Fast Food and Subway

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GROUP ASSIGNMENT

Group Members : > MERVYN ANTHONY FRANCIS
> SALMAN ABDULNABI
> MOHAMMED USMAN
> MUHAMMAD JAFNI KALINOSK

introducing

1.0 INTRODUCTION 1-2

2.0 MEGA ENVIRONMENT

2.1 INTERNATIONAL ELEMENT 3-4

2.2 SOSIO CULTURE ELEMENT 5-6

3.0TASK ENVIRONMENT

3.1CUSTOMERS AND CLIENTS 7-10

3.2COMPETITORS 11-13

4.0CONCLUSION 14

5.0 REFERENCE 15

1.0 INTRODUCTION

First and foremost, we would like to introduce the organisation that our group has chosen to conduct our research on the given research area. Our group has chosen an organisation called Subway to be our research organisation. Take note that all the information provided is based on a research country only which is United States(US) for better understanding of the environment of the Subway organisation.

A brief history about Subway, it begun when young Fred DeLuca (picture1) decided to fulfil his ambitions and dream to become a medical doctor and a family friend suggested him to open a submarine sandwich shop to save up for his college fees. Fred was then offered a S1000 loan by his friend, Peter Buck ( picture2) who then offered to become Fred's partner. A fragile business relationship was formed which actually changed the landscape of the world's fast food industry we are in today.

The partner's first restaurant was officially opened on August 1965 in a location called Bridgeport in Connecticut and was originally called "Pete's Super Submarines. Currently, Subway is owned and operated by Doctor's Associates Inc. In the year 1968, Pete's Super Submarines were officially called Subway (picture3) for the first time. In 1988, it was proclaimed a major health food destination when Jared Fogle(picture4) a 190kg student from Indiana University, lost 107kg when he took on Subway's sandwiches as his diet with some exercise.

Currently, Subway has 38123 restaurants in about 99 countries (August 2012, Subway's statistics) and serves sandwiches, salads, chips, cookies and various soft drinks. So, if you are looking for a good healthy meal, it's SUBWAY. 1

Picture 1 : 1st Subway restaurant
Picture 2 : Fred DeLuca , founder of Subway

Picture 3 : Peter Buck , the courtesy of Subway

Picture 4: Jared Fogle
2

2.0 MEGA ENVIRONMENT
Hill & McShane ( 2008 ) defines mega environment as everything outside a firm or enterprise that might affect the ability of the enterprise to attain its goals.

2.1 INTERNATIONAL ELEMENT
Hill & McShane ( 2008) defines international element as the development of countries outside an enterprise's home country than have potential to influence the organization. Subway has been growing as a multilevel organisation throughout the years, expanding its branches internationally as wildfire. Subway, in a mission of delivering a healthier alternative to fast food , has been accepted into many international countries worldwide in a short timeline. Reviewing the growth of its franchises in the last five years , there has been a significant increase in between each year. ( table 1 and table 2 ) . Year| United States| International|

2012| 25 370| 9014|
2011| 24 722| 8481|
2010| 23 411| 7235|
2009| 22 525| 6484|
2008| 21 685| 5572|

Table 1 : Franchise Growth [ Subway ( Entrepreneur , 2012 ) ]

Years| United States ( % )| International ( % )|
2008 - 2012| 14.52| 38.19|

Table 2 : Percentage Franchise Growth [ Subway (...
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