Final Year Project "Addressing Marketing and Growth Issues of Chattha's Pakistani Street Food" BBA-8

Final Year Project
“Addressing Marketing and Growth Issues of Chattha’s Pakistani Street Food”
BBA-8
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Executive Summary
This report contains the operational arrangement for Chattha’s Authentic Pakistani Street Food,
which is a fine-feasting eatery situated in Sector F-10, Tariq Market Islamabad. It concentrates
on customary food with a select taste in twin urban communities. “Chattha’s”, unlike a typical
restaurant, is providing a unique combination of excellent food at value pricing with a fun and
entertaining atmosphere.
“Chattha’s Authentic Pakistani Street Food is the response to an expanding request, e.g.
• Customers’ needs esteem for everything that it buys.
• Customers are not willing to acknowledge anything that does not live up to their desires.
• Trendy clients’ needs excitement with eating mastery.
In today's much focused environment, it is turning out to be progressively harder to separate

one eatery idea from another. “Chattha’s Authentic Pakistani Street Food” does this by being
the main eatery that is putting forth desi nourishment.
This Operation plan is set up to incorporate a plan of action, external and inside examination
of “Chattha’s Authentic Pakistani Street Food. It additionally incorporates financing for the
underlying dispatch of this new pursuit. The financing that was required to start chip away at
kitchen outline, rents, and securities, hardware buys and to cover costs in the initial two years
of business. It likewise contains extra financing of next two years monetary record, which
demonstrates a continuous increment in incomes and at last increment in benefits of
“Chattha’s”.
Researchers have completed a careful investigation and recommended diverse methodologies

for the administration of “Chattha’s Authentic Pakistani Street Food” to support their deals
and keep up enduring development later on.
BUSINESS MODEL
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Customer Segments Key Activities
-Youth -Catering authentic desi food
-Adults -Preparing food items freshly with

delicacy and extreme care
-Upper class
-Pleasant and comfortable environment
-Middle class
Cost
-Rent
Value proposition Key Partners
-Inventory
-Providing Healthy and Kitchen Cuisine
-Furniture
Quality Pizza Flight Catering (KC)
-Equipment
-Authentic Pakistani street (Suppliers)
-Renovation food -
-Training and Hiring -Customer satisfaction
-Salaries
-Raw Materials
Core Competencies
-Brand Equity Channels Revenue Streams
-Capital -Official Website? -Sales
-Accessibility -Social Media -Logistics
- Workforce
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Acknowledgement
We would like to express our gratitude to Allah almighty that He enables us to do this research
and also make it profitable and practical.
Mr. Omar Ghauri has been an active project facilitator. He helped us throughout the project and
encouraged our work thoroughly so we are grateful to him. His sage advice, insightful criticisms,
and patient encouragement aided the completion of this project and writing of the report in
innumerable ways. We would like to appreciate the work of Mr. Imran Hameed, who provided
us an ideal platform of innovative project and built a relationship of trust with us. We hope that
our work is up to his expectations.
Table of Content
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s
Client brief……………………………………………………………………………………….8
Business problem ………………….…………………………………………………………….9
Objectives………………………………………………………………………………………..9
Mission statement……………………………………………………………………………....12
Literature Review………………………………………………………………………………14
PESTEL Analysis……………………………………………………………………………....17
Competitor analysis………………………………………………………………………….....19
Porters five forces model…………………………………………………………………….....25
Industry life cycle analysis……………………………………………………………………..28
Strategic grouping analysis……………………………………………………………………..29
SWOT analysis…………………………………………………………………………………31
Company strategic ambition…………………………………………………………………....35
Resource capabilities………………………………………………………...........................…36
VRIO framework……………………………………………………………………...…….....37
MC Kinsey 7S…………………………………………………………………………….........38
Marketing and sales……………………………………………......................................……..39
Customer relationship………………………………………………………………………….39
Promotion activities……………………………………………………………………………39
Price structure………………………………………………………………………………….40
Customer based brand equity model………………………………………………….……….41
Servequal:rater model…………………………………………………………………………46
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Sevice gap model…………………………………………………………………………..….48
Research objectives………………………………………………………………………….....49
Research methodology…………………………………………………………………………50
Framework……………………………………………………………………………….……..50
Results and interpretations……………………………………………………………………...52
Marketing mix…………………………………………………………………………………108
STP……………………………………………………………………………………….……114
Sales strategies……………………………………………………………………………..….116
Sales promotion………………………………………………………………………………..119
Operations……………………………………………………………………………….…….120
Layout design…………………………………………………………………...……………..122
Sales summary……………………………………………………………………….………..124
Financial projections………………………………………………………………………..…125
Income statement………………………………………………………………………….…..129
Conclusion………………………………………………………….…………………………130
Recommendations…………………………………………………………………………….130
Limitations……………………………………………………………………………………131
Managerial implications……………………………………………………….………..…….131
References………………………………………………………………………………..…….132
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CHAPTER 1: INTRODUCTION
1.1. Client Brief – Organization Background
After graduation from Middlesex University, UK, & MSc from the University of Glasgow a
youthful business visionary Mr. Chattha is developing inside twin urban communities, with a
brand called "Chattha’s Authentic Pakistani Street Food" along with the partnership of Kiyani,
who is the CEO. The brand's vision is to snatch the business sector opportunity, which is one of a
kind, enticing and stuffed with an assortment of delightful items
While having a discussion with the Chief Executive of “Chattha’s Authentic Pakistani Street
Food”, it has been inferred that they accept to give more than only a nourishment business, and
has a prevalent vision of giving sound, inventive and ethnic sustenance environment/menu for
the general public individuals. Furthermore, it has been delineated that the principle target of this
new pursuit is not simply to win income or increment organization benefits, yet their objectives
incorporate the accompanying four perspectives which they tend to set for instance for the
youthful business people present in Pakistan and for extension of “Chattha’s” Authentic
Pakistani Street Food.
These are the four primary columns supporting the working rationality of “Chattha’s Authentic
Pakistani Street Food:
 In the first place, giving a supreme, conventional and charming Environment at “Chattha’s
Authentic Pakistani Street Food for the masters (clients).
 Besides, advancing/supporting Pakistani Culture (As even their trademark bolsters this goal
i.e. "Live the culture").
 Thirdly, make an exceptionally moral, rising and learning background for his Staff Members
(who the CEO considers as his accomplices in the business, not simply laborers).
 Fourth, contribute his incomes towards Social Welfare Projects being directed in Pakistan
with different non-government associations, to help the denied ones and enhance the
troubling situation of the nation.
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1.2. BUSINESS PROBLEM:
“Chattha’s” restaurant like all other startup businesses in Pakistan is facing numerous challenges
on a day to day basis. The root of these challenges can be traced to their current approach
towards marketing, advertising, and operations. The client also highlighted the problem of fewer
guests in a restaurant because of low brand name and also addressed the problem of competitor
analysis. As they are not aware of their competitors due to which they do not know about their
competitive edge. All problems are due to a lack of quantifiable and actionable consumer
insights. Then he told us about small issues that are related to layout designing due to which
temperature of food is being compromised as well as the place seems to be congested, customers
have to wait in queues for their turns.
The client demands a redesigned marketing strategy, as well as a layout design which can
effectively and measurably communicate the nature and message of company's core offerings to
the consumer and subsequently, should allow them to reconfigure their business at the
operational level. Moreover, the client demands addition to the traditional menu so that more
customers of twin cities are attracted.
1.3 Key objectives:
1.3.1. Marketing activities:
Marketing activities are very important for a business point of view because these activities
provide maximum profit, future growth, and a sustainable competitive advantage. The main
problem lies in their marketing strategy is that they are not focusing on promotion, placement
and product.
 Provide effective marketing plan which will help them in order to penetrate into the food
market and gain maximum profit. To attract wider audience researchers will also design a
brochure and a website. Researchers will be effectively participating in Chattha’s social
media marketing through Facebook Fan Page and Instagram.
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1.3.2. Cost structure:
Cost is the price or amount that ““Chattha’s”” have to pay in order to obtain something.
 Effect of cost on consumer buying power: Cost plays a major role in consumer buying
behavior. Customers like to go to a place where they spend less and get more in return or the
another scenario is that customers prefer quality against their spending. So cost affect
consumer purchasing power.
 Target Market: “Chattha’s Authentic Pakistani Street Food” targets not only upper class but
they target the middle class as well as youth in order to penetrate into the market and capture
maximum market share. So in order to fully target middle class and youth researchers will
design a brochure and introduce student packages as well the delivery services of that
packages in twin cities i.e. Islamabad and Rawalpindi.
 “Chattha’s Authentic Pakistani Street Food charges low prices from their customers so
researchers will provide an operational plan which includes industry cost analysis.
 Researchers will also provide sales plan which includes personal sales, sales promotion, and
public relations.
1.3.3Brochure design: Brochure plays a very important role in order to attract and capture a
wider audience. “Chattha’s Authentic Pakistani Street Food is not focusing on promotional tools,
they do not contain any brochure not even advertise on TV or any other medium. So researchers
will design a brochure for them which includes necessary details as well as attracting packages
and free delivery of food.
1.3.4.Competitor Analysis: Identify “Chattha’s” restaurant major competitors in every service
offering and produce a comprehensive competitor analysis. Additionally, make
recommendations based on research pertaining to similar service providers in the Pakistani
economy and novel approaches they have taken to dealing with their competition.
1.3.5. Operations: The client is currently experiencing operational issues relating to the
employee engagement, employee retention, clear understanding and communication of
management’s role and demarcation of operational boundaries. Give actionable
recommendations after conducting a comprehensive analysis.
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1.4. MANDATE
Core Issues Activities Deliverables

