English 2 - Report of 3 businesses

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Name of Module: English 2 [ENGL0205]

Report Title: A Tale of Three Businesses – A Comparative Analysis of 3

Businesses of Similar Industry in Different Geographical Locations

Group Members: Haziq Zariful(0314131)

: Syafiq Zariful(0314702)

: Cassandra Wong (0313365)

: Kelvin Ng (0315081)

: Stanley Low (0314883)

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Table of Content

Content Page

Cover page 1

Table of Content 2

Key Summary 3

Brief Bio of Businesses 4-6

Comparative Analysis of the Businesses’ Competitive Traits 7-13

Recommendation 14-15

Appendices 16-59

References 60-62

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Key Summary

We were given an assignment to compare the analysis of two businesses of

similar industry in different geographical locations. We chose to compare

businesses in Penang and in Klang Valley on seafood restaurants. The seafood

restaurant we chose in Penang is Bali Hai Seafood Restaurant which is located in

Gurney Drive and in Klang Valley we chose Bubba Gump Shrimp Co. and

Manhattan Fish Market which is located in Sunway Pyramid. After completing and

analysis the report, we found out that Bali Hai would be the more commercially

successful business compared to Bubba Gump and Manhattan. Besides that, the

similarity of the two businesses is that both are having monopolistic competition.

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Brief Bio of the Businesses

Bali Hai Seafood Restaurant

i. The seafood restaurant interviewed in Penang is the ‘Bali Hai Seafood

Restaurant’ strategically located in the famous tourist spot for local food in

all markets, the Gurney Drive. The interviewee is the Group Food &

Beverage Manager of the business, Steve Foong.

ii. The first outlet opened for the business is at Gurney Drive, the second

outlet is at Penang Times Square, the third outlet is at Sungai Pinang and

it the biggest outlet so far, the fourth one, is located at Batu Feringghi.

iii. The business currently has four outlets in Penang and is going to open the

fifth outlet at Damansara.

iv. The product mainly sells fresh seafood in various kinds such as lobsters,

crabs, shrimps, geoducks, cooked in many types of ways such as

steamed, fried, boiled, etc. Popular dishes include: steamed grouper,

curry crabs with rice noodles.

v. The business‘s first outlet opened at Gurney Drive in 6th December 2005.

vi. The business was founded by Mr. Josh Chua; and

vii. It was founded because of his love towards food & desire to try on newer

types of cooking; he got the inspiration to start this business during his

younger years. He worked with his father when he was at a hawker stall

selling grill fish at Sungai Pinang, and then eventually passed the grill fish

business to his niece to open Bali Hai Seafood Restaurant. What inspired

him to call his shop ‘Bali Hai Seafood Restaurant’ was because Mr. Josh

loves Bali, and would love to bring a ‘Bali feel’ to their restaurant where

he uses the sunset view, seaside location, tablecloth and the dry leaf roof

imported all the way from Thailand with the decorations to make

customers feel as if they are in Bali.

viii. In recent times, the business has used their revenue to add decorations to

add a relaxing family atmosphere & also a Bali feel such as the dry leaf

roofing. The revenue is also used to bring in more sea animals & products

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to compete with other competitors. The revenue the business gains

through their development is currently RM1million per month, where they

start the business with a capital of RM600K.

Bubba Gump

i. The seafood restaurant interviewed in Klang Valley is the ‘Bubba Gump

Shrimp Co.’ strategically located in one of the shopping mall in KL,

Sunway Pyramid. The interviewee is the assistant Sous Chef, Mr. Pravin.

ii. The first outlet opened in KL is at The Curve Mutiara, Damansara. The

second outlet in Kuala Lumpur is at Sunway Pyramid and the third outlet

is at. Citta Mall, Damansara

iii. The business currently has thirty-two Bubba Gump restaurants operated

worldwide. Twenty-two of these locations are in the United States, three

are in Japan, two are located in Mexico, three are in Malaysia, and one

each in the Philippines, Indonesia and Hong Kong.

