Operations and Supply Chain Management
Product: Baked Potato
1.0 Introduce Baked Potato
A baked potato is sometimes called a jacket potato in the United Kingdom. The baked potato has been popular in the UK and French for many years. In the mid-19th century, jacket potatoes were sold on the streets by hawkers during the autumn and winter months. In London, it was estimated that some 10 tons of baked potatoes were sold each day by this method. 1.1 Research Methodology
Our group search secondary data from internet which is gourmet reviews in French restaurant. And we conduct interview by asking 30 peers of their eating preference and their preference degree of potato.
1.2 Target customers
All kinds of people but mainly targeted on youngsters who aged 14-28. It is because they are more willing to buy snacks that cannot buy at traditional restaurants , more interest on trying new thing and they are the Main purchasing group in the society. Besides, we also aim to vegetarian, since potato is quite popular among vegetarian food, by means of adding some toppings and baking, can make a plain potato become delicious in order to attract vegetarian. Furthermore, since we choose organic ingredients and potato are imported from Hokkaido, this is favorable to those people who like to have healthy food.
1.3 Customers Needs
Hong Kong is a busy international city, time is very important to everyone, therefore customers in Hong Kong would like have fast and convenience meal. Potato Balls can be served as breakfast, snacks or even fast meals. Customers can spend fewer time for eating. Additionally, we notice that eating is a good way to release the pressure and relieve the nerves. Eating is one of the most effective ways to cope with stress.
2. Competitive strategy- Differentiation strategy
There are various street food stores in Mongkok. Also variety of street food to let customers select. So the customers can always make their own choices according to their own preference for different types of food and the prices they have to pay, etc. In order to protrude our store with a difference from the street, we decided utilizing differentiation strategy to draw the customers' attention.
2.1 Quick sale with promotion
Nowadays, customers always focus on the food quality and not willing to buy food which is not freshly made. Therefore, we promise that all products are made instantly and will not keep more than 5 hours. Also, due to serious inflations problem in Hong Kong, most customers like discount, even though the product is not essential to them , if only show the “on sale” then will appear lots of people right there. So our store hopes that can attract more customers through the flash sale. For example, offer discount with time limit, 4:00p.m.-4:30p.m. buy two get one free, etc. We choose this time-slot because that is the off school hour, which suit for one of our main target, teenagers.
2.2 Reasonable Price
We set the price of our product is $10 per ball. Since we choose Mongkok to set our store, which is an area full of tourists and middle-class citizens. We should not set the price too high, which they can't afford or not willing to pay; but also not too cheap, since they may think it may not be a good quality product. Therefore, $10 is reasonable, that most people can afford. Besides, as we are running a business, making profit is also essential for us, therefore after calculating the cost and other expense of the store, $10 is reasonable and profitable and we can make profit on it.
2.3 Unique throughout the industry
As mention before, there are many different kinds of snacks store at Mongkok, but do not have other similar stores which sell baked potato balls in that area. Therefore, it will be a new thing in that region,whenever there is any new store appear in an area, people will have intention to try it due to their curiosity, and this is also...
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