CREATIVE GROUP
CONSULTANCY
Belive in quality to create opportunity
EXECUATIVE SUMMERY
We are live in a globalization world where distance is reduced by using technology and different invention of science. We can buy product or service just by clicking of a mouse. Free trade makes the opportunity for the business around the globe. But to do the business we need to understand that country and business environment. To analyses that country we have to use different tools and techniques (Steaven, J.S, 2009). In this study we use some tools that are PESTEL to understand the business environment. BCG matrix is also used to understand the business position in the market. SWOT analysis is use to understand the business opportunity and threat. We are discussing about two different, which are situated in long distance for that reason cultural factors, human attitude, behavior and life style has a massive difference. So Hosted dimensions model is used to identify the socio-cultural difference. Beside this marketing mix including & 7p’s are used to discuss the marketing strategy.
Market and product selection:
Subway is one of the successful fast food businesses in the world. Subway currently operates in hundreds of countries including most unusual location on earth. We choose these countries because of both has different economic levels in this paper we are going to have a look only in the USA and Indian market to make a critical analysis. Fast food industry is one of the competitive industries in the world, USA and the Indian market is no exception. That’s why it is important to carry out PESTEL analysis, GE and BCG matrix to identify the position of Subway within the healthy fast-food industry. USA and India has a very positive political environment and the food industry is very much extended as the region is also expanding in both the countries. Both countries economic level is also different whereas India GDP is $5425 Billion and USA is $17528 billion (IMF, 2014). So economic levels are different and potentials customers buying power and buying behavior is different as well. Even though India has a diverse weather in different states and regions, but the weather is not very extreme in any region that can hinder the service and marketing of fast foods. On the other side USA also has a diverse weather but not very extreme which make it easy for serving and marketing fast food service like Subway. When Subway was first introduced in USA as a health conscious fast food service, it has become an integral part for health conscious American society. Subway capturing the Indian market because of different taste, different food menu by focusing the Indian consumer those are different in religion, geographical issues etc. society. Another important point is both USA and America are considered as technologically advanced country which create the opportunity to know more about the world. Most notably, India is a rising star in the world economy as it is considered to become one of the economic giant in near future. Where the economy is very big, it is very much possible to increase business in any industry. USA is also having a stable and steady growing economy, which makes it a favorite place for investors. If it is tried to analyze and identify the current position of Subway in In BCG matrix, Subway is evidently the ‘Star’ as it has the largest market share and the healthy food industry is a very fast growing industry. Even though other fast food chain as Burger king or McDonalds has almost similar market share, but still health conscious Subway service is ruling the market and economy that’s surrounding the healthy fast food industry in both India and USA. The possible threat that Subway might have is product variation of Mc Donald or Burger king in near future. To tackle this, the research and development works is needed to be strong along with good marketing and advertising. Therefore, the tough industry leaders will be able to rule and retain the position it acquired in USA and Indian economy.