iv. The product mainly sells fresh seafood in various kinds such as shrimp,

salmon, fish, lobsters cooked in many types of ways such as steamed,

fried, boiled and more. Popular dishes includes their award winning Dixie

style baby back ribs, traditional shrimp cocktails, stuffed shrimps with crab

meats, shrimp kebab and more.

v. The businesses opened their first outlet in Malaysia at The Curve Mutiara,

Damansara in 2008.

vi. The business was founded by Viacom Consumer Products

vii. Was founded because was inspired by the 1994 film Forrest Gump. The

Bubba Gump restaurant is named after the film's characters Benjamin

Buford "Bubba" Blue and Forrest Gump.

viii. Their recent development is that they are going to open their 100th outlet

in Malaysia soon.

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Manhattan Fish Market

i. The seafood restaurant interviewed in Klang Valley is the ‘Manhattan Fish

Market’ strategically located in one of the shopping mall in KL, Sunway

Pyramid. The interviewee is the restaurant supervisor, Muhammad

Rohaidi.

ii. The business currently has twenty branches of Manhattan Fish Market in

Malaysia and 5 offices. Twelve of them are in KL.

iii. The product mainly sells fresh seafood in various kinds such as calamari,

mussels, fresh salmon, fish and chips, scallops, octopus and many more

cooked in many ways like fried, boiled, steamed and more. Popular dishes

include single garlic herb mussels, grilled glory dory, and Manhattan

flaming prawns.

iv. The business opened their first outlet in 2003, Sunway Pyramid Shopping

Mall.

v. The business was founded by Mr. George Ang.

vi. was founded because of the reputable Flutton Fish Market, which was

once located below the iconic Brooklyn Bridge

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Comparative Analysis of Competitive Traits

NUMBER OF COMPETITORS

1) In Penang, in the Seafood Restaurant market, there are at least 49

competitors, specifically in Georgetown; there are approximately 19

competitors in the market.

There is an astoundingly large number of seafood restaurants in Klang Valley,

counting to more than 180 firms. Specifically in Petaling Jaya, there are at

least 50 firms.

MARKET SHARE & TOP COMPETITORS

2) In Penang, Bali Hai’s market share is small & its top competitors in the

market would be Tan Sam Guan Seafood Restaurant, Pinang Taste Seafood,

and Ocean Green Restaurant.

In Klang Valley, Bubba Gumps’ & Manhattan Fish Market’s market share is the

same as the other outlets in Sunway Pyramid & their top competitors would

be Manhattan Fish Market/Fish & Co. (respectively), Pantai Seafood

Restaurant & Restaurant Fatty Crab.

BRIEF BIO OF TOP COMPETITORS

3) Bali Hai:

a) Tan Sam Guan is a seafood restaurant located in Batu Ferringhi founded

by locals Liang & Loon. The restaurant is famous for their friendly service,

atmosphere & their Malaysian Cuisine. They also serve food other than

seafood such as sizzling chicken & fried chicken with honey.

b) Pinang Taste Seafood is located at World Heritage Area Carnarvon Street,

Georgetown. Their motto "Local Taste with Home Sauce Recipe" signifies

that they cook their food such as Nyonya Asam Fish in a local Malaysian

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way & that all their sauce are made from traditional home recipe. They

are also famous locally for cheap dishes at an average of RM3.

c) The Ocean Green Seafood is a popular dining place located off Jalan

Sultan Ahmad Shah in the city center. The restaurant also gives an open

view of a popular beach area for couples. The eatery offers famous

seafood freshly caught which are cooked in various ways such as the

Steam Curry Fish, Sweet and Sour Crab & Scallop Soup.

