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DEPARTMENT OF MANAGEMENT

Capstone Project Report


TITTLE

Feasibility Study of opening a Maggi Restaurant at JalandharPhagwara Highway

Submitted By:

Roll No.

Registration No.

Mohd Fahad----------------RS-1803-A14--------------10809577
Satendra Pal Singh--------Rs-1803-A13---------------10804535
Sumit Rana-----------------RS-1803-A16---------------10808687
Submitted to:
Kanika Jhamb
DEPARTMENT OF MANAGEMENT
LOVELY PROFESSIONAL UNIVERSITY
PHAGWARA
(2010)

TO WHOMSOEVER IT MAY CONCERN

This is to certify that the project report titled Feasibility Study of opening a Maggi
Restaurant at Jalandhar-Phagwara Highway carried out by Mr Mohd Fahad (Student
name), S/o Mr Mohd Saeed Ahmad (Fathers Name) has been accomplished under my
guidance & supervision as a duly registered MBA student of the Lovely Professional
University, Phagwara. This project is being submitted by him/her in the partial fulfilment
of the requirements for the award of the Master of Business Administration from Lovely
Professional University.
His dissertation represents his original work and is worthy of consideration for the award
of the degree of Master of Business Administration.

(Name & Signature of the Faculty Advisor)


Date:

DECLARATION

I, Mohd Fahad (Students name), hereby declare that the work presented herein is
genuine work done originally by me and has not been published or submitted elsewhere for
the requirement of a degree programme. Any literature, data or works done by others and
cited within this dissertation has been given due acknowledgement and listed in the
reference section.

(Student's name & Signature)


.. (Registration No.)
Date

TO WHOMSOEVER IT MAY CONCERN

This is to certify that the project report titled Feasibility Study of opening a Maggi
Restaurant at Jalandhar-Phagwara Highway carried out by Mr Satendra Pal
Singh(Student name), S/o Mr Udaiveer Singh (Fathers Name) has been accomplished
under my guidance & supervision as a duly registered MBA student of the Lovely
Professional University, Phagwara. This project is being submitted by him/her in the partial
fulfilment of the requirements for the award of the Master of Business Administration from
Lovely Professional University.
His dissertation represents his original work and is worthy of consideration for the award
of the degree of Master of Business Administration.

(Name & Signature of the Faculty Advisor)


Date:

DECLARATION

I,"Satendra Pal Singh (Students name), hereby declare that the work presented herein is
genuine work done originally by me and has not been published or submitted elsewhere for
the requirement of a degree programme. Any literature, data or works done by others and
cited within this dissertation has been given due acknowledgement and listed in the
reference section.

(Student's name & Signature)


(Registration No.)
Date

TO WHOMSOEVER IT MAY CONCERN

This is to certify that the project report titled Feasibility Study of opening a Maggi
Restaurant at Jalandhar-Phagwara Highway carried out by Mr Sumit Rana (Student
name), S/o Mr Amar Chand Rana (Fathers Name) has been accomplished under my
guidance & supervision as a duly registered MBA student of the Lovely Professional
University, Phagwara. This project is being submitted by him/her in the partial fulfilment
of the requirements for the award of the Master of Business Administration from Lovely
Professional University.
His dissertation represents his original work and is worthy of consideration for the award
of the degree of Master of Business Administration.

(Name & Signature of the Faculty Advisor)


Date:

DECLARATION

I,"Sumit Rana (Students name), hereby declare that the work presented herein is genuine
work done originally by me and has not been published or submitted elsewhere for the
requirement of a degree programme. Any literature, data or works done by others and cited
within this dissertation has been given due acknowledgement and listed in the reference
section.

(Student's name & Signature)


.. (Registration No.)
Date

Acknowledgement

We sincerely feel that the credit of this project report could not be narrowed to only one
individual as the whole work is outcome of integrated efforts of all those concerned with it
through whose cooperation and effective guidance we could achieve its completion.
We wish to place our profound in debtness and deep sense of obligation to Kanika Jhamb
lecturer Lovely Professional University for providing us with the opportunity to work on
such an interesting topic. We also want to pay our gratitude and sincere thanks to our
esteemed Mam for being supportive during the entire tenure of this project.
When emotions involved words fail to mean. Our heart full sincere gratitude to our
parents, who have supported, encouraged and helped us throughout our lives and academic
career.

Mohd Fahad
Satendra Pal Singh
Sumit Rana

EXECUTIVE SUMMARY (ABSTRACT)


The purpose of the study is to determine the feasibility of opening a Maggi restaurant on
Jalandhar-Phagwara Highway. Maggi is a well-known food extremely preferred by us from
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our childhood. The study will first look at the literature with regard to restaurant feasibility
study, and then follow the three steps proposed by the literature to conduct the feasibility
study of the proposed restaurant.
The purpose of the study is to determine the feasibility of opening a Maggi restaurant on
Jalandhar- Phagwara highway. Data will be collected through observational research
method and through a survey distributed to potential customers.
The research objectives are:
1)

To understand the needs and wants of the customer from the proposed restaurant.

2)

To identify the market area and site of the proposed restaurant.

As there is no restaurant of such kind and the population size is very large. So there is wide
scope of this study.
This survey will provide us with an industry specific market analysis format that can be
used in a feasibility study, business plan or marketing plan. The following will help
analyze the market potential of an existing operation, an expansion or a new development.
The analysis can provide essential information required in a business plan or feasibility
study. Through careful analysis of the market, the risks of a business investment can be
lessened. Using your market analysis findings, you can estimate the financial potential of
your venture by creating financial projections. If we are a prospective restaurateur, these
projections will help us determine if our venture is feasible.
The nature of the research determines that both primary research and secondary research
should be conducted to collect information needed for the feasibility study. Observational
research method will be used to collect the information regarding competition and site
selection, and a survey will be conducted to collect information concerning consumer's
spending pattern.
In this research 200 respondents are taken as sample size and primary as well as secondary
data is used in finding the feasibility of the proposed restaurant.
In the findings of the feasibility study of the Maggi restaurant we get certain facts that are
as follows:
1)

The maximum respondents go to the restaurant more than 4 times in a month so

there is a great potential of the customers for the proposed restaurant.


2)
The maximum respondents go to a restaurant for the enjoyment.

3)

From the analysis it is found that most of the respondents spend Rs. More than 150

on an average per visit so there is a great potential of the customer and the potentiality in
the terms of money or demand.
4)
Maximum respondents are willing to go to the proposed restaurant of Maggi so
there is a great potential of customer for the proposed restaurant.
We have used various research methods like factor analysis; Pearsons and various test
method to verify the data.

