products. Most fast food
customers are looking for predictability, convenience, as well as a seamless experience. To
enhance its competitiveness in the Indian market, Sensational fast food restaurant aims to make
its branding strategies unique. For instance, it intends to use slogans, logos, and signs that will be
easily recognized by its target audience. Through branding, the business will enable the public to
comprehend the quality of its meals before they even visit the outlet (Allen, Kania, Yaeckel, &
Allen 2001, p. 26). Designing recognizable and consistent messages will reassure customers that
services, which will be offered by the business, will be of high quality. Similarly, the company
aims to utilize a logo that will be distinguishable globally, especially to the younger generation
that the firm regards as its primary market.
Apart from using a recognizable brand, Sensational fast food restaurant will strategically
place its stores at convenient locations where they can be accessed by all groups of customers. It
will target high-traffic areas like busy commercial streets and shopping malls for establishment
of stores. Likewise, towns that are frequently visited by tourists such as New Delhi will offer
more opportunities for the business to acquire more customers. International tourists enjoy
visiting many parts of India because of their artifacts and numerous cultural sites (Ghosh 2007,
p. 205). Additionally, the cities have a high population of working women who buy fast food
from nearby stores because of the convenience that they offer. However, some of the appropriate
locations for the establishment of the company’s branches are already occupied by Pizza Inn,

KFC, and McDonald’s that have a wide customer base in the nation. Thus, the business will rely
on enhancing the experiences of customers for it to overcome the stiff competition.
Efficiency is another element that Sensational fast food restaurant aims to focus on to
enhance its competitiveness in an industry that is made up of major international players. It
intends to provide customers with products that they can access within the shortest time possible.
The firm aims to modern kitchens and purchase items that can be prepared faster. Additionally, it
will work efficiently by reducing the level of food waste, gaining from economies of scale, and
hiring individuals who comprehend operations in the hospitality sector. The measures will as
well minimize the company’s operational costs. Since the industry is defined by high staff
turnover, Sensational fast food restaurant will focus on implementing effective and standardized
training programs for its employees to develop their skills (Day 2004, p. 85).
Besides, Sensational fast food restaurant will make use of Porter’s generic competitive
strategies to enhance its success in the Indian market. The techniques include differentiation, cost
leadership, focus, and price strategy (Rey & Ritzer 2010, p. 29; Valdani & Arbore 2011, p. 26).
Through the cost leadership strategy, the restaurant intends to use affordable resources in the
production of goods and services in order to minimize operational expenses. As the one of the
owner of the restaurant, I comprehend that it has to decrease costs while increasing sales in order
to improve its performance. Therefore, the restaurant will purchase high quality raw materials at
a lower price from local suppliers. Additionally, it will rely on the labor in India to offer
customers memorable services. Being a cost leader in the fast-food chain industry in India will
undercut competition and result into increased market share.
Another marketing strategy that Sensational fast food restaurant will utilize as it plans to
venture into India is product differentiation. The company will focus on preparing products with

unique tastes that will satisfy the needs of the Indian population. To implement the strategy, it
will invest in advertising platforms that provide a detailed description of the products that will be
offered in all stores. The differentiation strategy will enable the company to compete with
established businesses in the Indian hospitality market (Botten & Mcmanus 2009, p. 46).
From the above strategies, it is evident that Sensational fast food restaurant will use
several methods to overcome competition. They include strategic alliances, sales forecasts,
marketing programs, branding, and product differentiation. Achieving success and growth in the
Indian market is the key objective of the business since the nation offers great opportunities for
firms that seek to venture into the hospitality industry. Sensational fast food restaurant plans to
implement the above strategies with the support of local agents who comprehend the legal
processes to be followed. Its emphasis on non-beef and non-pork products as its main recipe is
likely to attract the attention of many people since it appreciates the culture and taboos of the
region.
Since the business comprehends the significance of online marketing in contemporary
business environment, it will launch a website that is easy to navigate, access, and user-friendly.
The website will be designed in such a way that public forums will be encouraged to provide
customers with an opportunity to give suggestions and ask questions about the quality of services
and goods to be offered in India. Furthermore, clients will be allowed to use the web to place
orders for meals from any location. Online marketing has the potential to enable the restaurant to
outperform other companies in the sector that rely on conventional methods to reach the public
(Bailey 2011, p. 56).

Forecasts and Financial Data
As mentioned earlier, Sensational fast food restaurant India will be owned by two
individuals (I and my friend Erick). The launching of the company will require each shareholder
to contribute $450,000 as starting capital for the venture. The table below highlights how the
amount will be spent.
Details Amount Required in dollars
Marketing budget 250,000
Purchase of staff and company vehicle 200,000
Insurance 100,000
Working Capital 300,000
Initial lease deposits and payments 50,000
Total 900,000
In order to break-even, Sensational fast food restaurant needs to sell approximately
15,000 units. However, profitability will stabilize after three years of operation in India. Some of
the assumptions to be made as the company plans to launch its products into the Indian fast food
include the following: the company will be required to break even after producing 9,800 units on
a monthly basis. The fixed costs will be $30,000. Nonetheless, the restaurant will incur losses
during the initial two years of operation because it will spend a significant percentage of its
resources on development of infrastructure in the Indian market. Some funds will be used to
acquire new facilities, recruit and train employees, advertise, and implement promotional
strategies. The company will expand to other regions during the third year of operations in order
to increase its popularity in the market. Through the expansion strategy, Sensational fast food
restaurant will be in a position to acquire property at cheaper prices because its brand will be
known across India. Below is a table that highlights the projected profit and loss in the initial
three years of operating in India.

