• A. PESTEL analysis for OTFL showing the strength/impact of the factors.

Source Implications Certainty Impact

Political P1. Political P1. +ve 3 5
Stability Because stable
political situation
with few unorganized
unrests has been
detected in recent
years for Bangladesh
where sales have been
increased

P2. Economic P2. +ve 5 5

growth Because easy export
and import
opportunities for
OTFL means better
and low priced raw
material will lead to
affordable pricing to
the customers sales

Economical Ec1:GDP GR is Ec1: +ve 5 5

8.13% Because the consumer
spending nature is
shifting towards high-
end dining experiences
like OTFL as the
affordability of the
consumers is
increasing because of
the increased GDP
which leads to more
revenue generation

Ec2: PCI $ 1886 Ec2: +ve 5 5

As the per capita
income is gradually
increasing, there the
consumers are leaning
toward spending more
on high-end foods and
dining experiences
 Ec3: Inflation Ec3: -ve 3 5
Rate: 5.52% Because the higher
(current); 5.62% inflation will increase
(projected the prices of the
materials along with
the menu items but the
individual income will
not increase which
will reduce the profit
generation of the
company

Social S1: around 60% S1: +ve 5 5

youth: unit/single As eating out has been
family focused chosen by the
consumers as an
alternative form of
entertainment
activities for the
consumers resulting a
persistent drop in their
reliance on home-
cooked meals, there
the business will sell
relevant products to
the targeted consumers

S2: urban people S2: +ve 4 5

are now more As the brand is
hygiene conscious currently focusing on
delivering
hygienically prepared
great tasting food at
conveniently located
restaurants and stores
throughout the cities,
there the urban people
seem to take the
services of the brand

Technological T1: technological T1: +ve 5 5

orientation is Because of the usage
growing high of internet capable
mobile services has
increased and the total
number of Internet
Subscribers has
reached 93.102 million
at the end of march,
 2019.

T2:Government is T2:+ve 4 5
investing in The focus is to
infrastructure develop metro rails
development and flyovers inside
Dhaka city and
reconstruct few
important highways
connecting major
metros which will
increase market
dynamics for food
industry in
Bangladesh.

L1: Government L1: -ve 4 4

Legal has raised carbon A carbon tax would
tax by 3% and increase costs for food
lowered the limits industry but raise
of emersion by 2% government revenue
and by increasing
revenue government
invest in another
infrastructure or
developing industry.

L2: safety L2: +ve 3 5

regulations and Labeling the food
rights for the information is going to
customers be the new policy is to
be established in the
market by this year
which will give the
customers the right to
know and challenges
the producers. Thus
customers can know
the quality of the food
they are consuming .
L3: 15% VAT for L3: -ve 4 5
all the restaurant This is basically the
new law has drawn
widespread criticism
as it will impose a
15% VAT for all the
restaurant effective
from 2017 keeping the
import duty is at 25%
on all imported coffee
and during products
same as 2016.
Environmental E1: climate change E1: -ve 3 5
affect market Heavy rainfall,
dynamics weather change
situation affects the
business as most of the
people now a days are
preferring staying
indoor, for their
entertainment
activities.