Marketing strategy 1. Marketing plan The achievement of gathering's
2. STP analysis targets will prompt to
and
3. 4Ps advancement of proficient and
4. Brand awareness customer survey productive business systems
Operations Strategy
5. Marketing survey and operations for “Chattha’s”
6. ATL & BTL activities
7. Keller's Brand Equity Model
8. Human Resource strategy
9. SERVQUAL- RATER Model
10. Business model
Financial 11. Sales forecast Researchers follow the

Projections 12. Operating profit margin tendency to create a 3 Years
13. Income statement Financial Analysis guide,
keeping in perspective present
and future records of
“Chattha’s Authentic Pakistani
Street Food”. Researchers will
likewise give an itemized
Break-even Analysis.
Environmental Analysis 14. SWOT analysis In the wake of directing a
15. Strategic grouping analysis point of interest exploration on
16. Industry life cycles analysis
the aggressive setting,
17. Porters five forces model
18. Competitor analysis Researchers tends to plan a
19. PESTEL Analysis one of a kind methodology to
20. Resource capabilities
make an upper hand for
21. VRIO framework
22. 7’S of Mckinsey “Chattha’s Authentic Pakistani
Street Food”
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1.5. Mission Statement
“FARM TO TABLE”
The nature of sustenance and best dinning administration with the delightful environment is not
any more concerned issue in light of the fact that “Chattha’s Authentic Pakistani Street Food” is
giving quality nourishment a trustworthy name where individuals can eat, appreciate and meet
with their friends and family. “Chattha’s Authentic Pakistani Street Food” underscore more on
consumers’ loyalty since clients which they call as kings are their top need. Their statement of
purpose “Farm to Table” uncovers that the amount they are worried about their clients and their
advantage. They convey quality nourishment to their visitors which increase the value of their
spending. What makes them recognize from others is their image name, customary seating
environment and quality nourishment they are offering.
1.6.Company philosophy
The restaurant's philosophy is to increase most extreme clients by furnishing them quality
sustenance with best dinning administrations. “Chattha’s Authentic Pakistani Street Food”
sustenance is set up in hygienic and clean environment and through this environment, they catch
the majority of the clients who are quality cognizant
1.7. Product line
The menu incorporates a full scope of scrumptious BBQ, early morning Desi breakfast, and an
extensive variety of customary nourishments. Additionally, cook in Desi ghee and butter. Their
famous Desi ghee parathas and naans are specially prepared from rich entire grain flour
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Sr. number Product (Main course)
1. Chicken Biryani
2. Nihari
3. Tawa Fish
4. Desi Ghee Mutton/Chicken Karahi
5. Turkish Boti
6. Beef/Chicken Kabab
7. Chicken Rajistani Boti
8. Chicken Madrasi Handi
9. Makhni Gurr Brownie
1.8. PRODUCT MARKET
They have their operation in Islamabad and their target market is the upper-middle class of
Islamabad.
1.9. COMPETITIVE ARENA
In sustenance industry, there are such a variety of contenders so rivalry among the current
nourishment industry players expanding step by step. The extent of the nourishment market is
extending in light of the fact that individuals might want to incline toward trip and encountering
new sustenance so that is the reason the request of the sustenance is ascending and also the
opposition in the nourishment market is additionally developing.
Competitors:
Competitors play a major role in depressing the potential profit. Major competitors of
“Chattha’s” which compete head to head are:
 Monal
 Chaaye Khana
 BBQ Tonight
CHAPTER 2
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LITERATURE REVIEW
Both profitability and growth are essential for the survival of a company and to gain a
competitive advantage. A lot of literature has been written regarding this topic. According to
J.B. Maverick et al (2015), profitability is a critical component for a company’s survival and it is
important for start-ups to focus on profitability. In order to achieve that initial profitability,
growth of sales and market is important. Growth can be measured by looking at different
statistics such as market share, turnover, the number of employees and sales. Growth can be
evaluated by profit and sales. Various marketing strategies can be used for the profitability of a
restaurant. J Y Wanda et al (2015) found that restaurant owners should use social media
marketing and word of mouth in order to gain new customers and retain existing customers.
Moreover, competitive advantage can be obtained through product differentiation which also
guides marketing strategies and brand positioning.
Customers are the most important element in the success of a restaurant. M. Scott et al (2015)
emphasized on understanding customers’ emotions. According to them, companies should use
emotional connections as a strategy to earn profits. They should target emotions that drive
consumers’ behavior which is called as “emotional motivators”. They provide a better measure
of customer satisfaction and loyalty. Restaurants should learn about the emotional motivators of
their customers and should invest in deep research and should make it a part of their broad
strategy. According to H.L. James et al. (2008), instead of focusing on determining profit goals,
managers should focus on customers. They suggested some factors that drive profitability which
is: new and innovative technology, training programs ad investment in people. Furthermore,
increase in food prices is the one of the deciding factors of consumers’ interests and satisfaction.
Tatiana Andreyeva et al (2010) found that low income individuals are more sensitive to price
changes as compared to high income individuals. When prices go up, low income individuals
buy less food which can lower the profitability of a restaurant.
Another factor that affects consumers’ behavior and in turn growth and profitability of a
restaurant is social media. One of the causes of challenges faced by “Chattha’s” is their current
approach towards marketing, advertising, and operations. Advertisements are main marketing
element of any industry. It is the best way of communicating messages to customers. A lot of
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research has been done which shows how ads can affect the popularity of different industries.
Tsai et al (2007) found that advertisements have a great impact on human behavior such as
personality, knowledge, and attitude which can affect the buying decisions of consumers. Khan
et al described that one of the roles of advertisements is to develop brand image and brand
preference. Brand image can be built in the minds of customers through advertisements. Cultural
preferences of target audience should be kept in mind while making an advertisement. For
example, in some places, customers prefer electronic media rather than paper media and vice
versa. Chen et al (2005) highlighted the importance of a website and its effect on consumers’
behavior. Through the internet, businesses can get customers attention which can maximize the
profitability of a business. They also provided an analysis on how different senses react to
different aspects included in a certain environment. Advertisements having humor have more
positive influence on consumers. M. Lorri et al (2016) also gave his views on the importance of
advertising. He described that new restaurants need advertising to attract customers but before
moving towards advertising, restaurants must know their target audience which in our case is
upper middle class and youth. The main tool of advertising is social media. It offers restaurants
an opportunity to sell their products and services. Advertising can also be done through
restaurant promotions which are a great way to show customer appreciation or both social media
and promotions can be integrated. R. Afshin et al (2012) studied the factors affecting customer
loyalty in the restaurant industry. They said that service quality, food quality, restaurant
environment and perception of price fairness have a positive influence on customer satisfaction
and trust. Among all these, food quality is the most determining factor of customer satisfaction
and loyalty. So, the restaurant management should take into consideration the taste, quality,
appearance and presentation of food and should try to increase food diversity to cover various
tastes of different consumers.
S. Irfan et al (2014) analyzed different variables like price, quality and the environment of
restaurants and figured out that there is a positive and significant relationship between these
variables and customer satisfaction and also said that customer satisfaction is considered as the
most reliable and valid feedback from customers about a business. According to Parsa (2012) top
priority of restaurants should be overall guest satisfaction and repeat business for the
continuation of increasing sales of the restaurant industry. Guest loyalty can be increased through
an increase in guest satisfaction which will ultimately lead to increase in revenues and
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profitability. As restaurants consist of diverse segments with different types of guest service
encounters, so it is essential for restaurants to determine the level of service which guests expect
from them. Restaurants must strive hard to deliver this service and quality efficiently and
effectively to reach the desired level of guest satisfaction.
CHAPTER 3
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Environmental and issue analysis
EXRERNAL ANALYSIS
3.1 PESTEL
POLITICAL
There is no such political pressure on the restaurant. The things which hinder businesses in
Pakistan are the boycotts and the sit-ins which are very common activity in Pakistan can affect
the consumption of food home delivery. It is very unpredictable that which event will increase or
decrease the demand for food. But it is usually seen that when there is such incident or the roads
are blocked due to some reason the demand for home delivery goes up and for dine in goes
down.
ECONOMIC
As Pakistan is a developing nation with GDP of 4.2% FY15 somewhat higher than 4.0% FY
2014 which is a great sign for Pakistan. This can be useful for “Chattha’s” business. Yet there
are numerous individuals who want to have great quality nourishment as a result of less
expensive cost. The economy is as yet developing which is a decent calculate and with increment
people groups purchasing power there will be an exponential increment in their utilization and
when discussing sustenance it is fundamental requirement for each individual now it relies on
upon them that it is possible that they like to have great quality nourishment or not. Financing
cost decreases from 8% FY14 to 7% FY15.The new loan fee permits individuals to put more in
their business to fortify the economy of Pakistan which will straightforwardly influence the
“Chattha’s” Business. The swelling declined from 8.2% FY2014 (June) to 2.1 % FY 2015
(April). Bring down expansion rate will support the Pakistan economy that will specifically
effect on purchaser obtaining power. Individuals will spend more on obtaining and devouring the
administrations which are great flag for “Chattha’s” and different business to grow their
business.
Social Environment:
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According to the research, there is an increase in trend for food consumption in Pakistan.
Pakistani people are fond of eating they like to spend their time in restaurants and like to
gossiping so there is a considerable increase in demand for restaurants people enjoy to spend
their time there as far as home delivery is concerned Peoples’ life now a days have become so
busy that once they get home they do not want to go and have dinner with family or friends.
Instead, they now prefer to have food being delivered at their door step from the restaurant of
their choice within 30 minutes.
Technological:
In the age of internet of everything, people are now up to date on all the trends that are taking
place in the market. To cope up with this technology, “Chattha’s” also needs to increase their
time of order processing. Moreover, they need to increase their online presence like on different
blogs because young population does not read the newspaper they access these news blogs for
information and hot topics that are taking place. So, there is a need to advertise on these sites
Environmental:
Pakistan is a country where there are very uncertain environmental changes taking places. These
include droughts, rains, earth quakes, natural calamities, increase pollution due to industrial
waste, etc. all these factors which take place in the environment directly or indirectly effect the
overall economy and business sector of Pakistan. As, in the context of “Chattha’s” its food
business and specifically service delivery business, rain, and earth quakes directly affect the
business as these natural calamities become a sort of hurdle for the timely delivery of either food.
So, the company needs to keep these factors in mind that how to handle these environmental
challenges so as to ensure the timely delivery to their customer without any long delays.
Legal Environment:
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According to The West Pakistan pure food ordinance, 1960 food companies should not follow
any false warranty, Prohibition of mixing and selling mixed food, Prohibition of sale,
preparation, manufacture import or export of unwholesome food intended for human
consumption, Prohibition of sale or manufacture for sale of food which is adulterer or
misbranded or not of the nature, substance or quality demanded. (Food Ordinance, 1960).
“Chattha’s” must also follow these rules and regulations to be a socially corporate responsible
organization.
3.2 COMPETITOR ANALYSIS
Competitors are fundamentally that kind of firms which offer items or administrations like our
own or give substitutes to our items or administrations. “Chattha’s” has 3 noteworthy rivals in
nourishment showcase. One of them is a significant one and the others are by implication
connection to them. As every one of them is giving sustenance benefits so it is difficult for
“Chattha’s” to enter in the competitive market of Islamabad.
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Subject “CHATTHA’S” CHAAYE KHANA BBQ TONIGHT MONAL
Overview “Chattha’s” Chaaye Khana Bbq Tonight is a Monal offers Chinese,