Index

CERTIF
CONTENTS. ICATE
iI

SNO.
1.

PAGE NO.

Acknowledgement.8
10

2.

Abstract.9-10

3.

Introduction of topic.13-15

4.

Review of literature..16-30

5.

Need and scope of study32

6.

Research objectives32

7.

Research methodology..33

Subjects selection & description33

Sample size.33

Data collection33-34

8.

Data Analysis and interpretation.35-58

9.

Findings60

10.

Conclusion.............................................................................61

11.

Limitations61

12.

Recommendation..62

13.

References..64-65

14.

Questionnaire67-68

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CHAPTER I
INTROCUCTION TO
TOPIC

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INTRODUCTION TO
SUBJECT

1.1 Introduction
The paper is to present a proposal for a Maggi stand-alone restaurant which seeks to
conduct a feasibility study for the same at Jalandhar-Phagwara highway.
A feasibility study is a preliminary study undertaken to determine and document a
projects viability. The results of this study are used to make a decision whether to proceed
with the project, or not. If it indeed leads to a project being approved, it will before the real
work of the proposed project starts - be used to ascertain the likelihood of the project's
success. It is an analysis of possible alternative solutions to a problem and a
recommendation on the best alternative.

Features of Maggi
a)

Maggi is a very famous food and preferred by most of the people from their

childhood.
b)

Maggi is very tasty food and can be used as breakfast, lunch and dinner at any time.

c)

Maggi can be made in a very short time so the preparation time of maggi becomes

very fast as compared to other dishes, foods.


d)

The cost of Maggi is also less, a balanced nutrition level and low cost makes the

food an ideal fast food.


The site selection for the proposed restaurant is Jalandhar Phagwara Highway. There are
a lot of food makers and restaurants available on this highway and they are enjoying
profitability and a great reputation.
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There are many small and big restaurants and hotels available on this highway like Haveli,
Bikanerwala restaurant, Lucky Dhaba, McDonalds, KFC etc. As they are well accepted by
the people and they are providing the best services, quality food and facilities like parking
and served on table in the open air and a brand to attract the customers.
The demand and the potential of the people are very high at this highway which means
potentially higher market demand.
There is a huge population at this site and the people are mostly used to visit this site, as
more than 24000 students are in lovely professional University and the other residential
people are used to visit these restaurants to have a fresh and hygienic food as their lunch
and dinner.
And the pricing strategies adopted by these restaurants are different. Like Haweli comes in
luxury brand and on the other hand Lucky Dhaba comes the economical as compare to the
Haweli. They are providing a pleasant environment; people come in the groups of three or
four and each group consumes various types of dishes.
The proposed study seeks to decide the feasibility of opening a quick-service restaurant of
Maggi at Jalandhar- Phagwara Highway near LPU. The following discussion will provide
the reader with an understanding of the background of the study, the purpose of this study,
reasons why this topic is important and methods selected for data collection and analysis.

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CHAPTER II
REVIEW OF LITERATURE

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2.1 Literature Review


National Restaurant Association (1998)
https://restaurant.org/tools/magazines/rusa/magArchive/.../article/
National Restaurant Association divides a restaurant feasibility study into four steps, which
are
1) Identifying market area and gathering of demographic data such as age, sex, income,
dining-out habits and other characteristics of potential customers.
2) Concept development, which involves using the data about the population in the market
area and forming and evaluating a restaurant concept that fits the area's needs and
preferences.

3) Site analysis, a process to determine whether the characteristic of the site and the
competitive environment around the restaurant will support such a concept.
4) Competitor analysis, which involves investigating competitors in the market area
through a competitor analysis worksheet.

(http://www.restaurant.org/m~a~magArticle.cfm?articleID= T294)
The chapter includes published knowledge that correlates with the above four steps
excluding step two, because in this study the concept has already be firstly chosen, thus
including three sections. The first section will look at literature about how a trade area or
market area should be determined, literature of the demographic characteristics and
consumers spending patterns of the market area. The second section will comprise
literature about competition analysis, and the last section will include literature about siteselection analysis for a start-up restaurant.

Market Area
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Melaniphy (1992) Restaurant &fast food site selection New York, NY:
John Wiley & Sons, Inc.
Before any research can be done, the market area of the proposed business must be
identified to go further in the exploring process. A market area is defined as the area from
which a unit can expect to capture approximately 85% of its business.
For an established restaurant business, it is not hard to get market area information.
Surveys can be made to gather information about where the customers are from, and plots
on the maps can be made to give a clear of picture of the market area or trade area. On the
other hand, it is hard to predict the market area of a proposed restaurant because no
information as to where the customers are from is available for a future restaurant. But this
information can be collected by gathering such information from vehicle stickers, license
plate, competitors' customer interview, mailed-back questionnaire from competitive
facilities.
However, in this study, market area can be easily identified since the proposed site will be
located at Jalandhar-Phagwara Highway and customers of the restaurant will be mostly
customers of the shopping mall and the students. Thus the market area of the supermarket
will be the same as that of the restaurant. The following discussion will first identify the
market area of the restaurant and analyze the characteristics of the market area, and then
describe the future development of the market area of the proposed restaurant.

Market Analysis
Restaurant market Analysis (2003). Retrieved January 27th, 2006,
http://www.uwex.edu
Developing a business plan for an existing business or conducting a feasibility study for a
new venture requires a thorough analysis of market conditions. Market conditions in this
area have a significant impact on the profitability of our restaurant. The strength of the
local market affects how many customers we will serve and the menu prices that we can
charge. This guidebook will help us to analyze our market so that we can gauge the
potential of our existing or proposed operation and make more informed operating and
investment decisions.
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On the pages that follow are a series of checklists to help us collect and analyze
information as part of a restaurant market analysis. The checklists, tailored to the restaurant
industry, will serve as a learning tool to help you understand the many market factors that
influence our profitability.

Types of Questions Answered


By conducting a market analysis, we will be able to answer questions such as:
What are the strengths and weaknesses of our competition?
Is our location suitable?
Does our concept fill a niche in the market?