2017 2018 2019
Sales $ 403, 438 $ 463,992 $ 1,226, 764
Cost of sold products $40, 454 $ 46,389 $ 112,928
Gross Margin 80% 80% 80%
Operating income $ 353, 967 $ 398,816 $848,925
Expenses
Administrative and
general expenses
$ 175,000 $ 250,000 $ 300,000
Pay roll $ 98,400 $ 293,000 $ 450, 700
Payroll taxes $ 40,345 $ 42,065 $ 44,9047
Utilities and rent $30,250 $ 31,550 $ 35,037
Licensure and
professional fee
$ 12,000 $ 12,000 $ 12,000
Cumulative operating
expenses
$ 300, 850 $ 580,000 $ 915, 700
Cumulative profit
before taxation
$3,543 $141,577 $ 54,226
Net sales/profits -30.57% -26.18% 4.88%
Business Controls
According to Kyriazoglou (2012, p. 152), companies that thrive in their respective
industries focus on providing the target clients with unique products or services. Besides, they
have the capability to reach customers through effective product promotion strategies. However,
compliance and performance measures; business management controls; and internal control
frameworks are essential in enhancing the profitability of the firms. The primary objective of
business controls in Sensational fast food restaurant is to improve the process of defining

operational and strategic goals while guaranteeing compliance with regulations. The company
will ensure excellent implementation of its expansion strategies, assessment of the level of
performance, and analysis of the risks that are associated with operating in India (Harrer 2008, p.
63).
Furthermore, business controls will help the company to review challenges and issues
that impact its profitability. Consequently, it will implement solutions for improvement and
corrective actions to realize corporate compliance with business regulations in India as well as
meet the standards that are for firms in the fast food industry. As a managerial function, business
control entails directing, staffing, organizing, and planning (Baek, Ham, & Yang 2006, p. 685). It
is crucial in examining processes to detect errors to avoid deviating from normal procedures that
are by the Indian government. As such, it will ensure that Sensational fast food restaurant goal of
succeeding in the Indian market is realized in a legal and ethical way.
The restaurant will implement three main types of business controls as it plans to expand
into Indian market. They include visual, procedural, and embedded controls. Visual controls will
entail the use of budgets, scorecards, checklists, and dashboards to assess all activities that are
carried out by staff members as well as the management (Nurdin 2008, p.125). Procedural
controls, on the other hand, will entail having different individuals checking the utilization of
resources in the company. Additionally, they will be expected to review the firm’s hiring
processes and standardize sales. Embedded controls require the utilization of items such as
automated data backups, standardized contracts, and the created financial controls to safeguard
the company from unethical behavior or poor decisions.
In conclusion, the fast-food industry in India is growing at a rapid rate due to various
factors. Some of them include the rising population of working women, a younger generation,

and massive investment in the country. Sensational fast food restaurant has a chance of
succeeding in the market because some regions are unexploited. The primary target of the
company will be young consumers who are aged between 12 and 28years, whereas its secondary
target market will comprise people above the age of 28 years. However, the business will
encounter competition from other key international players that control over sixty percent of the
market. The firms include Domino’s Pizza, McDonald’s, Subway, Pizza Hut, among other
restaurants. To compete with the brands, the company aims to use various strategies such as
product differentiation and application of the technology in promoting its products. Additionally,
the company will design a unique logo that will be recognized globally as well provide its target
market with high quality services in an efficient manner. Its utilization of web marketing to
interact with the target audience, respond to questions, and ask for suggestions on how to
enhance the quality of services will also contribute to better performance. Other strategies
include being the cost leader in the market and the use of effective advertising and product
promotion techniques.

References
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Baek, S.-H., Ham, S., & Yang, I.-S., 2006. A Cross-cultural comparison of fast food restaurant
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Bailey, M., 2011. Internet marketing an hour a day. Indianapolis: Wiley Pub.
Baisya, R. K., 2008. Changing face of processed food industry in India. New Delhi, Ane Books.
Botten, N., & Mcmanus, J., 2009. Competitive strategies for service organizations. West
Lafayette: Ichor Business Books.
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behaviour for food and grocery retailing in India. International Journal of Retail &
Distribution Management, 35(1), pp. 68-86.
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Ghosh, A. M., 2007. Location strategies for retail and service firms. Lexington, MA: Lexington
Books.
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Wiley.
Judge, T., 2008. Culinary delights of the southern beaches: Dawes journal of fine foods.
Basingstoke, Palgrave Macmillan.

Kyriazoglou, J., 2012. Business management controls a guide. Ely, Cambridgeshire: It
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Heidelberg: Springer.
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business best practice across cultures, countries and organizations. Oxford, CIMA.
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