offers a unique offers continental traditional restaurant Pakistani and
Traditional breakfast, bakery and serve Desi as Continental food. The
Cuisine with fine items and soups etc. well as traditional remarkable blend of
dining services. cuisine. health and taste is
their peculiar
specialty.
Competitive  Low prices  Brand name  Layout  Quality food

Advantage  Relaxing designing/  Variety in
atmosphere location product line
 Quality food  parking area  Educated staff
 service
Target Market Upper-Middle Upper class Upper-Middle class Upper class

class
Marketing Cost leadership Penetration Penetration Market

Strategy and strategy strategy segmentation
differentiation and product
strategy differentiation
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Major Product Traditional Fast Food Desi and Bar.B.Q and
Offering Cuisine Continental Continental Food
Pricing and Low prices High prices High prices High prices
Cost
Strengths Low prices and Name of the Quality food and

friendly restaurant Name of restaurant product variety
environment.
Weakness Low Brand High cost Low product line  High cost
awareness  Management
 Low quality
service
Threats Same product Quality Competitors Continental

line of products offer more restaurants
competitors at offered by product chain i.e.
low cost competitors variety Tuscany
Courtyard,
Street 1.
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Opportunities Marketing Penetrating into Penetrating into Quality food and
activity to gain other cities of other cities of service as well as
more revenues Pakistan Pakistan and abroad. exotic environment
especially by
using advertising
tools
OVERVIEW
“Chattha’s Authentic Pakistani Street Food”
“Chattha’s” is the real contender of Monal. “Chattha’s” is putting forth desi sustenance i.e.
Pakistani conventional nourishment, however, they have certain points of interest contrast with
Monal as they are focusing on working class families not at all like Monal which is focusing on
high society families. They are additionally giving unwinding climate as their advantages and
staff is increasing the value of their income yet if there should arise an occurrence of Monal,
clients are not happy with the earth they are giving. Their minimal effort technique puts them in
front of Monal as low costs help them to enter the market. Because of high prices of Monal,
clients want to go to “Chattha’s”. Clients dependably covet a benevolent domain if there should
be an occurrence of dinning. “Chattha’s” real quality is that they are furnishing quality
sustenance with rich feasting administration and the conduct of staff is inviting yet the issue is
that they do not have mark name because of which individuals do not know about it. At that
point comes to threats and opportunities, “Chattha’s” have a few threats and opportunities. The
significant threat they are confronting that there are numerous other nourishment eateries which
are demonstrating comparative sustenance that they are giving. The open door for them is that
they ought to move buyer inclinations for the more empowering menu by characterizing what
solid nourishment eating implies for the cutting edge shopper.
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Chaaye Khana :
Chaaye Khana is giving Pakistani and continental sustenance. Because of their high prices, the
just exclusive class might want to visit that place. The principle advantage they have over their
rival is their image name as high society individuals are more connect to the brands instead of
the quality. They are attempting to infiltrate in the market yet are not effective because of their
high rates. They regard their clients as a visitor so considering best for them is their need. They
have some quality like furnishing desi and continental sustenance with the best dinning
administration. They are more disposed toward consumer loyalty. Qualities do not come alone,
they convey forward some shortcoming too so their significant shortcoming is their high costs.
Because of high rates, clients maintain a strategic distance to visit there. The threat comes when
there are more contenders present in the market in light of the fact that because of this bartering
force of purchasers turn out to be high as they have numerous alternatives. Chaaye Khana is
additionally experiencing this risk as there are numerous evolved ways of life like them are
available in Islamabad. The principle open door for them is that they ought to open their
branches all over Pakistan with a specific end goal to acquire incomes and clients also.
Monal:
Monal offers a unique blend of continentals, Pakistani food similar to “Chattha’s”, as well as
continental food. They also offer similar kind of taste compare to “Chattha’s”. Like “Chattha’s”
they also target upper middle class families similarly they do have some threats and weakness
like other continental restaurants are also providing similar sort of food with the same quality.
Because of its location in Islamabad they are facing unprecedented circumstances, its location is
at Pir Sohawa, customers usually find it hard to reach, although their quality is quite unique. The
continental taste they provide is quite good so they have an opportunity to penetrate in to other
cities as well as internationally. They have their diversity in their product line and variety also
which make them quite competitive. Customers are quite concerned about their vehicles so
providing them a good parking service create value to their loyalty toward that organization.
Monal also provides parking service to their customers. They should go to other major cities of
Pakistan and abroad.
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Bbq Tonight:
Bbq Tonight is an interesting sustenance mark which is operation in Islamabad for very long.
The brand cognizant individuals dependably go towards their image so this kind of procedure is
the fundamental center of this restaurant. The assortment and nature of sustenance which Bbq
Tonight gives are very great they have an extraordinary setup with an immense stopping range
which gives straightforwardness to the client to stop their vehicles and feel good while sitting in
the eatery. The ambiance they give inside the setup pulls in families a ton. They have certain
favorable circumstances contrast with “Chattha’s” as they are putting forth a blended system of
promoting by concentrating on not only one target advertise as they concentrate on focusing on
white collar class, bring down class, and privileged families. This can give an edge to Bbq
Tonight over “Chattha’s”. As “Chattha’s” is not concentrating on advertising exercises
furthermore do not have a website either. So Bbq Tonight has advantage over “Chattha’s”. Both
have great brand notoriety yet because of various youth bundles, their evaluations are high as a
contrast with “Chattha’s”. Presently, the greater part of the eateries are concentrating on students
arrangements and bundles and that make more client dependability. Bbq Tonight is giving fast
food great bundles i.e. purchase two get one free. As researchers realize that students are not
ready to spend more on dinning administrations so they need to spend less and get more.
3.3 PORTER’S FIVE FORCES (INDUSTRY DYNAMICS)