Population Profile and Consumer Spending Pattern of the Market Area


Fullen, S. (2005). Opening a restaurant or other food business starter kit: how to
prepare a restaurant business plan &feasibility study Ocala, F1: Atlantic Pub.
Group
After determining the market area of the restaurant, the following paragraphs will look at
literature of the demographic profile and consumer spending pattern of market area.
Demographic profile of the people in the proposed site is essential in determining whether
or not to open a restaurant in a proposed site. Demographic profile includes the total
population in the market area, the number of employed persons, working women, income
level, population age, housing and family structure. Among all the different aspects of
demographic profile, total population of certain area reveals some information of the area
in question, but it is the population profile, especially income distribution and age
distribution, that reveals the information needed by any business person to make their
decision. From the study it is indicated, "What matters is not the total number but rather
the characteristics of those people." "A more realistic way of expressing population needs
is to determine how many people you should have in the appropriate age and income
categories." In more than 30 years of evaluating and selecting locations, we have found
age and income to be the most sensitive demographic elements in identifying the right
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opportunities. It is found from the studys statements that age and income distribution
reveals the most how much eating-out need there is among the researched population.
Thus, in this case study, the we will focus on the two most important aspects of
demographic characteristics, age and income distribution and also discuss other related
demographic features.
According to National Restaurant Association (1998),"in addition to the basic
information on our potential customers gained through demographic studies, we will need
to know more about their habits of eating away from home." But how to determine their
eating-out behavior, National Restaurant Association (1998) provides the following
guidelines based on different types of restaurants and their targeted market segment.
a. The average person (8 years and older) eats out 4.1 times a week.
b. Singles and married couples with no children eat out more frequently than families with
children.
c. As income increases, consumers eat away from home more frequently.
d. People 18 to 24 year old eat out more often than other age groups.
e. households with a working female eat out more frequently than those with a nonworking
female.
Matching up these guidelines with demographic characteristics information provides the
clue to the consumer spending behavior.
Matching up these guidelines with demographic characteristics information provides the
clue to the consumer spending behavior. In this study, population profile and consumer
spending pattern will be collected mainly through surveys due to the lack of such statistics
from the government.
As this area is becoming very developing and the population is increasing very fast in this
area. Also the demand and potential of the people are also increasing. The infrastructure is
also developing. This provides an increasing market for Maggi restaurants.

Industry Trends
Studying industry trends is one of the steps in conducting a market analysis. It will help us
identify opportunities and threats in the industry that may affect our profitability. Studies
on consumer eating and drinking patterns are available from various sources. Such studies
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report recent changes and trends in consumer attitudes and behaviors regarding food away
from home.
They can identify changing trends before they become apparent in our local market. The
following are some of the sources of industry trends data available to us:

National Restaurant Association


State and Local Restaurant Associations
Industry Groups (such as the International Foodservice Manufacturers Association)
Hospitality Industry Databases (available at many colleges and universities that offer a
hospitality program)
Industry Publications
The following industry trends checklist provides a sample of topics us might want to study
as part of our market analysis to complete this part of our market analysis.

Growth in Industry Sales

Quick-service vs. table-service


Chain vs. independent
Various types of restaurants (ethnic...)
Catering
Deli, bakery and takeout operations
Monthly/seasonal dining out patterns
Industry sales outlook
Market Demand
Economic trends
Demographic trends
"Food away from home" trends
Factors that motivate one to dine out
Eating habits of different market segments

Restaurant Success Factors

New and popular concepts/themes


Customer service innovations
Pricing practices
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Food production methods


Labor saving techniques

Local Market Area


Demographic and economic statistics will help us determine the restaurant sales potential
of the market area we plan to serve. By comparing these statistics with those of other areas
and the state, we will be able to evaluate the strength of our market area. The first step in
this analysis is to define the geographic size of our market area. Be reasonable in
estimating how far people will travel to reach our site. Once our geographic market area is
defined, we should obtain demographic data that describes the people who live and work in
the area. Are there many affluent singles? Elderly with discretionary income? Families?
Descriptions of the population's age, income, education and gender will help us understand
the market area we plan to serve.
Obtain economic statistics such as business growth trends, eating and drinking place sales,
and tourism visitation data. It indicates the overall economic health of the market area.
This is important since restaurant sales are closely related to local economic conditions.

Site Selection Analysis


Walker, John R. (2005). The restaurant: from concept to operation
Hoboken, NJ: John Wiley.
After all the market area identification, population characteristics and consumer spending
pattern, and competition analysis have been made, the next step to be made is to decide
which specific place the proposed restaurant should be located, or " identify locational
opportunities within the area delineated." There is a wide range of literature concerning
site selection, and all the literature agrees that site selection is essential to the success of
any retail business, including restaurant business. Because from the study we find that
"When we see a retail business struggling and on the verge of bankruptcy, it is not because
the location didn't have people with a median income of $32,000 or that the age group was
40-45 instead of 35-45. These subtleties are important, but they are relative. The real
reason for low sales is that the location lacks one or more of the essential location factors."
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What criteria should be applied to evaluate a proposed site for a restaurant?


Site selection criteria checklist is as follows,
a. Demographics of the area: age, occupation, religion, nationality, race, family size,
educational level, average income of individuals and families.
b. Visibility from a major highway.
c. Accessibility from a major highway.
d. Number of potential customers passing by the restaurant (potential customers might be
only travelers going through a community, drivers, local workers).
e. Distance from potential market.
f. Desirability of surroundings.
Salvaneschi, L. (1 996). Location, location, location: how to select the best site for
your business. Grants Pass, OR: The Oasis Press
From the study we find that, "When looking for the right location for our retail business,
we must consider essential location factors, including: visibility, accessibility, regional
exposure, high density, growth, operational convenience, safety and security, adequate
parking."
Location is a critical consideration because it affects our ability to draw customers. It is
important that our site be visible, accessible, convenient and attractive to our market. How
we evaluate our location will depend on the type of restaurant we are planning and the type
of customers we hope to serve. Two major choices face prospective restaurateurs: What
kind of restaurant should we open and where should we open it? We will have already
selected. It is important that our location and concept complement each other. It is critical
that a site be chosen based on market factors, not because of a low price. Different types of
restaurants will have different location requirements. However, certain elements should be
analyzed regardless of the type of restaurant we are planning. By use the following
checklist to complete this part of our market analysis.

