Swot Analysis Of Pizza Hut Marketing Essay

You are freshly appointed as a Marketing director of a Pizza Hut eating house. You are required by the Managing manager to place the followers to better its market portion. You are required to utilize the company and the merchandise of your pick for this assignment.

Question 1

Conduct a SWOT analysis on Pizza Hut Restaurant at your topographic point to place the company and market portion position.

Question 2

What marco-environmental factors would impact on the operation of Pizza Hut eating house at Malaysia?

Answer for Question 1

1.0 Introduction

The acronym of SWOT analysis is Strength, Weakness, Opportunities, and menaces. In definitions strength and failing are the internal factors whereas the chances and menace are the external factors. SWOT analysis is a celebrated tool and is a stratergic planning method used for analysing the scheme of a concern, merchandises in its environment. It is a method used to specify the strength, failing, chances and menaces that are involved in a concern or undertaking venture. It is to place the internal and external factors in the market because there are many rivals in the market hence SWOT analysis is a utile tool that can place and analyse. Strengths are the power that able makes a merchandise or a concern accomplishes the mission. This can be go oning success with the power of the qualities. The goods can be touchable or intangible. Strength is the good facets in services or in an organisation. Weakness are besides internal factors that avoid from accomplish the mission or achieves the end. It will impact the merchandise or the concern market growing. It besides an facets that non run into the qualities or criterions of the consumers or in the market section. For illustration, in cordial reception industry the failing can be high employee turnover. Opportunities are external factors that the organisation or merchandises have broad scope of betterment. The benefits are in its surrounding or the environment schemes able to go more profitable or broad market scope. Menaces are besides external factors means the external environment. It affect the sustainability and profitableness of the merchandise or and organisations concern. Every concern or merchandises have to be watchful with the menaces. Pizza hut is an American fast nutrient eating house. In the twelvemonth of 2012, Pizza hut mercantile establishments in USA are more than 6000 and 5200 shops outlet in 94 other states. In Malaya it has over 200 shops mercantile establishment. The Pizza hut is besides under the KFC Holdings ( Malaysia ) BHD.

2.0 SWOT analysis of Pizza Hut

In every concern company should hold SWOT analysis tool, it could analyse strength, failing, chances and menace in every organisation. Based on the inquiry pizza hut is a concern company therefore it have the SWOT analysis for the merchandise or the services. The SWOT analysis for pizza is shown below: –

2.1 Strengths

Pizza Hut are specialize in pizzas.

Pizza Hut does n’t hold any pizza ‘s rivals and they face really low competition in the market.

It is the taking trade names of the pizza.

Pizza Hut is good known by everyone no affair is eldest or younger.

In every state they besides have their ain mercantile establishment and shop.

It is a topographic point suited for household dining

there are set for household and single with sensible monetary value

Pizza Hut has their ain full service eating house and bringing services compare to others Fast Food Company.

at that place have their ain loyal client

Pizza Hut have a big market portion and hold a strong web comparison with other fast nutrient eating house.

Pizza Hut besides has a strong advertizement and many media help to pull people

Pizza Huts shop mercantile establishments in Malaysia have many thoughts for the pizza.

Every few months or seasons, it will come up with many spirit of the pizza and it will pull more clients to seek the new thing.

Strong franchisees networking

2.2 Failing

Communication accomplishments between worker and client are bad

Customer service are non fitting client outlooks

Food is non fresh plenty

Need to wait really long to be served even is wait to be seated or take order from client

Not in clip to present the pizza

Loyal client is worsening because of the satisfaction of the pizza

sometimes the nutrient are non run into the guest outlooks

Lack of invention

Internal factors among the franchisees

The bill of fare is complicated because there are non merely pizzas but other assortment of nutrients.

Pizza hut bringing have charges but other rival do n’t hold

Pizza Hut face higher operating expense of costs to cover with while other rivals do n’t hold to

2.3 Opportunities

Although they have many mercantile establishments around the universe but they can research a new market and addition chances

Pizza Hut should make different spirit and different crust size

New merchandise development can increase their market portion

Make a new pizza spirit such as Thailand Tom yam

Pizza hut can concentrate on eastern gustatory sensation because there are more focal point on western gustatory sensation

2.4 Menace

There are many pizza rival in the market

Domino pizza is the big rivals to Pizza Hut because they provide a good and efficient bringing.