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threat of
substitute
threat of bargaining
new power of
entrants porters buyers
five
forces
rivalry
bargaining
among
power of
existing
supplier
firms
Threat of new entrants
As food businesses/markets are growing with an exponential speed, there are greater chances of
new companies entering this segment because of low entry barriers.
Before “Chattha’s”, there were many restaurants that were already operating in this industry like
BBQ Tonight, Monal, Chaaye Khana, Des Perdes, etc.
To deal with this threat “Chattha’s” need to become the leader by providing unbeatable services
to the customer so that it become difficult for an upcoming new entrant to serve the market the
way “Chattha’s” is serving them. More ever, they also provide quality food at low prices so no
one can beat “Chattha’s” and through this, they will capture loyal customers.
Bargaining power of buyers
Buyers or consumers now a days are more health conscious and try to pay more on that product
which maintain their fitness. So, consumer pattern of eating change as well as the completion in
the industry also changes.
The bargaining power of buyer is high in this industry. In cases where there is no much
difference between the products, switching cost is very low. Currently, there intense competition
in this segment and to retain your customer “Chattha’s” needs to build relationships with their
regular customer and give them their money back in the form of discount coupons so that they
can work as a marketing tool for the company.
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Bargaining power of suppliers
Industries need inputs for their processes especially restaurant industry need products like raw
material (potatoes, tomatoes, cabbage etc.) from their suppliers so, they heavily depend on their
suppliers. Restaurant owners must consider the power of suppliers when they enter into the
industry. So in the case of “Chattha’s” the bargaining power of supplier is moderate because
there are too many restaurants in the same area and “Chattha’s” is a new entrant.
Intensity of competitive rivalry

The intensity of competitive rivalry in food service is extremely high. As the consumer pattern of
eating are changing day by day i.e. they are now more health conscious than before so the
restaurant industry may be now shifted from price to menu based (healthy products).
“Chattha’s” faces direct competition from Monal and BBQ Tonight which is currently the leader
in restaurant services in Islamabad. The credit goes to its intense marketing and advertising over
the internet, on roads and on social media sites. Also, they are now giving discounts and student
packages to their customers which “Chattha’s” has not started yet.
For this, they need to start introducing packages and start their advertising on different blogs like
propakistani.com, Islamabad buys and sell, Facebook, etc. and others such blogs that are popular
among youngsters and which provide some content related to some entrepreneurial activity or on
the hottest topics because young generation now accesses these blogging sites instead of reading
newspaper.
Threat of substitute
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The restaurant industry is facing threats day by day from substitutes such as homemade meals,
convenience stores, etc. the effect of these substitutes limit the profitability of restaurant
industry.
Convenience stores and super markets are now emerging substitutes for restaurants because they
provided fresh and ready-made food to the customers. Researchers also know that consumers are
price sensitive and they easily move to other products which are of greater value and prices are
low. Some Consumers also thought that dinning out is something which will happen on some
special occasions. So “Chattha’s” must think that type of strategies which save consumer time as
well as giving them a delightful environment where they feel relax.
3.4 Industry Life Cycle Analysis
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“Chattha’s” restaurant is not the top restaurants in Islamabad even they got the brand name but
due to a new entrant in the market as compared to Bbq Tonight and Monal they are not
consumer’s first priority.
“Chattha’
s”
Introduction Growth Maturity Decline
Seeing in the above graph researchers can conclude that “Chattha’s” is at growth stage they need
much improvement to gain customers because there are many competitors in Islamabad which
are at maturity stage and have more loyal customers than “Chattha’s”. In order to reach maturity
stage, “Chattha’s” needs to improve their marketing strategy.
3.5. Strategic Grouping Analysis

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HIGH Monal
Chattha
QUALITY
Chaaye Khana Bbq Tonight

LOW
HIGH
MARKET SHARE
As far as the quality of food and offerings are concerned in comparison to the market share
(mentioned in the figure above), two strategic groups are shaped. One group consists of two
firms i.e. “Chattha’s” and Chaaye Khana while the second group involves Monal and BBQ
Tonight. The analysis indicates that “Chattha’s” offers the second best quality offerings in its
surrounding market but has a low market share due to external forces and being a new venture.
On contrasting, Bbq Tonight (a brand in the similar product line) is the market leader in terms of
market share but attains the lowest in providing quality of food or environment. Similarly, the
upper group consists of Monal having a high market share and attains high in offering quality
food and environment. Chaaye Khana stands at the lowest ranking as they lack investments and
human capital, network effect and sufficient networking effect of local industry. The orange line
depicts the mobility barrier that exists between two groups, meaning thereby, firms face barriers
while moving from one strategic group to another due to some vital reasons such as ideal
location or daily proximity for customers.
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Chaaye Khana Monal
PRICE
Chattha Bbq Tonight

