Management

Environmental scanning of Subway foods

Environmental scanning of Subway foods

Introduction

The SUBWAY was found by Fred DeLuca in the year 1965, in Connecticut, United States. Ever since then the company has expanded over 36,000 outlets in 100 different countries around the globe and it aims to expand furthermore into other and already existing horizons. SUBWAY in 2008, it was ranked 1st in the sandwich industry of Britain, and consequently was given the 1st rank in franchise opportunity by Entrepreneur magazine in 2009.

SUBWAY is currently the largest supplier of sandwiches in the world, and plays a key role in the development of the fast food industry. All SUBWAY restaurants are intended to provide a quality product made according to individual taste of each client. The sandwiches and salads are prepared with the client and the choice of accessories is free: crunchy vegetables, cheese, sauces and condiments.

In its operation, Subways have appreciated the importance of understanding the consumers' behavior. Through a market research, Subways identified a primary market that is composed of individual customers who integrated the consumption of healthy fast foods options. The firm's primary target market is mainly composed of customers within the medium and high social class status.

Environmental analysis

The activities

In its operation, Subways have appreciated the importance of understanding the consumers' behavior. Through a market research, Subways identified a primary market that is composed of individual customers who integrated the consumption of healthy fast foods options. The firm's primary target market is mainly composed of customers within the medium and high social class status (Mazze, E. 1998, pp. 48).

Market targeting plays a vital role in a firm's effort to penetrate a new market. In its operation, Subways provides a wide range of fast-food products such as salads and sandwiches. Within the fast food market, Subways intends to position itself as a healthy fast-food firm. The firm targets individual customers who have a high level of disposable income. The firm targets customers who have appreciated consumption of fast-foods. In its internationalization process, the management team conducts a comprehensive market analysis in an effort to determine the feasibility of the success. Some of the elements which the firm considers include political and economic stability.

Analysis process

Subway foods use ingredients such as lettuce, hamburger meat, potatoes and tomatoes. These inputs are then treated by bakers, cooks and order takers, in order to transform these ingredients into French fries, hamburgers and other fast food item which are prepared by the subway foods. Furthermore during the whole process capital equipments such as the kitchen equipments and tools are utilized in order to transform the raw ingredients into delicious fast food items.

Traditionally fast food items were only prepared once its order has been placed. These order were then prepared by taking into consideration the

Specific requirements provided by the customer such as the degree of cooking (medium or well done) and flavors of the item such as mustard, pickles, cheese and ketchups.

(Source: Process analysis, McGraw-Hill)

But in the recent era companies operating in the fast food industry has converted ...