Competitor analysis
Competition analysis seems to be easy but it is because of the mentality towards
competition analysis that makes a lot of unsuccessful businesses. Competition analysis is
not just randomly choosing the restaurants that is located to the proposed restaurant, and
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have a rough idea of what the competitors are like, but to carefully choose the direct and
indirect competitors, and analyze all the aspects of the restaurants ranging from exterior
appearance to traffic counts.
From the study we find out that the competitors can be further divided into direct
competitors and indirect competitors. "Direct competition represents those food service
facilities that are competing directly with a specific menu. For example, Haveli restaurant
operation is directly competitive, and a fast food hamburger facility is directly competitive
with other fast food hamburger facility by MacDonalds".
"Indirect competition represents competition that is less direct such as a steak restaurant
compared with a KFC restaurant, or a fast food chicken operation compared with a
pizzeria."It indicates that two kinds of analyses should be done when sizing up the
competition in an area we have tentatively selected for our own site. First, complete the
competitor's location analysis. Second, complete the competitor's strategy analysis.
The location analysis can be conducted as following:
"From the outside, evaluate whether the facility is properly located and attractive. From
inside, judge the layout of the store and its merchandising, pricing, personnel training and
attitudes, inventory level, cleanliness, lighting, and the number of people walking out of
the store without any purchased merchandise." Competitor's strategy analysis can be done
through "a straight interview with the manager or owner and with some of the employees",
and "analyze the advertising of our top competitor". In this case study, observation and
interview with store employees are going to be made to collect competitors' information,
but analysis of competitors' advertisements is impossible to be done due the fact that none
of the competitors have any advertising. Restaurant competition analysis worksheet will be
adopted to collect competitors' data.
Existing market area restaurants can provide valuable information to help us analyze
demand and market opportunities. We can assess their competitive strengths and
weaknesses and learn from their successes and failures. First, identify how many
restaurants are in our market area. Then, identify those restaurants that appeal to the types
of customers (market segments) that we plan to serve. We should also identify all other
restaurants located in our immediate area because they can also influence our business.
Consider including bar and grille, catering services, food delivery services, grocery stores
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with deli, etc. Refer to the Yellow Pages and our local Chamber of Commerce for listings
of area food-service operations.
It is important to identify any market area restaurants that have closed, and for what
reasons. Also, learn what new restaurants are planned for the market area and determine
how they might affect our proposed operation.

Location

Community traffic patterns


Proximity to sources of demand
Accessibility
Visibility
Surrounding neighborhood
Parking availability

Menu

Theme
Variety and selection
Price range and value
Beverage service
Food Quality
Taste
Presentation
Portion size
Consistency Service
Days open
Hours of operation
Service style
Quality of service
Speed of Service
Extra services offered

General Information

Number of seats
Estimated seat turnover by day and by meal period
Types of guests served (age, income, origin...)
Is business increasing or decreasing?
Entertainment
Local reputation
Advertising and promotion methods used Overall
Strengths
Weaknesses
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GLOBAL GROWTH AND SUCCESS STRATEGIES


Since the start of the company in 1973, McDonalds Corporation began spreading
domestically throughout the United States thus establishing its brand recognition. Its initial
strategy began by advertising directly to the middle and upper class citizens, as can be seen
in countries such as India and China. However, with its many bargain deals on several of
its food items, McDonalds began to cater to several people belonging to the lower class.
In fact, through globalization and internationalization, McDonalds was able to develop
marketing strategies, while at the same time customizing them for different regions in
accordance to the cultural and national variations in order to serve specific target markets.
The company conducts heavy research in regions where it desires to open locations based
upon a few elements, including social, cultural, technological, political, and economic
situations. McDonalds key to success is its business mantra of think global, act local.
This has allowed the company to achieve financial success in every region it opens its fast
food restaurants.
Internationally, McDonalds earns high revenues is India. India is one of the toughest
markets to enter for foreign businesses, due to the governmental hardships imposed upon
by the Indian government. The reason behind such hardships is solely based on the Indian
government seeking to protect its domestic businesses, and employment for its citizens.
Vasant Vihar, a prosperous residential area in New Delhi, was the initial location that
McDonalds opened up its first store in India in 1996. Since then, almost 60 McDonalds
restaurants have been opened. One of the most successive strategies that McDonalds uses
before opening up its stores are research and development of its foods. Tastes and
preferences vary across the globe, therefore, the company thoroughly analyzes the
preferred tastes, especially to not offend local cultures. For example, India is a nation
where beef is highly unpopular due to religious purposes; therefore, the company had to
come up with burgers that were not made with beef, but rather with chicken or lamb.
Furthermore, the company had to create flavors that were spicy in order to meet the
general taste preferences. In order to further emphasize the globalization element
incorporated by the company, the success strategies include:

Emphasis on Local Management


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Throughout the world, McDonalds prides itself in hiring locals, specifically management
in order to gain acceptance into the country by its citizens. The emphasis is based on the
think global, act local theme of the company. For instance, the company decided to
establish two joint ventures with two local entrepreneurs in New Delhi, who were selected
to manage the fast food restaurant. This strategic move allowed the company to gain easy
access to the bureaucracy associated with the countrys government.

Politically Sensitive Strategy


One of the companys major concerns was to develop ways to avoid political confrontation
with the Indian government. The other major concern was to be careful of the religious
sensitives in India. Almost 80% of Indians do not eat beef, and over 150 million Indian
Muslims do not eat pork, therefore, instead of supplying the normal Big Mac, which
consists of beef, the company developed the Maharaja Mac that is made of two lamb
patties. Other foods were also added to the non-standardized menu including McAloo Tiki
Burger, and other common Indian dishes.

Employment Opportunity
Foreign enterprises are often reluctant to hire locals in their companies, specifically at the
managerial positions, however, McDonalds research concluded that in order to survive the
brutal Indian government, it would have to hire locals as cashiers, cooks, managers, etc., as
well as provide jobs for the countrys agricultural workforce. In fact, McDonalds
outsources its products to several Indian companies throughout India. This provides
evidence to the Indian government that McDonalds is not only customer friendly, but also
employee friendly.

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Environmental Friendliness
In order to achieve a positive reputation, as well as follow local and national policies of a
country, McDonalds tries to establish services that are environmentally friendly. India is
an example where the company provides financial contributions and sponsors several
community related activities in order to promote environmental protection. This is
primarily seen within schools; thus indicating that the company also supports local schools.

Corporate Citizenship
In order to better its reputation, this multinational firm gives back to the local citizens in all
countries it operates. For example, the company provides several financial donations to
local organizations. This is one way to encourage consumers to eat at its restaurants, as it is
an incentive that is used to spread the name.

Pricing
As the value of currencies varies worldwide, McDonalds is often forced to change its
pricing strategy in accordance to its target market. For instance, the value of a Big Mac
varies worldwide. It seems that the company tries to maintain a price range on all its
products based on the location, income distribution and it is for this purpose that the
company opens up most of its restaurants in major cities such as New Delhi and so on. Its
primary goal is to initially attract middle and upper class citizens, as they can afford
McDonalds prices. After this, they slowly target the lower middle class citizens. In the
India, for example, the restaurant chain has appealed equally well to all classes ranging
from the poor to the upper class; however, its popularity continues to be among the lower,
middle and upper middle class.