LOW
HIGH
BRAND NAME
As far as the price of food offerings are concerned in comparison to the and brand name
(mentioned in the figure above), two strategic groups are shaped. One group consists of two
firms i.e. “Chattha’s” and Chaaye Khana while the second group involves Monal and BBQ
Tonight. The analysis indicates that “Chattha’s” offers the lowest price in its surrounding market
as wells a low brand name due to being a new venture. On contrasting, Bbq Tonight (a brand in
the similar product line) is the market leader in terms of market share but attains the lowest in
providing quality of food or environment. Similarly, the upper group consists of Monal having a
high brand name and high price. Chaaye Khana . The orange line depicts the mobility barrier that
exists between two groups, meaning thereby, firms face barriers while moving from one strategic
group to another due to some vital reasons such as ideal location or daily proximity for
customers.
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CHAPTER 4
Internal Analysis
strength weakness
S W
opportunity
O T threats
4.1 SWOT ANALYSIS
The brand philosophy of “Chattha’s” Authentic Pakistani Street Food is to provide more than
just a food outlet and has a superior vision of providing healthy, innovative and ethnic food
environment/menu for its current and potential customers. The brand tends to convey its
innovative personality through their variety of beverages that accommodates all ages and
foodies, its trendy setup that is tempting for youngsters/adults to dine in or make a daily gossip
spot, and the quality of service and food.
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STRENGTHS
• Emphasis on great nourishment is the principle quality of the eatery.
• Reviving the trend of Pakistani sustenance can likewise be considered as a fundamental quality.
• Islamabad occupants are partial to eating so individuals would stop by to the eatery as because
of the ubiquity of the eatery.
• "Customers are our kings". The client solace is one of the key quality of the eatery as they give
astounding administrations to the general population.
• Rapid and brisk administration is their benchmark for the technique of the eatery this would
help in infiltrating to different urban areas.
• The owner is considering Islamabad to be the fundamental wellspring of expanding income.
• Staff individuals are his business accomplices, not simply specialists, this sentiment certainty
gives representatives certification that their diligent work and devotion won't go futile, therefore
they are resolved to do as much as they can to succeed as a brand.
• The exclusive atmosphere is pulling in clients. They have valued the work done inside the
eatery, which delineates the proprietors’ inventive personality outline, which prompted ideally
using a medium estimated lobby into a popular, trendy and delightful setting to feast in.
Weaknesses:
• Brand awareness in Islamabad is one of the primary shortcomings.
• As “Chattha’s” is a new eatery in the town, it will take some an opportunity to perceive its
name in the market, with some solid players exhibit in the market with predominant brand
nearness and acknowledgment, for example, Chaaye Khana, Bbq Tonight and so forth. The
informal exchange is a standout amongst the most imperative devices for energy about any
eatery. On the off chance that we could succeed to give better quality nourishment, soon it will
be one of the best eateries around the local area and will undeniably move into positive system
impacts.
• Less concentrate on showcasing exercises is additionally a frail point.
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• Islamabad is a bustling city so it is hard to elevate showcasing exercises to each side of the city.
• Not thinking about rivals is additionally a shortcoming.
• A lot to be done on advertising side ought to be the cornerstone in infiltrating into the market.
• Lack of data to the masses of the district is additionally a shortcoming.
•As “Chattha’s” is situated in Tariq Market,F-10/2, clearly leases are high and are confronted as
an altered month to month costs, which can be just managed through proper income era that
spread month to month settled expenses and in this manner, perspective may be turned into a
shortcoming if money related limitations happen.
Opportunities:
 Islamabad contains immense population can bring a lot of revenues to the restaurant.
 Getting maximum market share from Islamabad is also an opportunity for “Chattha’s”
but focus on marketing is the key to bringing this healthy output.
 Decreasing the cost specifically for this region and reliance on quality and provide exotic
environment would bring healthy results for the restaurant.
 Penetrating into other areas of Islamabad depends on upon success in Tariq Market F-
10/2.
 “Chattha’s” offer fresh and healthy food for quality seeking as well as economical deals
to attract teenagers that comprise most of our target market. This gives them massive
opportunity to capture our target customer as soon as possible.
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Threats:
•Competitors are the principle danger in Islamabad.

•There a considerable measure of eateries which are demonstrating same assortment and nature
of nourishment which “Chattha’s” is giving at a sensible rate.
•Same sustenance is given by the contenders at markdown so a considerable measure to be done
is required by “Chattha’s”.
•Threat can be expanded if eateries like Khiva, Kc Grill open there chains in that market
•Pakistan's economy resemble a financial rollercoaster along these lines our eatery industry is
more imprudent and defenseless absolutely on the grounds that client fixes their pockets. In
times of downturn or decay eatery industry discovers drop in deals than some other industry
since eatery nourishment is considered as a lavish buying in our way of life.
•Large eatery networks are dependably a danger to the recently rising eatery.
Conclusion
So by concentrating on these qualities, strengths, weakness and opportunities, “Chattha’s” could
discover its approach to making its nearness in the city and as Islamabad is a crowded city so this
is the opportunity time to make viable promoting effort keeping in mind the end goal to
guarantee eateries achievement a ton should be done as far as advertising as the proprietor
himself conceded that they have not done showcasing at all as we were depending on our image
name yet in the blink of an eye it did not bring achievement. Compelling marketing exercises can
be begun through notices through electronic media, besides by propelling hoardings program
particle the city with the goal that individuals would come to think about the eatery and its offers.
Viable home conveyance system ought to be inherent request to amplify the eateries incomes
however dangers and shortcoming must be managed a proactive approach study must be led in
the city so as to know the taste, inclinations of the general population as it assumes a vital part in
an achievement of any business.
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4.2. Company strategic ambition
4.2.1 Investment:
“Chattha’s” Authentic Pakistani Street Food is less inclined toward investment. They are not
spending on marketing activities i.e. on advertising, brochures etc. They believe that generating
revenues is not very difficult and their customers are satisfied from their offerings. So investing
in these activities is not preferable
4.2.2 Marketing:
“Chattha’s” Authentic Pakistani Street Food is not spending any money on marketing. They are
not even doing above the line or below the line marketing. This is the major problem lies in this
branch. Due to this customers are not aware of this branch and their market share is stable.
Ineffective marketing would largely affect their profit margin.
4.2.3 Challenge big brands:
“Chattha’s” is good in offering quality food and elegant dining services so competing in the food
industry is not very difficult for them. By increasing their marketing activities, enhancing
training and development program and improve cost structure; they can become one of the top
listed restaurants in Pakistan
“Chattha’s” have some competitors in Islamabad but they are offering authentic Pakistani street
food which makes them different from their competitors. They can also become one of the
leading restaurants if they would invest in their marketing activities. By using their brand name,
they can easily penetrate into the market but they should lower their prices. They are providing
good quality food but their staff should be friendlier in order to attract more customers.
This restaurant is gaining fame but they do not specify their vision, mission, goals, core values,
and objectives. Moreover, they also need to design their existing website and also social media
website because now-a-days customers are more attracted toward social media network.
4.3. Resource and capabilities

35
4.3.1 Resources:
“Chattha’s” have sufficient resources which make them unique in the food industry. They are
different from their competitors just because of the resources they have as compare to the major
players in the food industry. They have their own classified chefs plus they have farms of
vegetables i.e. onions, tomatoes, and potatoes. Due to this cost of these vegetables become low
for them.
Startup Summary
Resources Cost (Rs.)

Accommodation of plaza& security cost 3,000,000
(advance 5 months)
Construction/renovation 7,580,000
Furniture 1,873,000
Electrical equipment and Tandoor 550,000
Kitchen Exhaust System 6,000,000
Cutlery and crockery 110,000
Lightning and décor 290,000
Sound system & LED 200,000
LED boards and Panaflex 350,000
Salaries 230,000
Labor expenses (Food)/month 24,750
Raw material 1,050,000
Utility/miscellaneous expenses 430,000
Printing expense (Menu, brochures, bags) 52000
Internet charges 9000
Total 21,748,750
4.3.2 Capabilities:
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Due to centralized management system introduced in “Chattha’s”, Mr.Waqar is more concerned
about their loyal customers who would like to prefer authentic Pakistani street food with
dynamic sitting environment.
4.3.3 Core competencies:
The main core competency of “Chattha’s” is their product offerings in the form of authentic
Pakistani street food and they are getting popular by name as they are targeting elite and middle
class. They are specialized in offering traditional food with quality so it is not difficult for them
to capture the market. They are also focusing on customer satisfaction due to which customers
like to visit there.
4.4. VRIO framework:
This framework is used in order to understand resource capabilities of the firm. Resources must
be valuable, rare, costly to imitate, and organized in a way that it can capture more value.
“Chattha’s” have many resources but they are not fully utilizing them as they are not able to
recognize them. Although they have resources like their own farms but most of the vegetables
are sold to the markets. VRIO framework analyzes the resources and capabilities of the firm and
also explains that whether they are utilizing it properly or not. The blue circles reflect that
“Chattha’s” fall in this category which is their temporary competitive advantage. The orange
circle indicates that they need to reach that stage by providing value to their customers.
4.5. Applying 7’S of Mckinsey on ““Chattha’s” Authentic Pakistani Street Food”
37
For organization success there are 7 elements to analyze their internal environment that is as
follows:
1) Strategy “Chattha’s” strategy is to satisfy customers by providing quality food with