Bubba Gump/Manhattan Fish Market:

a) [Bubba Gump] The Manhattan Fish Market would be the largest

competitor; one of the major reasons is that it is also strategically placed

in Sunway Pyramid Megamall like Bubba Gump. Another cause is how a

globally successful company owns the restaurant; hence, they would have

a larger capital, larger suppliers & different types of recipes such as Fiery

Cherry Snapper & Manhattan Flaming Prawns. Pricewise, customers would

ideally dine in this restaurant than Bubba Gump.

[Manhattan Fish Market] The Fish & Co. Outlet is also strategically

placed in a Megamall, The Paradigm Mall in Petaling Jaya, where there

would be many types of customers such as students, workers or tourists.

The restaurant is famous for it’s café atmosphere & cooks many different

styles of Fish n’ Chips ranging from a western New York style to a local

Malaysian style. The menu also constantly grows according to recurring

customers. Fish & Co. is also a global company hence they have a large

amount of investment for them to advertise & attract more customers.

b) Pantai Seafood is situated around wooden houses & light industrials;

however, the interior has a spacious relaxing family atmosphere. There

are cascading tanks with a wide array of seafood to choose from for a

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freshly cooked meal. Signature Dishes include Pak Cheok Har (Poached

Fresh Prawns) & Siong Tong LaLa (Steamed Clams in Superior Soup).

c) Restoran Fatty Crab had been well established and known to many

people. A Hot spot for Malaysians including Malays as it had been certified

as a Halal restaurant. The business can obviously be identified as a local

business since it resembles a typical local restaurant, with fans, outdoor

tables, local cuisine & stalls where they cook satay and Chicken wings.

Other Dishes include Sweet and Sour Sauce Crabs & Steamed Fish.

STRATEGIES TO COMPETE

4) Bali Hai:

-­‐ The management team would go around the area & eat food from other

restaurants not just in their market to spark ideas on ways to cook their

food.

-­‐ The manager also encourages employees to spend time with their

customers & receive negative/positive comments for the management to

reflect on.

-­‐ The manager would also discuss with chefs & suppliers every 2 weeks to

create a new seafood dish. After discussing, the business would then

promote their new product to their customers.

-­‐ Other strategies include the marketing department running programs to

promote the restaurant such as partnering with Tourism Malaysia, which

sponsors the business through brochures.

Bubba Gump:

-­‐ The restaurant has dancers perform Spanish dancing with the music in the

restaurant as a way to make the restaurant more unique.

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-­‐ As a restaurant self-labeled as a family restaurant, the management

allows kids under the age of 12 to eat their products for free. This would

attract more families, as they would not want to spend a lot.

-­‐ New products are introduced annually in November/December.

-­‐ In the marketing department, Bubba Gump promotes themselves by

selling merchandise near their shop, also promoting retro brands such as

Guinness & Tiger.

Manhattan Fish Market

-­‐ The restaurant promotes new products, price decrease & combo meals

especially for events such as Chinese New Year or Christmas.

-­‐ The price range is low compared to seafood restaurants in the area. For

example, the Fish n’ Chips would be RM21 while Bubba Gump’s Fish n’

Chips is worth RM30-40.

-­‐ The company encourages all employees to prioritize in their friendly

service & view it as an important component to compete with others

DIFFICULTY & OBSTACLES WHEN ENTERING THE MARKET

5) To enter the seafood restaurant market according to both managers is

currently easy as long as there is enough money to start the business, only a

small capital would be needed, eg. Bali Hai only needed RM600k from their

capital. One of the few obstacles faced in the market pointed out by Bali Hai

manager, Steve Foong, is that businesses need to partner with a supplier &

to compete with others; a supplier who can supply a large variety of seafood

would be needed, however, local fishermen can also provide their services to

local businesses, which would be cheaper. The chefs must also have the

knowledge to cook seafood & furthermore, to compete against competitors,

they need to be innovative on cooking new products to attract customers.