McDonald's marketing success in India


Whether we love it or despise it, McDonald's has successfully infiltrated the Indian
market.
In a paper published through the World Advertising Research Center (WARC), it points
out that while countless fast food franchises that have attempted to open in the sub-

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continent, McDonald's has not only lasted the distance, its branching out and is opening
more outlets due to its effective marketing strategies.
When McDonalds India launched in 1996, urban Indians in Mumbai and Delhi typically
ate out three to five times a month, according to AT Kearney, the management consultancy.
In the 12 years since then, that average frequency has doubled and analysts forecast that
by 2011 the Indian quick service restaurant market will be worth about $6.3 billion.
The first Indian McDonalds outlet opened in Mumbai in 1996. Since then, outlets have
begun trading in metropolitan and bigger towns across the country.
Amit Jatia, managing director of McDonald's India, says The past decade has witnessed
a marked change in Indian consumption patterns, especially in terms of food. Households
in middle, upper, and high-income categories now have higher disposable income per
member and a propensity to spend more.

Applications
This survey will provide us with an industry specific market analysis format that can be
used in a feasibility study, business plan or marketing plan. The following will help
analyze the market potential of an existing operation, an expansion or a new development.
Existing operators can use a market analysis to identify opportunities to improve sales. The
analysis can provide valuable information on market conditions to help in forecasting and
budgeting. It also provides a foundation for an effective marketing plan. Prospective
operators can use a market analysis to project sales volume for a new restaurant venture.
The analysis can provide essential information required in a business plan or feasibility
study. Through careful analysis of the market, the risks of a business investment can be
lessened. Using your market analysis findings, you can estimate the financial potential of
your venture by creating financial projections. If we are a prospective restaurateur, these
projections will help us determine if our venture is feasible.

28

CHAPTER III
NEED, OBJECTIVE, SCOPE &
METHODOLOGY

29

3.1 Need and Scope of the Study


As there is no restaurant of such kind and the population size is very large. So there is wide
scope of this study.
The study can be helpful for
1.

The study can be helpful in taking decision so as to improve the quality and

service.
2.

The study can also provide the idea about the market strategy adopted by

restaurants.
3.

The study can also helpful to increase the sales volume.

Statement of Problem
The purpose of the study is to determine the feasibility of opening a Maggi restaurant on
Jalandhar- Phagwara highway. Data will be collected through observational research
method and through a survey distributed to potential customers.

3.2 Research Objectives


The research objectives are:
30

1.

To understand the needs and wants of the customer from the proposed restaurant.

2.

To identify the market area and site of the proposed restaurant.

Assumptions of the Study


In view of the successful entry of Maggi restaurants into the market, established popularity
of Maggi in the market and the fact that Maggi can be use as breakfast, lunch and dinner.
An assumption can be made that a Maggi restaurant at Jalandhar Phagwara highway,
where 50,000 people currently live can be a success as well.

3.3 Research Methodology


The nature of the research determines that both primary research and secondary research
should be conducted to collect information needed for the feasibility study. Observational
research method was used to collect the information regarding site selection, and a survey
was conducted to collect information concerning consumer's need and wants. In view of
the different research methods, this chapter was include information about how research
subjects was selected, what data collection instrument was used to conduct the survey and
the observational research, what procedures was followed to collect the data, and what
sample selection criteria was applied, and how the collected data was analyzed.
Limitations of method, sample and procedures were also be addressed at the end of the
discussion.

Subject Selection and Description:


Observational research method was used for site selection and location identification.
Observational research was conducted to collect the information of location, operation
hours, and average check price was collected.

Sample Size:
31

The size of customers must be kept in view for these limits. The parameters of the research
study must be kept in view while deciding the size of sample.
In this research study, Sample size is 200 respondents.

Data Collection Procedures:


Sources of data: Following are the methods of sources of data:
Secondary data:

Articles on restaurant from journals, magazines published from time to time.

Internet.

Primary data:
Questionnaire was used to collect primary data from respondents. The questionnaire was
structured type and contained questions relating to different dimensions of restaurant
preferences among proposed population to understand the needs and wants of the customer
and to identify the market area and site of the proposed restaurant.

Data Analysis
A number of statistical analyses were used in this consumer spending pattern study and
market potential study. The Statistical Program for Social Sciences, version 15.0 is
used to analyze the data. Due to the likert nature of the question on the questionnaire,
we have used the factor analysis.
Tool and techniques of analysis: The data so collected will be analyzed through the
application of statistical techniques, such as pie charts.
Data formulation: SPSS
Data Analysis tools: factor analysis

32

CHAPTER IV
INTERPRETATION OF
FEASIBILITY STUDY ON
MAGGI RASTAURANT

33

4.1 Data Analysis and Interpretation


Objective 1 - Table 1:
Q1.How many times do you usually go to restaurant in a month

Valid

Frequency

Percent

Valid Percent

Cumulative Percent

once

21

10.5

10.5

10.5

twice

37

18.5

18.5

29.0

thrice

30

15.0

15.0

44.0

four times

44

22.0

22.0

66.0

more than 4 times

67

33.5

33.5

99.5

others

.5

.5

100.0

Total

200

100.0

100.0

34

From the above figure 1 analysis: - 33.5% respondent go to a restaurant more than 4
times, 22% respondent go to the restaurant 4 times, 15% respondent go to restaurant 3
times, 18.5% respondent go to the restaurant twice and 10.5% respondent go to restaurant
once in a month.

Table 2:
Q2. What is the reason for going to a restaurant?
Cumulative
Valid

Frequency

Percent

Valid Percent

Percent

family

18

9.0

9.0

9.0

engagement party

10

5.0

5.0

14.0

birthday party

10

5.0

5.0

19.0

for enjoyment

152

76.0

76.0

95.0

other

10

5.0

5.0

100.0

Total

200

100.0

100.0

35

From the above figure 2 analysis: - Maximum respondent i.e. 76% respondents go to the
restaurant for enjoyment, 5% respondents for birthday,5% respondents for engagement
party, 9% respondents go with family.
The above analysis shows that most of the people go to a restaurant for the enjoyment. So
there is great potential of demand for a restaurant.

Factor Analysis:Q3. What factors attract you to go to a restaurant?


Strongly Agree

Agree

Neutral

Disagree

Strongly

Disagree

Brand Name
Location
Visibility
Accessibility
Theme (ethnic, regional etc.)
Ambience
36

Service
Quality
Price
Hours of Operation

Analysis:KMO and Bartlett's Test


Kaiser-Meyer-Olkin Measure of Sampling Adequacy.
Bartlett's Test of Sphericity Approx. Chi-Square
Df
Sig.

.605
247.807
45
.000

From KMO and Bartletts test, the value of validity should be in between 0.5 to 1.0. And
we have found that from the analysis the value of validity is 0.605 which shows that our
analysis is correct.