best dinning services and make them ample satisfied that they turn loyal
customers for them.
2) Structure There is a top-down approach in the restaurant. Lower level employees have
no right to contribute their ideas in decisions. All decisions are taken by the
owner of the restaurant. All the power is in hands of owner.
3) System The right person for the right job at the right time is not properly placed.
4) Shared values Since different people of different culture work together under a single roof so
everyone respects other so the goals can be fulfilled
5) Style There is a unique style of dinning in “Chattha’s”. A classy environment for
families as well as for co-operating meetings. There is a touch of historic
background in the environment.
6) Staff The staff of “Chattha’s” is very lazy.
7) Skills Skills of staff were not enhanced because no proper training is given to the
employees when they were hired.
4.6. Marketing and sales:
The marketing department of any firm is responsible for the promotion of the firm and any
activity related to the marketing. Sales and marketing have a direct relationship. Sales of the firm
38
depend on the marketing activity. “Chattha’s” is currently not focusing on marketing activities
but they have a strong focus toward their sale. Their sale graph is still steeper as compare to their
competitors.
Customer relationship:
In order to gain more success in any industry, customers are the immediate priority. The
customer is king so creating a good relationship with them is very important. “Chattha’s” is more
inclined toward customer satisfaction and providing quality food in order to create a good
relationship with their customers.
They take feedbacks from their customers and try to create a strong relationship with them. They
lack a website on which customers can write complaints.
Promotion activities:
“Chattha’s” is not focusing on a promotional activity, for now they need to focus on both ATL
and BTL activities.
ATL (above the line) activities are held by using mass media to reach out to targeted customers
which includes conventional media marketing through television, radio advertisement, internet
(social media) and print media as well.
BTL (below the line) activities are more like one to one promotions which Chatthas’ need to
focus on. It includes billboards, place cards, distribution of pamphlets and brochure etc. If a
brand wants to connect with customers but budget is the problem, in that case BTL activities
would be the best option to go with in order to get ROI (return on investment).
As researchers have discussed earlier that adopting ATL activities would be expensive foe
Chatthas’ right now on initial stage so they decided to go with BTL activities. Moreover using
such techniques, firms become a market player. If they would succeed in promotional activities
then gaining maximum market share is not difficult for them.
Price structure:
Chattha’s decided to go with price penetration strategy by offering low prices as compared to
their competitors like Monal, Chaaye Khana and Bbq Tonight. They are more focusing on
39
quality rather than prices, despite having low prices than competitors. In Islamabad, middle class
people graph is a bit high so people are not able to spend more on food. They help them in
getting a maximum market share. To cater this purpose purchase goods in bulk because if their
buying cost is less then they will not survive from any loss. They are offering family meals but
they should need to cater student packages with reasonable prices. This would be an easy way to
penetrate in to the market.
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4.7 CUSTOMER BASED BRAND EQUITY MODEL
Step 1: BRAND IDENTITY – Who you are?
To create brand awareness or brand salience in the market first “Chattha’s” need to identify their
target market. “Chattha’s” target market is middle class and upper middle class who wants to
enjoy quality traditional food in affordable prices. They love to eat traditional food in this era of
western food chains everywhere. In the race of maintaining high status and to brag about, a lot of
people are adopting western food habits. “Chattha’s” wants to maintain traditional food habits
alive in the twin cities. It specifically targets youth because as per survey researchers found that
youth admires to go for traditional food but there is no such renowned place to dine in and office
going people who comes from all working family background and doesn’t get healthy traditional
breakfast. “Chattha’s” provide them economical, healthy and traditional breakfast.
According to a survey conducted researchers came to know that people love to eat desi food.
That is what “Chattha’s” are providing as per customers’ need. Later “Chattha’s” tagline was
“Be Desi, Eat Desi” which is now changed to “Farm to Table” which directly strikes the
customers’ mind with the perception that “yes we are going to get traditional food here with
noteworthy quality”.
Step 2: BRAND MEANING - What are you?

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When it comes to create brand meaning researchers realize that performance is quite sound as
people are loving their traditional food in comparison with competitors. Talking about
competitors Chaye khana’s prices are higher, Bbq tonight is not offering cultural food varieties
and talking about Monal its location is not accessible for everyone and prices are much higher
for middle class. So here “Chattha’s” takes the cake in fulfilling their commitments. When it
comes to service effectiveness, efficiency and empathy “Chattha’s” lacks. In order to fulfill this
gap “Chattha’s” conducted two weeks training programme for its staff to improve responses to
customer’s complaints and feedback.
“Chattha’s” also focuses on style and design of the restaurant. It also includes size, color and
material etc. Ambiance leaves an immense impact in customers’ mind.
They also came up with placing a writing board near the entrance door so that before leaving
people can write down suggestions and complaints regarding their experience. That is how they
created an image in customers’ mind which later on can be spread through word of mouth. It
turned out building its Brand Personality.
“Chattha’s” decided to go for market penetration strategy by providing high quality food in
affordable prices. They are also offering various attractive discount offers including student
discounts, 10% discount on 5th visit in the following month and so on.
Brand imagery passes on to more intangible characteristics of the brand.
User profile refers to be associated with the brand that the people who stopover “Chattha’s”
comes from what type of back ground. It may include people from different age, gender, race
and income (Demographic background) and careers, possessions and social issues
(Psychographic backgrounds).Then customer may believe that numerous people visit Chattas’
and therefore consider the place as quite popular or market leader.
Purchase and usage situations also build up a brand image. Mostly youth visits in day time while
families visits for dinner. Working men comes in the morning for breakfast.
History, heritage and experiences: Brand may take on associations from their past. Customers
here may associate themselves from its parent brand Cheema and “Chattha”.
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Talking about building brand personality, “Chattha’s” goes with competence personality trait to
evaluate the consistency.
Step 3: BRAND RESPONSE – What about you?
When it comes to customers’ response, it falls into two categories i.e. “Judgments” and
“feelings”
Customers’ Judgments are sub categorizes into following,
Quality: What “Chattha’s” customers perceive becomes the quality based upon the attitudes they
hold.
Credibility: Brand credibility is measured on three dimensions i.e. (1) Perceived expertise,
“Chattha’s” customers already find it competent enough against its competitors when it comes to
authentic Pakistani food. (2) Trustworthiness, “Chattha’s” customers trust them because they are
quite sensitive when it comes to its customers’ needs which customers appreciate in return. (3)
Brand likeability: “Chattha’s” customers love spending time here because of its ambiance, and
environment comfortable enough to relax and spend quality time with their loved ones.
Consideration: Customer always tries to associate their beliefs and expectation with that of
brand. Customers visit “Chattha’s” only because they consider it good enough to be associated
with. “Chattha’s” is also bound to meet their unique and specific needs. It doesn’t matter how
plausible the brand is, unless it receives formal considerations from its’ customers.
Superiority: Finally this dimension takes the Judgment of customer to next level by comparing
the brand with its competitors. People who visit “Chattha’s” would compare it with Chaye
Khana, Bbq tonight and Monal in every aspect. It is also one of the ways to build customer
relationship.
Talking about Brand Feelings, it’s one of the vital components of brand building process. It’s
human nature that they get emotionally attach towards people, things or places. Here is how a
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brand makes a way in the market. “Chattha’s” accordingly provides environment gracious
enough for every customer to make him/her self comfortable. It further sub categorizes into:
Warmth: It refers to peaceful ambiance. “Chattha’s” deliver soothing environment and make
them feel warmhearted and sentimental which ultimately make them associate their feeling with
“Chattha’s”.
Fun: As “Chattha’s” targets youth then the element of fun should necessarily be a part of the
restaurant and that’s what “Chattha’s” takes care of. With unique selection of music to be played
particularly in day time when mostly the students visit, arouse the feelings of cheerfulness and
amusement.
Excitement: Researchers believe that environment should be energizing enough that one should
not feel dizzy and lethargic. “Chattha’s” came up with activities like winning discounted
vouchers, song dedication desk. They implemented the idea to create sense of excitement among
their customers.
Security: Customers feel secure when environment produce a sense of safety and comfort.
“Chattha’s” staff is trained enough to make their customers feel like home by giving them
individual attention.
Social Approval: It refers to the idea when customers feel positive about other reactions towards
them. They feel good when they notice others looking favorably towards them. This helps
improving social relations and “Chattha’s” provides them the environment to socialize which
later people in future associate their first meeting at that specific place ““Chattha’s””
Self-Respect: “Chattha’s” first priority is their customers and their dignity. They back their
customers respect in every possible way and that’s how customer feels good about themselves. It
creates a sense of pride and accomplishment which goes in favour of “Chattha’s” that how
positively people associate themselves with “Chattha’s”.
Step 4: BRAND RESONANCE – Relationship between Brand and Customer
44
The prime element of brand equity model is Brand resonance. It sits at the top of the brand
equity pyramid and quite hard to pull off that place for a brand. The harder you try to achieve,
greater the chances of success it brings along. It also categorizes into:
Behavioral loyalty: It is made known from the repeated purchases of any brand. Since
“Chattha’s” is new in market so they need to work on their customer relationship strategies to
attain the specific goal of creating brand loyalty among its customers.
Attitudinal Attachments: Behavioral loyalty only is not enough to reach the level of resonance
but attitude towards brand is much more important while getting the product and services. People
may visit “Chattha’s” because it’s affordable or may be accessible but not because of what the
brand is actually, this would be a huge reason to worry about. “Chattha’s” need to create a sense
of being special in customer’s mind because in the end its’ all about what customer perceive
about the brand in every aspect. This can be achieved by giving minor favors to its’ customers or
sometimes huge favors to its’ regular and important visitors and a lot more.
Sense of Community: When customers associate themselves with others who also use the same
brand or utilize the services from same brand, this then creates the sense of community. It builds
a brand community which is a sign of significant social trend. “Chattha’s” instruct their staff to
build relationship with their customers. Moreover they provide the environment where customers
can also interact with each other. Creating sense of community ultimately raises the brand name.
That’s how brand loyalty gets stronger.
Active Engagement: This component is much important and much harder to achieve but once it
is achieved it lifts the brand in every aspect. Brand makes the customers engage in different
activities but the question is how to make them involve? Here “Chattha’s” working on to design
activities which involves the customer in such a way that even when they are not at “Chattha’s”
still they should be discussing and spreading word of mouth among people nearby. It may
include online business forums, student chat rooms, online contest for winning free vouchers and
occasional vouchers when needed.
This milestone is little far to achieve but since “Chattha’s” already started working over the plan
so they will accomplish the goal soon.
4.7 SERVQUAL: RATER