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TYPE OF MARKET & JUSTIFICATION

6) The seafood restaurant market for the restaurants in the region of Penang &

Petaling Jaya has Monopolistic Competition. In a market with Monopolistic

Competition, there are many firms, relatively easy to enter, somewhat

different products, some price difference & advertisement is important to

compete against competitors. Proofs of such characteristics found in Penang

& Petaling Jaya:

i) In Penang, there are approximately at least 49 firms while there are at

least 50 firms in Petaling Jaya, this proves there are many firms in the

geographical market & that it is easy to enter.

ii) The market also sells different types of dishes, in order to compete

against competitors, firms like Bali Hai think of a new product to sell in

a mere 2 weeks whereas the products of seafood restaurant also

varies by their supplier, Bali Hai has approximately more than 25

different types of seafood in different types of ways to cook them.

iii) There are also different price differences, local businesses might hire

local fishermen or fish for their supply, which, compared to large

businesses who hires suppliers providing various types of seafood,

would be much cheaper, hence, their price would also be cheaper.

Even global companies such as Manhattan Fish Market have lower

prices as a strategy to attract customers.

iv) Lastly, large businesses such as Bubba Gump, Bali Hai & Manhattan

Fish Market can be seen in Question 4 (strategies to compete) to have

advertisement as a way to attract more customers & not lose to their

competitors.

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7) COMPARITIVE ANALYSIS SYMMARY TABLE

Competitive Traits

Bali Hai Seafood Restaurant (Penang-

Based)

Bubba Gump (Klang Valley-Based)

Manhattan  Fish  Market  (Klang  Valley-­‐Based  

1. Number of Competitors 45-60 firms 180-200 firms 180-200 firms

2. Barrier to Entry

Strong, has low capital, needs to

gradually upgrade firm through revenue

Weak, has high capital, located at Sunway Pyramid,

where there are many people, strong advertisements

Weak, has high capital, located at Sunway Pyramid, where there are

many people, strong advertisements

3. Differentiated or Standardized Products.

Differentiated, eg. Alaskan King Crab in

Salted Egg Yolk, Cheese and Crab

Meat Whole Scallop

Standardized, very few differentiated

products

Differentiated,  eg.  Grilled  Glory  Dory,  Small  Flame  (A  variety  of  flamed  prawns,  dory  fillet  &  side  dishes)  

4. Pricing Power

Price Maker - sells various types of

seafood that are not locally found, such as Australian Spider

Crab & Geoduck.

Price Taker - few differentiated

products, some can be cooked at home.

Price  Maker  -­‐  few  types  of  sea  animals,  but  many  types  of  cooked  ways  such  as  grilled,  flamed,  wrapped,  etc.  

5. Other Characteristics

No close product substitutes around the area, mutual

dependence, inconstant advertising

Many Close product substitutes found nearby, constant advertising in &

around firm

Not  many  close  product  substitutes,  advertising  

&  promotion  only  during  special  events  

6. Verdict Monopolistic Competition

Monopolistic Competition

Monopolistic  Competition  

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CONCLUSION

8) Based on our analysis, Bali Hai would be the more commercially successful

business. One of the reasons is that there are too many competitors in Klang

Valley than Penang & because of this, their advertisements, while little, are

effective. Other than advertisements, the large number of competitors can

cause a lot of customers in Klang Valley to have different choices in where to

eat or might substitute restaurants such as Bubba Gump & Manhattan Fish

Market to other seafood restaurants, probably a cheaper one. Another reason

is that Bubba Gump doesn’t give too many unique recipes for their products &

takes a whole year on creating a new product while Bali Hai only takes 2

weeks & have different types of seafood not just sticking to prawns, shrimp &

fish like Bubba Gump. One of the reasons why Manhattan Fish Market isn’t as

successful as Bali Hai is how Bali Hai has many other types of sea animals to

cook, which shows that they have a bigger supplier compared to Manhattan

Fish Market. While they have fewer types of sea animals, the restaurant make

up for it in their cooking, however, Bali Hai also cooks their seafood in various

ways, hence why Bali Hai is considered more commercially successful.