37

Total Variance Explained


Extraction Sums of Squared
Initial Eigen values
Compon
ent

Total

1
2
3
4
5
6
7
8
9
10

2.354
1.530
1.095
.972
.900
.821
.770
.643
.554
.360

Loadings

% of

Cumulative

Variance

23.537
15.304
10.948
9.718
9.005
8.207
7.701
6.433
5.544
3.604

23.537
38.841
49.789
59.507
68.512
76.719
84.420
90.853
96.396
100.000

Total
2.354
1.530
1.095

Rotation Sums of Squared Loadings

% of

Cumulati

Variance

ve %

23.537
15.304
10.948

23.537
38.841
49.789

Total
1.894
1.572
1.513

% of Variance Cumulative %
18.940
15.722
15.127

18.940
34.663
49.789

From the analysis of above table, the first three component i.e. Brand name, location and
visibility give the approximate 50% correct data and the rest seven factors give another 50
% data.

38

From the screen plot graph, the eigenvalue and the component numbers matched so the
result is correct.

Rotated component matrix:-

39

Rotated Component Matrix


Component
1

.307

-.223

.614

-.051

.147

.644

.523

-.023

.473

.589

.131

.046

.780

-.066

.103

.686

.060

.065

.057

.823

.130

-.011

.817

.106

.045

.143

.663

.305

.331

-.110

What factors affect you


to go to a restaurant? 1.
Brand Name
Location
Visibility
Accessibility
Theme (Ethnic, regional
etc.)
Ambience
Service
Quality
Price
Hours of operation

Maximum values of the components from the rotated


component matrix
Rotated Component Matrix
Component
1

What factors affect you to go


to a restaurant? 1. Brand
Name
Location

0.614
0.644

Visibility
Accessibility
0.523

40

Rotated Component Matrix


Component
1

.307

-.223

.614

-.051

.147

.644

.523

-.023

.473

.589

.131

.046

.780

-.066

.103

.686

.060

.065

.057

.823

.130

-.011

.817

.106

.045

.143

.663

.305

.331

-.110

What factors affect you


to go to a restaurant? 1.
Brand Name
Location
Visibility
Accessibility
Theme (Ethnic, regional
etc.)
Ambience
Service
Quality
Price
Hours of operation

Theme (Ethnic, regional etc.)


0.78
Ambience
0.686
Service
0.823
Quality
0.817
Price
0.663
Hours of operation
0.331

From the analysis of above table we have found the component:Component 1:- theme, ambience and accessibility
Component 2:- service, quality and hours of operation
Component 3:- Brand name, location, and price.

41

Reliability test for the components:For the first component:Reliability Statistics


Cronbach's Alpha
Based on
Standardized
Cronbach's Alpha

Items

.558

N of Items
.552

The value of Cronbachs alpha based on standardized items is more than 0.5 which shows
that result is accurate.

Item-Total Statistics
Scale Mean if Item Scale Variance if
Deleted
Theme (Ethnic, regional etc.)
Ambience
Accessibility

Item Deleted

4.0400
4.1250
4.3750

Corrected ItemTotal Correlation

1.385
1.447
1.924

.458
.403
.256

Squared Multiple Cronbach's Alpha if


Correlation

Item Deleted

.223
.198
.070

.305
.401
.609

The above analysis shows that if we left the third factor i.e. accessibility then we find the
value of Cronbachs alpha based on standardized items is 0.609 which is more accurate
when we include this factor so we can left this factor.
So our first component includes the factors:- Theme and ambience
For the second component:Reliability Statistics
Cronbach's Alpha
Based on
Standardized
Cronbach's Alpha
.428

Items

N of Items

.486

The above table of Cronbachs alpha based on standardized items shows the value is 0.468.
42

Item-Total Statistics
Scale Mean if Item Scale Variance if
Deleted
Service
Quality
Hours of operation

Item Deleted

3.3750
3.4350
2.6300

Corrected Item-

Squared Multiple

Cronbach's Alpha

Total Correlation

Correlation

if Item Deleted

.999
1.091
.928

.337
.376
.129

.247
.250
.017

.199
.180
.657

The above table shows that if we left the third factor i.e. hours of operation then we can
find the value of Cronbachs alpha based on standardized items is 0.657 so we can left this
factor.
So our second component includes the factors:Service and Quality

Reliability test for third Component:-

Reliability Statistics
Cronbach's Alpha
Based on
Standardized
Cronbach's Alpha
.403

Items

N of Items
.402

The above table shows the value of Cronbachs alpha based on standardized items is 0.402.

43

Item-Total Statistics
Scale Mean if Item Scale Variance if
Deleted
Price
Location
What factors affect you to go to
a restaurant? 1. Brand Name

Item Deleted

Corrected ItemTotal Correlation

Squared Multiple Cronbach's Alpha if


Correlation

Item Deleted

3.2700
3.4200

1.123
1.300

.256
.225

.066
.051

.275
.334

3.4400

1.303

.236

.056

.315

The above table shows that we cannot left any of the factor in this component because our
value of Cronbachs alpha on the basis of standardized items is not more than 0.5.

Revised factor analysis after the reliability test:KMO and Bartlett's Test
Kaiser-Meyer-Olkin Measure of Sampling Adequacy.
Bartlett's Test of Sphericity Approx. Chi-Square
df
Sig.

.510
159.558
21
.000

From the analysis of KMO and Bartletts test, the value of validity is 0.510. The idle value
of validity should be in between 0.5 to 1.0.

44

Total Variance Explained


Initial Eigenvalues
Compone
nt

Total

Extraction Sums of Squared Loadings

% of

Cumulative

Variance

1
2
3
4

1.863
1.485
1.045

26.609
21.220
14.929

26.609
47.828
62.757

.818

11.685

74.442

.762

10.880

85.322

.648

9.261

94.583

.379

5.417

100.000

Total
1.863
1.485
1.045

% of

Cumulative

Variance

26.609
21.220
14.929

26.609
47.828
62.757

Rotation Sums of Squared Loadings


% of
Total
1.527
1.521
1.345

Variance

Cumulative %

21.817
21.728
19.212

21.817
43.545
62.757

From the table of total variance it is found that our first three component i.e. brand name,
location and visibility shows the result approximately 63%. And the rest factors show
another 37% data. And the values of these three components are greater than 1.00.

45

From the screen plot graph we have found that our eigenvalue and the number of
components are matched from the table of total variance.