Cheese cost are increasing hence the monetary value of pizza will increase excessively

Under independent eating house can act upon pizza hut market portion because there are sell pizza with lower monetary value

Location is a of import thing because non every location have the possible client to afford the repast

2.5 Market Share Status

The market portion that I have observed is Pizza Hut in Jusco Kinta City. The market portions in Jusco Kinta City are non fixed because in the shopping promenade have many other fast nutrient eating house and other nutrient stall. Although there are many people in and out, but the possibility to walk in to pizza hut is about 15 % because other per centum will travel to others nutrient eating house such as McDonalds, KFC, Kenny Rogers and others nutrient eating house. However, the Pizza Hut in Kinta City able to prolong the operating expense cost. Although in Jusco Kinta City have many rivals but they have many walk in clients. In add-on, there are many client when comes to festival because many people will shop in the promenade and at that place will hold festival price reduction offers. Besides that, Pizza Hut have group or cooperate offered and others combo offer for tiffin and dinner. Furthermore, there will be publicities like giving out those price reduction voucher and any others benefits like lucky draws for free repasts. Jusco Kinta City is one of the celebrated shopping promenade in Ipoh, so that they have more opportunity to acquire clients. In add-on to that, the location of the store in Jusco Kinta City is a really strategic location whereby, there are a batch of possible clients go throughing by the eating house and will decidedly detect the eating house. From my observation, most of the people prefer to hold their dinner at that place. Besides that, based on my observations, most of the eating houses there are largely new because most eating houses do non prolong really long in the shopping Centre. Pizza hut on the other manus has been at that place every since the shopping Centre was built and have gone through several redevelopments, therefore I would presume that their concern there is rather profitable and is continuingly turning. Therefore, the market portions of Pizza Hut in Jusco Kinta City can be sustained and able to get by with the overhead cost.

3.0 Decision

SWOT analysis can be touchable or intangible. Every organisation have the ain SWOT analysis for analyze the internal and external factors. Pizza Hut has broad scope to better because nowadays people are with high outlooks. Besides that, the mercantile establishments in Kinta City have to be after more things such as publicity, advertizement to pull more clients and better the service in the eating house. From my point of position, pizza hut can better their service and communicating accomplishment by more preparation to heighten their concern. Besides that, internal factors between franchisees have to be solved because it will impact the concern between each other. In add-on, the bringings services have to on clip and do certain the nutrient are still hot for clients.

Answer for Question 2

1.0 Introduction

Marketing environment activity is influenced by several factors inside and outside a concern house. These factor or forces act uponing selling determination devising are jointly call selling environment. It consists of all those forces which have impact on market and selling attempts of the endeavor. Selling environment has included both governable and unmanageable forces. It have divided into two types, it is microenvironment and macro environment. Based on the inquiry, macro environment of Pizza Hut are the factors and forces that can act upon the market environment. Macro environment is external factors that affect the concern in the market. This construct consists of economic system, human ecology, political, natural forces, cultural and engineering. Demographic is the human in footings of age, size, denseness, location, gender, race, and other statistic. Economic are the big factors because will impact consumer to purchase and their disbursement forms. Political includes of Law, authorities bureaus and the force per unit area groups affect organisation. Natural forces means that we could n’t command such as pollutions, authorities intercession. Cultural forces that affects society basic value, behaviour and penchants. Technologies are the most changing environment because engineerings are mushrooming twenty-four hours by twenty-four hours.

2.0 Factor of environment

Macro environment are external forces and factors affect in an organisation. Based on the inquiry, what macro environment factors would impact Pizza Hut operation in Malaysia. In the history of Pizza Hut entry the Malaysia market, Cerebos is one of the proprietor that ain 29 Pizza Hut mercantile establishment and all these mercantile establishments are sell to KFC Holding ( Malaysia ) BHD. Until now, every province in Malaysia has Pizza Hut shop mercantile establishments. There are more than 100 mercantile establishments in Malaysia. The macro environment which means the external factors that affect Pizza Hut are includes of demographic environment, economic environment, natural environment, technological environment, political environment, and cultural environment.

2.1 Demographic environment

Demographic forces such as age, locations, and race. Pizza Hut is a eating house that attracts people no affair immature to old. Besides that, bulk of their client are Malays community. For the Chinese and Indians community will be lesser. In add-on, the populations of Malays community are high, so that they have more and more kids, hence when a kid requested to eat, of class their parents will convey them. In Jusco Kinta City, there have a few fast nutrient eating house included Pizza Hut. Although, non every people taste are the same but Pizza Hut ‘s Pizza gustatory sensation are suited for everyone. In add-on, to that, Pizza Hut in Malaysia will come up more assortment of Pizza to pull client. For illustration, Pizza Hut that I have chosen earlier is at Jusco Kinta City Ipoh. It is a shopping promenade, hence Pizza Hut have more chances on walk in client because shopping promenade have many people in and out non count what age. Although, there are many assortment of eating house but at least they have opportunities to acquire more client.