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Recommendation BUBBA GUMP

- The products sold in the firm are too common & can even be cooked at home

or at least can be found in other restaurants in a cheaper price such as tempura

shrimp or fish and chips. There are very few differentiated products exclusively

for the restaurant and also, the dishes focus too much on shrimp & prawn there

are only 4 types of dishes for fish. Our recommendation is for the company to

issue new products monthly or every 2 weeks, instead of the current

annual time.

- The price is a major reason why customers are driven away from the firm,

since there are many competitors who sell substitute products for a cheaper

price. For example, Bubba Gump’s Fish & chips are for RM25.90, whereas in

Manhattan Fish Market, their Fish & chips range from RM12.50 to RM19. Aside

from food, drinks are only too pricey ranging from RM12 to RM25. Our

recommendation is to sell products almost equal to competitors where demand

can be equal.

BALI HAI SEAFOOD RESTAURANT

-The restaurant is located just by the roadside, which makes it unhygienic due to

the carbon monoxide from vehicles which can affect the customers eating the

food. Besides that, the noise from the motorcycles that pass through can also

disturb the customers who are having family dinners. Our recommendation is

that they cover part of the restaurant up to maintain the cleanliness and the

ambience of the restaurant.

-The limited parking spaces are also one of the major reasons why customers

are driven away from the restaurant. There isn’t much parking lots based on

what we see when we are there. The reason is because it is by the roadside and

there is moving traffic which makes customers cannot park by the side. Our

recommendation is to provide parking spaces for the ‘Bali Hai Seafood

Restaurant’ customers.

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MANHATTAN FISH MARKET

- Based on unbiased customer reviews, most complaints point out the bad

services the outlet has displayed towards them, typically from the waiters.

One of the examples they gave was how a waitress gave wrong receipts

twice, which, if unnoticed, would’ve charged unnecessary amounts

towards either parties. Other complaints include asking cutlery repeatedly,

slow response to calls towards waiters & ill-mannered attitudes from staff.

Other than bad service, the communication skills from the staff are also

poor, as we ourselves have experienced. One of the waiters who wait our

tables can’t speak English while another waitress spoke softly & that we

cannot hear her. For a restaurant whose strategy to compete is to

prioritize service, they simply can’t do so if this keeps up. Hence, we

recommend for the recruitment staff of the business to thoroughly

consider the workers’ traits, personality & attitude. They must hear out

their communication skill & observe their service towards customers

during working hours.

- When we interviewed the business, finding a table for two was too

difficult when moving around. The seats for families & groups were

arranged properly, however the seats for a private 1-2 people seating

were unorganized & compact, moreover the paths in between the tables

were zigzag shaped, which makes it inconvenient for customers to move

around. We recommend a reorganization of the seating & since we’ve

observed that a full house is rare, some tables and chairs would be

unnecessary, thus can be removed for customer convenience purposes.

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Appendices

 BALI HAI: Interview notes

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Contact Details (Restaurant):

Address - 90, 90A, 90B, 90C & 90D, Persiaran Gurney

Georgetown

10250 Penang, Malaysia

Contact no. - 04-228 8272

Fax - 04-228 8273

Email - [email protected]

Website - http://balihaiseafood.com

Contact Details (Corporate Office):

Address - 23, Lorong Birch,

Georgetown

10250 Penang, Malaysia

Contact no. - 04-227 3667

Fax - 04-228 3667

Contact Details (Current Manager):

Contact no. - 016-520 3024

016-445 1001

Email - [email protected]  

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 Photos Business Premises

Main Entrance With Sign of Name & Logo

Overview of the Main Area

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Cascade Tanks With Various Types of Sea Animals

Crabs, Lobsters & Clams placed on ice

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 Bali Style Huts with dry leaf roofing

Traditional Decorations under ceiling

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The Counter Table

Windows To Witness Behind the Scenes Actions by the chefs

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The Kitchen Utensils Used

The Kitchen

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The Refrigerators & Ovens

Chefs Working In The Kitchen

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Products Deep Fried Crab

Curry Crab with Rice Noodles

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Steamed Grouper

Seafood Fried Rice

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Bali Hai Waiter serving Coconut

Crab Meat and Cheese in whole Scallop

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Bali Hai Facebook Page

Bali  Hai  Official  Website  Home  Page  

Official Websites & Pages

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BUBBA GUMP: Interview Notes

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 Contact Details (Restaurant):

Address - Oasis Boulevard, Sunway Pyramid Shopping Mall, No.

