Marketing Strategy of Tung Lok Essay

sensory system of entryIn international marketing, modes of entry indicate the risk of foreign market represents, the amount of resources essential and how the guild can enter the market. Political risk and financial risk are the two major(ip) factor that Tung Lok pass on assess to understand deeper the United Kingdom markets before investing in. The purpose of the political risk assessment is to evaluate the political stability of UK. The changes in a countrys political structure and policies can cause the loss of the investment or business.T here(predicate) are 3 main types of political risks here Ownership riskOperation riskTransfer riskNaturally, UK judicature activity will favor the topical anesthetic companies than the foreign companies in order to encourage the domestic economical development. So the foreign companies will counter many policies which can lead to the end of their business such as Expropriation and Confiscation. The companys assets will be seized and an amount of compensation will be paid to the owners, which is a form of expropriation. Confiscation is a transfer of the ownership from the foreign company to a host company without any compensation. The foreign company can non be operated by broad(a)ly foreigners as the foreign worker quota is limited. The g all overnment will demand a partial transfer of ownership and management to the local and implant regulations so that a large share of the product is locally produced and the main profit remains in the country.This knead is domestication. While shifting funds between countries, many companies running overseas are facing uncouth problems, for example, shortage of foreign currency in the local bank. Government officials drag on the negotiation as foreign company requires more approval letters and documents. High tax and government price rig of the import affect the competitiveness of the company as the input price increases. To deal with these problems, long full term contrac ts should be formed with the potential drop and essential partner companies to ensure sustainable resources.In order to pass over the UKs market, Tung Lok can approach in an direct way exchangeable franchising. A local eating place or company will cooperatewith Tung Lok and the name of the restaurant will be Tung Lok too. Facilities, decoration and operation will be in Tung Loks control and adjustment, however, the staffs, faction members or the intellectual nourishment supply will be recruited locally. This method makes sure that Tung Lok holds a steadfast business ground even though 30% of the profit stays back in UK. engineer marketTung Lok restaurants are famous about their Cantonesecooking style which offers exclusive collections of refined dinners and continually attract the loyal followings. Each of the restaurants offers various courses of dining concept targeted at different market segments, from cypher individuals to high-income customers. The primary market is the British who earn a middle or upper income. Chinese viands can be popular and the intensity is nip and tuck but Britain is the largest market in the world and the body politic of opportunity. The main menu consists of many traditional Chinese dishes at an average or slightly supra average price. The restaurant will be located further to the center of London to cut live of the rental, however, near to some business and office district like Canary Wharf in column Hamlets, London with high concentration of shops and businesses.Officers can prefer a quick bite at the Asiatic restaurant with a warm and relaxing atmosphere. The secondary target market is the British Asian in UK, which consists of 8% of the total UK population, 63 million people in 2013. The British Asian is highly dent loyalty and favorite the Chinese culinary art. Tung Lok restaurants commit to bring the finest and freshest of the food to the customers with the upmost care in the most authentic Cantonese style. T he group not only brings a Asian kitchen to UK but also the entire culture and tradition to experience here in Tung Lok. Marketing positioningAs a newly seted restaurant in the region, Tung Lok aims to establish and stabilize the business in the first 4 months instead of maximize the profit generator. This period of time is crucial to Tung Lok as the initial come across and reputation will position in the customers minds and slowly but steady build up the tell on loyalty. Certainly, the prices in the menu are final and, best, kept constant throughout the business. Since the priority is quality over price for the starting period, promotion and advertisement can bepublished in the newspaper and most the area. The restaurant is not confident that the first month will have any profit delinquent to the intensive investment and slow business, however, a possible goal to strive for. Deals and happy hours are mutual to attract new customers attention with family deal combo and crowded group of officers.Saving cost does not mean treating the staffs poorly as outstanding food must come with good services. Staffs must be provided uniforms and chef must be equipped with sufficient kitchen tools and raw materials. Trainings are provided to all the crew and facilities must be maintained to the upmost level of cleanness and tidiness. Safety and standardization must be set as the bottom despite the costly price. Fierce competition from local shops will snatch the customers away and customers can unconsciously deny Chinese food. So the taste of the food will be edited slightly to reason the locals appetite closer but not removing the authenticity of the dish. Marketing objectiveA detailed schedule shall be prepared and filed in Singapore to propose to UK authority for approval to launch our restaurant at the end of 2013. From January 2014 to June 2014, 1 team needs to research and study the local trends of food favor and appetite to create most suitable dishes in Canto nese style but suitable for the British. other team will investigate and liaise with a Britain company to find a location for the restaurant. The restaurant will be in operation in latest October 2014 and till the end of 2014, the restaurant will set a goal to create 10% of customers awareness through any means like advertising and promotions.Executive SummaryTung Lok Group is a chain of Chinese restaurants paved the newfangled Chinese cuisine in Singapore. The first restaurant was opened in October 1980 at Corthorne Orchid Singapore. The dishes here are served in Cantonese-cooking style and attract a lot of diners attention. Currently, Tung Lok Group consists of 40 restaurants in Singapore, Indonesia, and China bearing the famous hallmark reputation of high-quality food, exceptional service and outstanding design. Andrew Tjoe is the executive chairperson and the very founder of Tung Lok. In 2012, due to many external factors such as economic crisis, raising completion and intern al factors like closure of 6 Tung Lokrestaurants, the revenue decline to S$86.6 million from 94.3 million from past years.However, Tung Lok still has a higher gross margin of 71.6% from 69.9%, gist Tung Loks business is operating profitably. The Asia market has become saturated of Chinese cuisine. A raising need for a new market to invest in is very necessary. So a faraway land decided to place the Groups future in is London, England. Locally the Chinese cuisine restaurants have appeared for a long time but the intensiveness is low, moreover, their category and nature are tout ensemble different from Tung Lok. Cantonese-cooking style is not properly introduced in London and most of the restaurants serve non-authentic or similar recipe. A fresh and enormous market like United Kingdom is very potential and promising for Tung Lok to bloom.