45
RATER model is a tool to measure quality standards of any firm or organization.
This framework ensures full customer satisfaction regarding quality service. Moreover it helps to
find service gaps which can be fulfilled accordingly. It has five (5) key dimensions.
Responsiveness: It refers to that how much a company or an organization is willing to help

customers and to provide timely service. In that case Chatthas’ have a customer service operator
who is 24/7 available online to keep record of customer complaints and give immediate response
via emails and calls etc.
Assurance: Assurance can be achieved only if the staff is cooperative towards customers.
Chatthas’ staff knows very well how to gain trustworthiness from their customers by being
supportive. Chatthas’ employees are courteous enough to cooperate with customers and assure
them high quality service. They indulge themselves in conversation with customers to gain their
confidence.
Tangibles: Chatthas’ not only provide intangible services but focuses on tangibles too. They
provide customers with perfect relaxing ambiance and cozy environment. The exterior and
46
interior of Chattha’s’ keeps you refresh. Customer wants to see the staff in proper uniforms with
perfectly arranged tables even when it’s in their sub conscious mind.
Empathy: Researchers believe that true hospitality generate emotional response of customers
which one can not overlook. Chatthas’ focuses on three vital points to work on that creates deep
associations and empathy. It can be achieved by giving individual attention to customers and
showing concern. (1) Prioritizing wonderful service by giving them something to talk about and
spread good word of mouth. (2) Hiring dedicated staff is the most important part as employees
are the one representing Chatthas’ all the time. Chatthas’ hire people who are self motivated
rather than being forced to work. (3) Humanizing the restaurant’s social media, Chattha’s
focuses on building customer relationship by working on designing activities like online contest
among customers. This is a way to stay in touch with customers and ultimately it increases the
number of visits of customers at Chatthas’.
Reliability: Reliability in the eye of customer is three times more important than to be served in
shiny new utensils or flashy uniforms. They come to Chattha’s for quality food .Chattha’s is
working on gaining customers’ trust that even after sometime if they improve their menu, still
customer can rely on Chatthas’ blindly. Customers always count on the brand they trust.
Even after working on all five dimensions of SERVQUAL, still there are gaps to identify and
Chattha’s cannot overlook them. The gap needs to be fixed.
4.8 SERVICE GAP MODEL
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Talking about Chatthas’, Gap 3 has been identified after conducting research. Gap 3 is actually
“Discrepancy between service quality specifications and the service deliver” commonly
known as “Service Delivery Gap”
It occurred due to lack of trained staff at Chatthas’. It’s been happening lately that customers are
not getting the same taste of the same dish on their next visit. They are getting disappointed that
the promised taste is not being delivered. This might happen due to lack of product knowledge of
staff and unified team work. Chattha’s then opted for conducting training sessions for their staff
and educated them how to work in a team effectively.
Moreover managers need to audit customers’ previous experiences that what Chattha’s delivered
in the past and what they are delivering now in order to figure out that where the problem lies
and later to make sure that it lives up to the expected level of customers in future. In that case
Chattha’s need to get regular feedbacks from customers.
Chapter 5
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5.1 Research objective:
There are eight main objectives for our research which are as follows:
 To examine that how prices effect consumer buying behavior and satisfaction.
 To examine the awareness of ““Chattha’s” Authentic Pakistani Street Food” among people of
Islamabad and Rawalpindi.
 To examine how location affects consumer choices.
 To introduce student packages for ““Chattha’s” Authentic Pakistani Street Food” with free
home delivery.
 To examine the variety of products offered by ““Chattha’s” Authentic Pakistani Street Food”
as compared to their competitors.
 To ensure that how advertisement plays an important role in organization growth
 To Enhance “Chattha’s” position in the market and fortify brand name.
 To build consumer loyalty and construct a repeat client base.
5.2 Research design:
Our research is based on quantitative data. Researchers will do random sampling and collect the
data from different people living in Islamabad and Rawalpindi through questionnaires.
5.3 Population:
The population researchers will focus in our research will be the residents of twin cities of
Pakistan i.e. Islamabad and Rawalpindi.
5.4 Sample:
Our research sample size will consist of 150 questionnaires in which 150 will be taken from
Islamabad region.
5.5 Research Methodology:
49
The research on the performance of “Chattha’s” is conducted by averages, Descriptive, graphs,
and correlation.
5.6 Frame Work:
Product
Price
SALES
Place
Promotion
5.7 Hypothesis:
These are the following hypothesis on which our research will be based:
50
Ho: There is no relationship between product and sales.
H1: There is a relationship between product and sales.
Ho’: There is no relationship between price and sales.
H1’: There is a relationship between price and sales.
Ho’’: There is no relationship between place and sales.
H1’’: There is a relationship between place and sales.
Ho: There is no relationship between promotion and sales.
H1: There is a relationship between promotion and sales
CHAPTER 6:
RESULTS AND INTERPRETATIONS
51
6.1 MARKET RESEARCH:
The primary tools of our research in the market were through questionnaires. We have
approached a sample of 150 respondents for questionnaires.
6.1.1 DEMOGRAPHICS:
Among our respondents, 38% were females and 62% were males. A large part of the respondents
were students which constitutes of 53.67% and 39.33% were employees. The 36.33% fall under
category of others in case of monthly income and major part also included in income were
60,000-80,000. This income group constitutes of 18% of the respondents.
6.1.2 RELIABILITY TEST:
Reliability of measure indicates extent to which it is without bias and hence ensures consistent
measurement across time and across the various items in the instrument. Reliability is a test of
how consistently a measuring instrument measures whatever concept it is measuring. (Uma
Sekaran, 2010)
The purpose of reliability test is to verify that the data which has collected through questionnaire
is valid or not. Usually, if the reliability test shows the value of Alpha 0.6 or above then it means
that the data is good and is 60% valid. In our case, we had distributed 150 questionnaires out of
which 100 were complete and were able to represent the data. Therefore, the Alpha for reliability
test is as follows:
For Product
52
Case Processing Summary
N %
Cases Valid 150 100.0
Exclude
0 .0
d(a)
Total 150 100.0
a Listwise deletion based on all variables in the procedure.
Reliability Statistics
Cronbach's N of
Alpha Items
.743 14
In this product section the reliability is 0.743 means 74.3%. The value of Alpha is above 0.6 then
it means that the data is good.
For Price
N %
53
Exclude
0 .0
d(a)
Total 150 100.0
Cronbach's N of
Alpha Items
.806 7
In this price section the reliability is 0.803 which means it is 80.6%.
For Placement
N %
Exclude 0 .0
54
d(a)
Total 150 100.0
Cronbach's N of
Alpha Items
.651 8
In this placement section the reliability is 0.651 which means data is reliable about 65.1%.
For Promotion
N %
Exclude
1 .7
d(a)
Total 150 100.0
55
Cronbach's N of
Alpha Items
.844 10
In this promotion section the reliability is 0.844 which means data is reliable and valid about
84.4%.