3, Jalan PJS 11/15, Bandar Sunway, 56150 Petaling

Jaya, Selangor, Malaysia

Contact no. - 03-5638 4559

03-5635 3559

Fax - 03-5637 6559

Email - [email protected]

Website - http://www.bubbagump.com/

Contact Details (Corporate Office) [Naza Corporation Sdn Bhd]:

Address - -115 Jalan Raja Muda AzizKampung Baru,

50300 Kuala Lumpur

-Lot 1, Jalan 51A/ 22146100

Petaling JayaSelangor, Malaysia

Contact no. - 03-26177999/888

03-79532888

Fax - 03-2681 8928

Website - www.naza.com.my

Contact Details (Manager):

Contact no. - 01-4633 4733

Email - [email protected]

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Photos  Business Premises  Main Entrance

Promotion outside Entrance to attract customers

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Seating (1)

Seating (2)

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Drink Bar

Bartenders with Beer Dispensers

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Seating (3)

Corner where stocks such as Plates & Cups are placed

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Seating (4) (Outdoor)

2-3 people seating

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Family seating

Promotions & Merchandise Outdoors Employee of the Month Wall

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Employees & Mascot

Merchandise Shop

Marketing & Promotions

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 Merchandise Shop Counter

Bubba Gump T-shirts

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Bubba Gump Knick-Knacks

‘Kids Eat Free’ & ‘Free Refill’ Promotion Picture

RM50 Coupon

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“Kids Eat Free’ Promotion to Attract Families Mother’s Day Promotion

Products

Onion Rings Shrimper’s Heaven

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‘I’m Stuffed!’ Shrimp

Jambalaya

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Dumb Luck Coconut Shrimp

Shrimper’s Net Catch

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 Buffalo Wings

Fried Shrimp

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Mud Pie

Potato Salad

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 Menu

Cover Page Back Page

Specials Menu

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Chicken, Meat, Fish & Pasta Menu

Promotion Menu – Front Page Promotion Menu – Back Page

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Websites & Pages

Official Website – Sunway Outlet

Website – ‘About’ Page

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Official Facebook Page

Restaurant Information from Facebook Page

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 MANHATTAN:  Interview  notes    

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     Contact Details (Restaurant): Address - LL2.49-50 Sunway Pyramid, No.3 Jalan PJS 11/15,,

46150 Bandar Sunway, Selangor, Malaysia Contact no. - +60 3-7491 3683 Fax - 04-228 8273 Email - [email protected]

Website - www.manhattanfishmarket.com/malaysia Contact Detais (Supervisor): Contact no. - 03-74913683 Email - [email protected]              

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   Photos Business Premises

 Main  Entrance  With  Sign  of  Name  &  Logo  

Overview  of  the  Main  Area  

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One  of  the  service  crew  serving  a  dish  

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Products  Flamming  Platter  for  Quarter  

Grilled  Platter  for  Quarter  

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Grilled  Pacific  Dory  with  NZ  Mus  

Chowder  of  the  day  -­‐  SeaFood  

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Fire  Plate  dish  

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Soup  of  The  Day  

Iced  Peach  Tea  and  Coke  

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The  Manhattan  Fish  Market  Facebook  Page  

The  Manhattan  Fish  Market  Official  Website  Home  Page  

Official  Websites  &  Pages  

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Sumptuos ( 2012,21st January 2012). Pantai seafood restaurant (水上人家) @

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