46

Rotated Component matrix


Rotated Component Matrix
Component
1
Quality
Service
Theme (Ethnic, regional etc.)
Ambience
Location
Price
What factors affect you to go to
a restaurant? 1. Brand Name

.856
.844
-.044
.121
.099
.151

-.010
.061
.832
.820
-.084
.108

.025
.122
.117
.026
.745
.665

-.183

.366

.564

Maximum values of the components from the rotated component matrix:Rotated Component Matrix
1
Quality
Service
Theme (Ethnic, regional etc.)
Ambience
Location
Price
Brand Name

Component
2

0.855949
0.843648
0.831889
0.819956
0.745
0.665
0.564

From the table of rotated component matrix we have found the three components:Component 1:- quality and service
Component 2:- theme and ambience
Component 3:- location, price and brand name
Component 1 shows that operational capability which shows the service benefit of the
consumer which the consumer has find from the restaurant and its effect the consumer
perception positively because when consumer find these facility from the restaurant then
the perception of the consumer regarding the restaurant and product is turned on and on the
basis of this the buying behaviour of consumer has been changed.

47

Component 2 shows the physical evidences of the restaurant. It shows the benefits of
healthy and friendly environment.
Component 3 shows the competitive edge from the restaurant point of view and from the
consumer point of view it provide the economic value in the terms of brand name, easy to
access or time saving and in the terms of price of the food.

48

Table 3
Q4. How much do you spend on an average per visit?
Cumulative
Valid

Frequency

Percent

Valid Percent

Percent

Up to Rs 50

2.0

2.0

2.0

Rs 50-100

20

10.0

10.0

12.0

Rs 100-150

49

24.5

24.5

36.5

more than Rs 150

127

63.5

63.5

100.0

Total

200

100.0

100.0

49

From the above figure 3 analyses: - 63.5% respondents spend more than Rs.150, 24.5%
respondents spend Rs. 100-150, 10% respondents spend Rs.50-100 and 2% respondents
spend upto Rs. 50 on an average per visit.
The above analysis shows that maximum people spend more than Rs. 150 on an average
per visit so this shows that there is a great potential of customers for the proposed
restaurant.

Table 4:
Q5. If Maggi comes up with a restaurant with the above mentioned features/attributes then
will you want to go and eat in the restaurant?

Valid

Frequency

Percent

Valid Percent

Cumulative Percent

yes

165

82.5

82.5

82.5

no

35

17.5

17.5

100.0

Total

200

100.0

100.0

50

From the above figure 4 analyses: - 82.5% respondents ready to go to proposed


restaurant and 17.5% respondents refused to go to the proposed restaurant .So maximum
people are ready to go for the proposed restaurant so there is a great potential for the
proposed restaurant.

Table 5:

51

Q6. How much are you willing to spend for Maggi/Burger/Soups at a time?
Frequency

Percent

Valid Percent

Cumulative Percent

uptoRs 30

28

14.0

14.0

14.0

Rs 30-40

39

19.5

19.5

33.5

Rs 40-50

47

23.5

23.5

57.0

more than Rs 50

86

44

43

Total

200

100.0

100.0

Valid

100

From the above figure 5 analyses: - 44% respondents are willing to spend more than
Rs.50 for the proposed Maggi restaurant, 23.5% respondents are willing to pay Rs. 40-50,
and 19.5% respondents are willing to pay Rs. 30-40, and 145 respondents are willing to
pay up to Rs.30 at a time.

Table 6:
52

Q7. Which location do you prefer for Maggi restaurant?


Cumulative
Valid

Frequency

Percent

Valid Percent

Percent

outside LPU campus

48

24.0

24.0

24.0

near Haveli

71

35.5

35.5

59.5

inside LPIU campus

54

27.0

27.0

86.5

other

27

13.5

13.5

100

Total

200

100.0

100.0

From the above figure 6 analyses: - 35.5% respondents prefer the location near Haveli,
27% inside the LPU campus, 24% outside the LPU campus and 13.5% respondents
proposed other location for the proposed restaurant.

53

Table 7:
Q8.What is your age?
Cumulative
Valid

Frequency

Percent

Valid Percent

Percent

less than 18 years

1.0

1.0

1.0

18-25 years

150

75.0

75.0

76.0

25-35 years

36

18.0

18.0

94.0

35-45 years

3.5

3.5

97.5

greater than 45

2.5

2.5

100.0

Total

200

100.0

100.0

From the above figure 7 analyses: - 75% respondents were of age 18-25 years, 18%
respondents were of age 25-35years, 3.55% respondents were of age 35-45years, 2.5%
respondents were of age greater than 45 years and 1% respondents were of below 18 years
old.
54

Table 8:
Q9. What is your occupation?
Cumulative
Valid

Frequency

Percent

Valid Percent

Percent

service

31

15.5

15.5

15.5

business

24

12.0

12.0

27.5

student

125

62.5

62.5

90.0

agriculture

20

10.0

10.0

100.0

Total

200

100.0

100.0

From the above figure 8 analyses: - 62.5% respondents were students, 15.5%
respondents were service men/ women, 12% respondents belong to business and 10%
respondents belong to agriculture.
55

Table 9:
Q10. What is your educational level?
Cumulative
Valid

Frequency

Percent

Valid Percent

Percent

below graduation

31

15.5

15.5

15.5

graduate

50

25.0

25.0

40.5

post graduate

119

59.5

59.5

100.0

Total

200

100.0

100.0

From the above figure 9 analyses: - 59.5% respondents were Post Graduate, 25%
respondents were Graduate, and 15.5% respondents were below the graduation.

56

Table 10:
Q11. What is your annual income?
Cumulative
Valid

Missing

Frequency

Percent

Valid Percent

Percent

upto 1 lakh

55

27.5

37.2

37.2

1-1.5 lakh

21

10.5

14.2

51.4

1.5-2 lakh

19

9.5

12.8

64.2

above 2 lakh

53

26.5

35.8

100.0

Total
System

148
52

74.0
26.0

100.0

200

100.0

Total

From the above figure 10 analyses: - The income level of 26.5% respondents is above 2
lakh, 1.5-2 lakh is of 9.5% respondents, upto 1 lakh is 27.5% respondents and 26%
respondents did not disclose their income.

57

CHAPTER V
SUMMARY, FINDINGS,
CONCLUSION, LIMITATION
& RECOMMENDATIONS

5.1 Summary
Knowledge cannot be gained only on the basis of theoretical understanding from books. A
practical insight is necessary for the learning process to make it complete and effective.

58

My project aim was to find out feasibility of opening a Maggi restaurant on JalandharPhagwara Highway. In my research study 200 respondents are taken for the purpose of
survey just to observe and to understand the needs and wants of the customer for the
proposed restaurant. It also focuses on the market area and site of the proposed restaurant.
We found that most of the respondents choose location near Haveli and the visit restaurant
for the enjoyment purpose. So the feasibility of opening Maggi restaurant on this selected
site have very high rate of growth in order to have restaurant at this place.

