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Consumer Behavior Assignment

Caselet

By
Rishika Omer
A0101909155
MBA Class of 2011
C-13

Submitted to:
Mr. V.S. Tomar
Caselet

In a restaurant meals are generally served and eaten on premises, but many
restaurants also offer take-out and food delivery services. Restaurants vary
greatly in appearance and offerings, including a wide variety
of cuisines and service models.

Over the last decade, several Indians have relocated to satellite towns and
Tier-II cities in search for better job opportunities. This, coupled with
increasing employment of women in the workforce has led to manifold
increase in households with no parents at home to act as caretakers. As a
result, working couples and bachelors seek refuge in food offerings at
restaurants.

The increasing consumption of the food category has, obviously, lured


restaurants who have come up with unique offerings over the years. What
makes the competition more interesting is a diverse consumer segment that
looks for an increasing set of options to suit their unique preferences.

The menu of Aromas restaurant which is located in Kanpur consisted of


different variety of product like burger, pizzas, Indian items like Kebab
Meals, Dals, Rice and Breads, Rajma Rice & Pickle, Masala Channa with
Bakery Kulcha, snacks like French Fries, Pao Bhaji, coke combos, buddy
meals etc.

In an interview with the owner Mr. Rahul Laharya of restaurant Aromas, he


talked about some issues related to consumer behavior. The major issues of
concern are consumers are now preferring the food items which are basically
the low calorie items so they have to include more number of low calorie
items like baked food items in their menu as consumers wants the restaurant
industry to respond more aggressively to nutritional concerns.
Secondly, How will hungry customers react to new menu items? Restaurant
adds new dish to its menu every eight weeks to boost sales and satisfy loyal
customers who seek variety. When restaurant’s product development head
created new salad, he noticed that consumer interest is growing in whole
grains. He got the favorable response from the consumers and now the salad
is added on the menu items. The way a restaurant develops and market new
menu items illustrates some of the factors that influence consumer’s
behavior about innovative offerings.
Third, they have to keep in mind that customer group is heterogeneous in
nature, they must keep in mind the taste of heterogeneous group so as to
offer them food items and snacks according to the need.
And last but not the least the quality factor is of the major concern at
affordable price. At standard restaurant customer wants value for their
money and if they are paying for something they don’t want to compromise
with the quality of the product.

As there are many competitors in the market so to have competitive edge


and for being first choice of the consumer they must keep these points into
consideration.

Case Questions:

Q1.) What factors influence the choice of consumers to select between


different alternatives?

Q2.) How consumer adopt an innovation and why they might resist
adoption? Explain.

Q3.) Throw some light on the growth of food service industry.

Q4.) What major challenges a restaurant has to face to have competitive


advantage?

Interviewed Person:
Mr. Rahul Laharya
(Aromas Restaurant)
Ph. No. - 9250543863

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