2.2 Economic environment

Economic forces are the forces that will impact concern. Factors in the economic system consist of the unemployment and the rising prices rates. Economic is one of the forces that we could n’t command because this will be based on the state rising pricess. When it comes to economic job, the consumer will alter their purchasing power and their disbursement forms because they have to purchase what they need foremost so they merely can look for their wants. Besides that, some consumers debt degree are lifting and their income are still the same, hence this sort of consumer have to look for their demands foremost and their disbursement forms will alter base on their incomes and debts. Not merely that, for some of the wealths like man of affairs, when comes to economic job there are lesser rich people to purchase Pizza Hut franchisee because they will certainly loss a big sum of money alternatively of net incomes. Furthermore, there are many rivals in the market such as Dominos Pizza, Papa John ‘s, and any other eating house sell Pizza with the lower cost. For illustrations, in Malaysia now have many others rivals such as Dominos Pizza because Dominos are more on bringing but still Dominos Pizza franchisee are strong. Therefore, Pizza Hut has to come up more particular publicity or good thing to pull more clients.

2.3 Natural environment

Natural environment besides a external factors that affect concern. As the word natural means something comes all of a sudden and it could n’t command. Natural environment such as natural pollution, cost of natural stuffs and any other natural forces. For illustration, Pizza Hut has the high operating expense cost because they are non merely functioning bringings but besides walk in client. In this point, they have to lade many natural stuffs. As the natural forces have made the cost of natural stuff growing, therefore the cost for the natural stuffs for Pizza Hut is high. Besides that, pollution presents is increased. This may impact those manufacturers to bring forth natural stuff for them. In add-on, when pollution comes, may people will non eat outside.

2.4 Technological Environment

The engineering environment would be a factor that affects concern because in this new epoch engineering are mushrooming twenty-four hours by twenty-four hours. Organization has to maintain path of new engineering if the organisations want their concern to last. Nowadays people are looking for more fast, easy, and convenient manner to make something. It is designed to function people better. Today, everyone around the universe are speaking about online shopping, purchase thing and order thing through online because it is really convenient and the client do n’t necessitate to travel out. In the past aged will state that on-line shopping does n’t do sense but engineering is a thing that no 1 can command. In add-on to that, it will do everything simple and easy and have the chances to acquire more net incomes in an organisation. Besides that, engineering does n’t intend merely on cyberspace but phone calls or other electronics thing. For illustration, Pizza Hut has provided order via utilizing online or by the phone call and the bringing service. Besides that, any new spirits and publicities will be found on the cyberspace. Other than that, Pizza Hut in Malaysia ever comes out with more assortment of pizza to pull client whereas other rivals are making publicities merely. They can utilize the societal media for publicizing their new merchandises.

2.5 Political environment

The political environment is composed of Torahs, authorities policies, and force per unit area groups that can impact your concern that can impact your concern. Government can impact trade dialogue and protection, antimonopoly action, deregulating of industry, and the degree of denationalization. Government statute law has been institute to specify and forestall unjust competition to protect consumers from disreputable concern patterns such as delusory offers and come-on pricing, and to protect the involvements of society. The political factor would impact Pizza Hut concern is the legalisation to set up more franchisee in Malaysia. Besides that, if the policies do non protect the legal rights so it will hold lesser franchisee. This will so restrict the sum of franchises that can be established by Pizza Hut and will impact their concern. In add-on to that, political factors of Malaysia with foreign states will besides play a function in impacting touristry in Malaysia, with more tourers coming to Malaysia ; Pizza Hut will have more exposure and acknowledgment.

2.6 Cultural & A ; Social environment

Cultural and societal environment is besides another factor that influences Pizza Hut ‘s company. Cultural environment refers to establishments and besides other forces based on society ‘s basic values, perceptual experience, penchant and behaviour. All these things will so impact Pizza Hut as the factors in cultural environment influences possible clients of Pizza Hut. The diverseness that exists in Malaysia will play a major function because people of different races have different civilization and their civilization will act upon the pick of the nutrient they consume. For case, if pizza hut were to function porc in their dishes, so Malay people will non take to dine in pizza hut as it is against their civilization to devour porc. Besides that, influence of one individual to another individual besides influences their determination on whether to eat in pizza hut or non. If a major portion of a peculiar metropolis is non of interested in holding pizza so it will diminish the figure of possible clients of Pizza Hut.

3.0 Decision

As can be seen, all the factors that consists in the macro-environment such as the demographic factor, environmental, societal, economic system and besides the political factor does play a major function in Pizza Hut ‘s concern. All these factors will so act upon all possible clients of Pizza Hut and will find whether or non they will see Pizza Hut in their day-to-day life. To increase the net income of Pizza Hut, the company will hold to carry on a proper research sing these factors and work out the possible jobs based on the research that they conduct in order to maximise the net income of Pizza Hut.