5.2 Findings of the study


From the analysis of project the major findings are as follows:
1)

The maximum respondents go to the restaurant more than 4 times in a month so

there is a great potential of the customers for the proposed restaurant.


2)
The maximum respondents go to a restaurant for the enjoyment.
3)
From the analysis it is found that most of the respondents spend Rs. More than 150
on an average per visit so there is a great potential of the customer and the potentiality in
the terms of money or demand.
4)
Maximum respondents are willing to go to the proposed restaurant of Maggi so
there is a great potential of customer for the proposed restaurant.
5)
Maximum respondents are willing to spend more than Rs.50 on a visit for the
proposed restaurant of Maggi so there is a great potential of the customers.
6)
Maximum respondents prefer the location Near Haveli for the proposed
restaurant.
7)
From the factor analysis we have found the three components. First component
shows the operational capabilities of the restaurant, second components shows the physical
evidences of a restaurant and the third component shows the economic values for the
consumers and competitive edge from the restaurant point of view.
5.3

Conclusion

This project determines the feasibility of opening a Maggi restaurant on JalandharPhagwara highway to understand the needs and wants of the customer and to identify the
market area and site of the proposed restaurant. Maximum respondents choose the location
of Near Haveli as the location of proposed restaurant. From the analysis we have found
the three component i.e.
59

From the first component includes the service and the quality of the products which shows
the operational capabilities of the restaurant, second component contains the theme and
ambience of the restaurant which shows the physical evidence of the restaurant and three
component shows the location, price and the brand name of the restaurant which shows the
economic values from the consumer point of view and the competitive edge from the
restaurant point of view.
So there is a feasibility of the proposed Maggi restaurant on Jalandhar- Phagwara highway
near Haveli.

5.4 Limitations
The limitation of the research includes the following two points:
a.

The time and money constraints.

b.

Unwillingness of respondents

c.

Again, asking about family income will make the subjects more aware of security

issue when revealing their family income. As a result, no family income questions are
asked in the questionnaire, and no such information can be collected.

5.5 Recommendations
We can see that the people are really becoming habitual of spending more money on
having a food at restaurant as their income levels increases so there is high possibility of
success for a Maggi restaurant on the Jalandhar- Phagwara Highway near Haveli.
60

Restaurant should focus on its operational capabilities so that they can give better

quality and services.

Restaurant should focus on its physical evidences like ambience etc. so that they

can create the healthy environment and consumers feel free at the restaurant.

Restaurant also focuses on the location because it gives the main competitive edge.

Price of the menu should be according to the competitors.

CHAPTER VI
BIBLIOGRAPHY
61

6.1 Bibliography
Andrews, L. (2003). Buying & selling a restaurant business: for maximum profit Ocala,

F1: Atlantic Pub. Group


Arduser, L. (2003). Restaurant site location: finding, negotiating & securing the best

food service site for maximum profit Ocala, F1: Atlantic Pub. Group

62

Brown, D. (2003). The restaurant manager's handbook: how to set up, operate, and

manage a financially successful food service operation Ocala, FL: Atlantic Pub. Group
Eppli, M. J. & John D. B1994.The evolution of shopping center research: a review and
analysis. The Journal of Real Estate Research. 9.1:5-32
Fullen, S. (2005). Opening a restaurant or other food business starter kit: how to prepare

a restaurant business plan &feasibility study Ocala, F1: Atlantic Pub. Group
Katsigris, C. (2006). Design and equipment for restaurants and foodservice: a

management vie. Hoboken, NJ: John Wiley


Melaniphy (1992). Restaurant &fast food site selection New York, NY: John Wiley &
Sons, Inc.
National Restaurant Association (l998). Conducting a feasibility study for a new

restaurant Washington DC: National Restaurant Association


Restaurant

Market

Analysis

(2003).

Retrieved

January

27th,

2006,

from

http://www.uwex.edu
Salvaneschi, L. (1 996). Location, location, location: how to select the best site for your

business. Grants Pass, OR: The Oasis Press


Studying Feasibility Studies. (l998). Retrieved December 26, 2005,
From http: //www.restaurant.org
Sweeney, K. (2004). The new restaurant entrepreneur: an inside look at restaurant deal-

making and other tales @Om the culinary trenches Chicago, IL: Dearborn Trade Pub.

63

Walker, John R. (2005). The restaurant: from concept to operation Hoboken, NJ: John
Wiley.

6.2 References
http://www.cluteinstitute-onlinejournals.com/PDFs/115.pdf
http://www.marketingmag.com.au/news/view/mcdonald-s-marketing-success-in-india-852
http ://www.restaurant.org
http://house.scol.com.cn
http://www.uwex.edu

CHAPTER VII
APPENDIX
64

Questionnaire
Dear Sir/Madam.
We are conducting this survey as a part of our M.B.A. programed from Lovely
Professional University, Punjab. The purpose of this survey is to study the Feasibility
Study of opening a Maggi Restaurant at Jalandhar-Phagwara Highway, so we would
be grateful if you could spend some of your precious time in filling up this Questionnaire.
Q1.How many times do you usually go to restaurant in a month?
Once

Twice

Thrice

4 times

More than 4 times

Q2. What is the reason for going to a restaurant?


Family

Engagement party

Birthday party

for enjoyment

Other (specify)..
65

Q3. What factors attract you to go to a restaurant?

Strongly Agree Agree

Neutral

Disagree

Strongly

Disagree
Brand Name
Location
Visibility
Accessibility
Theme (ethnic, regional etc.)
Ambience
Service
Quality
Price
Hours of Operation
Q4. How much do you spend on an average per visit?
Up to Rs.50

Rs.50-100

Rs.100-150

More than Rs.150

Q5. If Maggi comes up with a restaurant with the above mentioned


features/attributes then will you want to go and eat in the restaurant?
Yes

No

Q6. How much are you willing to spend for Maggi/burger/soups at a time?
Up to Rs.30

Rs.30-40

Rs.40-50

More than Rs.50

Q7. Which location do you prefer for Maggi Restaurant?


Outside LPU campus

Near Haveli

Inside LPU campus

Other (specify)..
Q8. What is your age?
Less Than 18

18-25 years

25-35years 3 5

35-45

Greater Than

45
Q9. What is your occupation?
Service

Business

Student

Agriculture

Others (specify).

Q10.What is your Education level?


66

Below graduation

Graduate

Post Graduate

other (please specify)

.
Q11. What is your annual income?
Up to 1 lakh

1-1.5lakh

1.5-2lakh

Above 2 lakh

Name..
Mobile no
Address.

67