Guadalupe Fast Food Restaurant
Guadalupe is a fast food restaurant located in SFU Burnaby campus that produces handmade burritos. Orders are placed at Maggie Benson Centre where operations run five days a week with varying hours. The business is managed by a team of directors. It is sustainable because of its proximity and reputation for preparing delicious aromatic recipe. Additionally, prices are relatively lower as compared to meals outside campus, which attracts more students and staff to make orders, therefore stimulating growth of the business. The long-term viability of the business is to increase the number of centers to make it convenient for customers to order and allow to save time. In three to five years time, the company intends to increase the number of employees by 50% to cater for increased demand within the campus region (Ebert et al. 2017). To ensure the business is sustainable, the company will hire student employees, providing them with a chance to earn and advance skills. The business model describes the way in which an organization creates supplies and retains its value.
Value Propositions and Consumer Segment
Value propositions focus on the uniqueness of products. Guadalupe focuses on healthy, high quality snacks containing only hormone-free ingredients. Orders are custom-made from fresh ingredients in a timely manner. Consumer segment is the key element. The customer base comprises of students and faculty staff, who are certain to avoid time wastage. The number of workers should be optimum to meet individual taste and preference of each order. Segmented market approach is adopted to divide customer needs in a profitable way. Customer relations are also important as it determines how far they will extend the services (Teece, 2010). Online platform can be used for marketing and conducting online surveys. Furthermore, marketing and distribution channels are used to advertise and keep consumers up to date, including special offers. Moreover, vegetarian options are offered to allow the company to appeal to a larger customer base.
Partnerships and Key Activities
Additionally, it is important to identify other service providers that can be beneficial to the company. For instance, beverages can be provided to complement business activities. The company may partner with external advisors in order to limit risks and increase profits. The key activities and processes that can add value to the business include maintaining customer relations and acquiring new customer through friendly interaction. The key resources supporting business activities include physical equipment, particularly kitchen equipment, intellectual resources, for instance, a patent or trademark, and staff. The sources of income include personal savings and money from family and friends, while additional ones are remunerated in other models (Teece, 2010). A buyer-supplier relationship is extremely important because it builds trust between parties and provides services in a timely and reliable manner.
Cost Structure and Conclusion
The cost structure includes all costs required for the operation and development of the central activities, including initial capital stock and start up costs. Fixed costs are not dependent on the factors of production, for example, rent and utility bills. However, variable costs refer to the ones that may vary in certain instances. If an hourly wage is generated, the labor cost can be both a fixed and variable cost.
In conclusion, Guadalupe fast food restaurant is sustainable because the process of production is easy and aimed at saving time. High quality and healthy foods attract a stream of customers. The location makes it easy and convenient to grab a snack or drink during short breaks. The challenges faced include competition and availability of substitutes from Gawon Korean restaurant and Bubble World Café, which can be overcome by the application of elements of a business model outlined.
References
Ebert, R. J., Griffin, R. W., Starke, F. A., " Dracopoulos, G. (2017). Business essentials. (8th Canadian ed.). Toronto: Pearson.
Teece, D. J. (2010). Business models, business strategy and innovation: Long Range Planning, vol 43, pp. 172-194.
