International Business Strategies

CONTENTS

EXECUTIVE SUMMARY. 2

INTRODUCTION.. 3

PRODUCT. 4

1.0 HOST/HOME COUNTRY. 5

1.1 INTERNATIONAL STRATEGIES & ENTRY MODE CHOICES. 8

2.0 MARKETING TGKF IN NEW ZEALAND.. 10

2.1 PRODUCT DECISIONS. 10

2.2 PRICING DECISIONS. 11

2.3 PROMOTIONS DECISIONS. 11

2.4 SALES PROMOTIONS. 12

DISTRIBUTION DECISIONS. 12

3.0 HUMAN RESOURCES. 13

CONCLUSIONS. 14

BIBLIOGRAPHY. 15

EXECUTIVE SUMMARY

The report starts with a description about the product discussed in the report The Great Kabab Factory. It starts by giving a brief snapshot about the company profile of Carlson Hospitality and the birth of TGKF in India. The second part of the report introduces the concept of home and host country. It discusses India as the home country and New Zealand as the host country. Positive trend relating with population demographics, spending patterns, eat out culture of Auckland and the rising concern for healthy foods is discussed here. The report then discusses the concept of International strategy that RHW can adopt and the mode of entry in the Auckland market that can be taken. The report presents an in depth look into the franchisee franchisor model.

The second half of the report discusses how it should break its marketing tactics into product, promotion, price and place mix. Each part is discussed in-depth here individually.

The third and final part of the report discusses the polycentric approach that RHW can look to adopt as a part of its human resource strategy considering the dynamics of the business and the challenges of the internal and external environments.

INTRODUCTION

The group has gained significant popularity over the years and has opened more than 3000 hotels in the last decade all over the world. The company`s growth philosophy centres around expanding their global presence through networking with potential partners and delivering value to its clients. The company also has a worldwide training program called the YES I CAN which trains its employees and partners to provide impeccable service and top shelf value to its customers at all points of contact.

TGKF is a casual Indian style dining restaurant which specialises in kababs only. The chain is known for 99 varieties of kebabs in India and other neighbouring countries and has gained significant popularity over the years.

New Zealand on the other hand, has seen an increased migration over the years especially between Indians, Chinese, Middle Eastern and other Asian country people.

With migration on the rise, Auckland is now seeing a massive mix of demographics. Auckland is hub for many multi cruise and speciality restaurants. The concept of TGKF will be a great concept to introduce as it will appeal to primarily all segments of the population. The report discusses how RHW can look to introduce this idea in New Zealand and capitalize on this concept.

PRODUCT

The company is a joint venture between the US based Hotel Group and Delhi based real estate and hotel developer UMAK (Talreja, 2007). The restaurant chain has significantly done well in the last 5 years and gained tremendous popularity in India. The company now has extended its operations to other countries like Bahrain, Pakistan, Saudi Arabia, Oman and Dubai in the last four years. One of the reasons for choosing this product was that the restaurant is based on a special factory theme in decor, extensive menu based on 99 varieties of kebabs daily with a variety of Indian dals, rice and other traditional favourites like paneer [cottage cheese] dishes. The restaurants variety complemented with the idea of unlimited food with various alcoholic drinks makes it a wonderful concept for traditional and modern food lovers. A state of the art live cooking facility on display, cutlery and crockery styled in the form of a screwdriver and a theme dcor, where the staffs are dressed in jumper suits depicted a typical factory worker dress and traditional Indian and Middle Eastern music makes the whole idea very favourable. The kababs recipe is a secret as the masalas [spices] used in the food come from a hidden sources in Lucknow, India. These form the basis of the dishes and give them the look, feel and taste which make it so popular. The restaurant was first launched in Delhi in 1998 and was a huge success both to the local and international tourists. Looking at the popularity of the concept, I thought of using the product [TGKF] as my product for this project and writing a report as a business consultant.

1.0 HOST/HOME COUNTRY

The home country for this report is India. The concept of TGKF is a booming concept which originated, perfected and boomed in India and is now gaining significant popularity all across the globe. The headquarters is located in New Delhi, India and RHW controls the property, assets or companies located in the host country [India]. The company runs the restaurant proposition and develops partners locally and internationally to diversify their business.

The country chosen by me as the host country will be New Zealand. The city will be Auckland.

Trends supporting TGKF

Health concern in New Zealand

In New Zealand, health survey by the ministry of health found out that 57% of adults gained 10 kgs or more since the age 18 years. Among children in 2002, 21% were overweight and a further 10% were obese (Turnley, 2006). New Zealander`s in my opinion are getting more health conscious and looking for healthy eating alternatives as a part of their lifestyle. Fast food chains like subway which have shown consistent growth in the country also show an increasing trend towards healthier choices. The