Presented By:

Ansh Aggarwal
Kuhu Pathak
Varun Nigam
 Introduction I Company Overview I Market Analysis I Industry Analysis I Problems Plan of Action I Recommended
Approach I Conclusion

Difficult road for Mia Foster, New

CEO

Lack of Wall
China’s
internal street’s Stock Chen’s
Local GAAP Cost
mgt confiden Price Attitude
taste
exposure ce
 Company Overview
Introduction I Company Overview I Market Analysis I Industry Analysis I ProblemsI Plan of Action I Recommended
Approach I Conclusion

- Mia replacing departing

founder/CEO of the
company
- 3500 quick casual
- Franchised
- Publicly traded
- Flexible marketing and
menus in America
- Domestic demand
U.S.A - High quality fast food
- Customer oriented policies
- Risk taker
- Organic ingredients
- Keeping up to date
(CCO)
- Interior design

Forget today’s profit. Have a positive impact on customers

 Market Analysis
Introduction I Company Overview I Market Analysis I Industry Analysis I Problems I Plan of Action I Recommended
Approach I Conclusion

Why China ?
Stock Market
Speculation

Local market Lucrative

Saturation Market

Increasing GDP

Success of Sticking to
competitors strategy of
like KFC , Mc international
Donald expansion

To check the
untapped
potential
 Industry Analysis

Introduction I Company Overview I Market Analysis I Industry Analysis I Problems I Plan of Action I Recommended
Approach I Conclusion

China :
Food intake is increasing
Eating habits are different than Americans
Largest producer and consumer of Rice
Introduction I Company Overview I Market Analysis I Industry Analysis I Problems I Plan of Action I Recommended
Approach I Conclusion

Q1) What is your Evaluation of the way

Levendary Café has entered the China
Market?
• The organization foundation- Blending Concepts and Operations
 Serving the U.S market
Local menu adaptions, the American consumer,
Customer delight, customer meet request
evolving menu choices.

Expanding: The Investigation

China was conducive for investment, population An affluent middle class, foreign fast food
and GDP growth companies attracted the most attention.

Leaping into china

Louis Chen, a strong market position. Right concept, flexible, bright future.
Introduction I Company Overview I Market Analysis I Industry Analysis I Problems I Plan of Action I Recommended
Approach I Conclusion

Q2) What changes should Mia Foster

make? Specifically, what should she do
about Louis Chen? What changes would
you propose at headquarters?
 Changes Mia Foster should make
• Financial Reporting - There should be a China HQ to take care of the
Financials reported in Chinese format.

US HQ

China HQ

China restaurant 1 China restaurant 2 China restaurant n

 Changes Mia Foster should make
• Restaurant design – Restaurant design should be consistent with US
restaurant designs. Restaurants can be small or big to suit the location.
• Food Menu – McDonald’s style menu design should be used.
• Louis Chen – Foster can try to make him understand that standardization is
important and can be achieved.
Introduction I Company Overview I Market Analysis I Industry Analysis I Problems I Plan of Action I Recommended
Approach I Conclusion

Q3) Prepare a specific action program

for Foster to help her deal with the need
for continued growth in China. What
should be the agenda for her meeting
with Chen?
• Levendary Café is a MuR Business.
• There seems a missing link between the two cultures that is not
being understood by headquarters .
• Heirarchical Structure:
• USA: Top -Down Approach.
• China: Bottom- UP Approach.
• The adaptation China requires for a business from the USA.
• Phase 1:
• Building a team for MR. Chen.
• Making Chen understand what are the Levendary Café’s core values.
• Renovating the current layout of the stores.
• Phase 2:
• Invest more from USA.
• Have more control on Chen from Foster.
 Recommended Approach

Introduction I Company Overview I Market Analysis I Industry Analysis I ProblemsI Plan of Action I Recommended
Approach I Conclusion

Follow KFC’s and

- Motivate &
other successful Transparency by
recognize Team for Chen
American restraunts setting up processes
- Train the employees
approach
 Conclusion

Introduction I Company Overview I Market Analysis I Industry Analysis I Problems Plan of Action I Recommended
Approach I Conclusion

 Following proposed strategy

 Confident about the meeting with Chen
 Flexible Marketing Strategy
 Satisfying all : Wall street, Chen and foster
 Trade offs