Descriptive Statistics
Minimu Maximu Std.
N m m Mean Deviation
What's Your 150 1.00 2.00 1.3600 .48161
Gender?
Profession 150 1.00 3.00 1.6467 .62538
Monthly income 150 1.00 6.00 4.0333 1.80758
Valid N (listwise) 150
Valid N:
It represents the missing numbers, where as in this table there are no missing numbers.
56
N:
N is the number of valid variables that entered in Spss. In this table the total number of
observations are 150.
Minimum:
The minimum number is one of the variable gender, one for the profession and one for the
monthly income.
Maximum:
Maximum number is that which shows the largest value of the variable. In this the maximum
number for gender is 2, for profession is 3 and for monthly income is 6.
Mean:
Mean is used to measure the central tendency. It was used to see where the data is located i.e. at
extreme or at minimum level. In this the mean of gender is 1.3600, mean for profession is 1.6467
and for monthly income it is 4.0333.
Std.Deviation:
It is the square root of the variance and shows that how much data is spread. The bigger the
standard deviation is the larger the observations are spread. In case of gender it is 0.48161, in
profession it is 0.62538 and in case of monthly income it is 1.80758.
Minimu Maximu Std.
Additional services like 150 1.00 5.00 2.6867 1.21034
Membership card
Parkling Lot 150 1.00 5.00 2.1933 .89515
Baby area 150 1.00 5.00 3.3933 .98918
57
Product Quality like 150 1.00 5.00 2.6867 1.21034
freshness of products
durability 150 1.00 5.00 2.8467 .93217
product variety 150 1.00 5.00 2.6867 1.21034
Facilities like clean & 150 1.00 5.00 3.4200 .87677
spacious atmosphere
Display/decoration 150 1.00 5.00 2.9133 .92640
Music,interior 150 1.00 5.00 2.6867 1.21034
Do you think Chattha's 150 1.00 5.00 3.7000 .84940
is providing more
product variety as
compare to their
competitors?
During what time of the 150 1.00 5.00 3.8533 1.16657
day would you consider
to call a home delivery
service provider?
Delivery_morning
Delivery_after 150 1.00 5.00 2.6867 1.21034
Delivery_even 150 1.00 5.00 2.1333 .87214
Delivery_nyt 150 1.00 5.00 3.0800 1.09004
Valid N:
N:
Minimum:
The minimum number is one for additional services, one for the product quality, one for the
facilities, one for the product variety and one for the home delivery services.
Maximum:
58
number for additional services is 5, 5 is for the product quality, 5 for the facilities, 5 for the
product variety and 5 for the home delivery services.
Mean:
extreme or at minimum level. In this the mean for services like membership card is 2.6867,
parking lot 2.1933, for baby area is 3.3933, freshness of food is 2.6867, for durability it is
2.8467, product variety 2.6867, for clean and spacious atmosphere it is 3.4200, for display
2.9133, for music 2.6867, for product variety 3.7000, for delivery morning 3.8533, for delivery
afternoon 2.6867, for delivery evening 2.1333 and for delivery night it is 3.0800.
Std.Deviation:
standard deviation is the larger the observations are spread. In case of membership card it is
1.21034, parking lot.89515, for baby area it is .98918, freshness of food is 1.21034, for durability
it is .93217, product variety1.21034, for clean and spacious atmosphere it is .87677, for display .
92640, for music 1.21034, for product variety .84940, for delivery morning .1.11657, for
delivery afternoon 1.21034, for delivery evening 0.87214 and for delivery night it is 1.09004.
59
Minimu Maximu Std.
Reliability like 150 1.00 5.00 2.6867 1.21034
Accuracy of bill
Correct information of 150 1.00 5.00 2.5467 .84811
price signs and discount
Value for money like 150 1.00 5.00 2.6867 1.21034
Competitive price
Frequency of 150 1.00 5.00 2.1400 .85945
promotions/discounts
The product prices of 150 1.00 5.00 2.6867 1.21034
“Chattha's Restaurant”
are reasonable
The product prices 150 1.00 5.00 3.6333 .83880
offered by “Chattha's
Restaurant” are cheaper
than other Restaurants.
“Chattha's Restaurant” 150 1.00 5.00 2.6867 1.21034
has the lowest price
restaurant in that area.
Valid N:
N:
Minimum:
Minimum number is that which shows the smallest number. Reliability like bill accuracy is 1,
value for money is also one, product prices are reasonable is also one, for cheaper prices is also
one and for lowest price it is one.
60
Maximum:
number for reliability is 5, value for money is 5, product prices are reasonable is also 5, for
cheaper prices is also 5 and for lowest price it is 5.
Mean:
extreme or at minimum level. In this the mean for accuracy of bill is 2.6867, for correct
information it is 2.5467, for competitive prices it is 2.6857, for discounts it is 2.1400, for
reasonable prices it is 2.6867, for cheaper price it is 3.6333 and for lowest price it is 2.6867.
Std.Deviation:
standard deviation is the larger the observations are spread. In case of accuracy of bill is1.21034,
for correct information it is .84811, for competitive prices it is 1.21034, for discounts it is .
85945, for reasonable prices it is 1.21034, for cheaper price it is .83880 and for lowest price it is
1.21034.
61
Minimu Maximu Std.
How often do you go to 150 1.00 5.00 2.6600 1.24151
restaurant in
Islamabad?
Do you think that the 150 1.00 4.00 1.6933 1.02941
brand and reputation of
Chattha's restaurant is
valuable?
When you think of desi 150 1.00 6.00 2.5000 1.74844
food, which restaurant
first comes to mind? (In
Islamabad).
Customer’s not prefer 150 1.00 5.00 2.6867 1.21034
“Chattha's Restaurant
because of the place
Which of the following 150 1.00 5.00 3.7200 1.34174
restaurants have you
come across in the last
3-6 months? ca_m
ca_ck 150 1.00 5.00 2.6867 1.21034
ca_bt 150 1.00 5.00 3.3667 1.20076
ca_c 150 1.00 5.00 2.6933 1.23672
Valid N:
N:
Minimum:
62
Minimum number is that which shows the smallest number. Minimum number is for all the
variables that are entered for Descriptive.
Maximum:
number is 5 for all the variables.
Mean:
extreme or at minimum level. In this the mean for visit is 2.6600, for reputation it is 1.6933, for
perception it is 2.5000, for place it is 2.6867, for restaurants like Monal is 3.7200, for Chaye
Khana 2.6867,for Bbq Tonight it is 3.3667 and for “Chattha’s” it is 2.6933.
Std.Deviation:
standard deviation is the larger the observations are spread. In case of visit is 1.24151, for
reputation it is 1.02941, for perception it is 1.74844, for place it is 1.21034, for restaurants like
Monal is 1.34174, for Chaye Khana 1.21034, for Bbq Tonight it is 1.20076 and for “Chattha’s” it
is 1.23672.
63
Minimu Maximu Std.
“Chattha's Restaurant” 150 1.00 5.00 2.6867 1.21034
(Islamabad) gives
seasonal promotion
(Eid festivals)
Customers prefer to go 150 1.00 5.00 3.7533 .82687
“Chattha's Restaurant”
because of its
promotion.
"Chattha's Restaurant” 150 1.00 5.00 2.6867 1.21034
have attractive
advertising/promotions.
Where have you seen 150 1.00 5.00 4.2400 1.22983
advertisements for
Chattha's ?
How likely is that you 150 1.00 5.00 2.6667 1.21327
would recommend
Chattha's to a friend or
colleague?
Valid N:
N:
Minimum:
64
Minimum number is that which shows the smallest number. In this all the variables have
minimum number is 1.
Maximum:
number for all the variables are 5.
Mean:
extreme or at minimum level. In this the mean seasonal promotion is 2.6867, for promotion it is
3.7533, for attractive advertising it is 2.6867, advertisement for Chattha’s is 4.42400 and for
recommendation it is 2.6667 .
Std.Deviation:
standard deviation is the larger the observations are spread. In this the standard deviation is for
seasonal promotion is 1.21034, for promotion it is 0.82687, for attractive advertising it is
1.21034, advertisement for Chattha’s is 1.22983 and for recommendation it is 1.210327 .
CrossTabs
Gender
Income
65
Cases
Valid Missing Total
N Percent N Percent N Percent
What's Your Gender? * 150 100.0% 0 .0% 150 100.0%
Monthly income
Profession * Monthly 150 100.0% 0 .0% 150 100.0%
income
Valid:
Valid refers that how many values are non-missing. In the above table there is no missing value
and percent shows that percent of non-missing cases. In the above table N is 150 which shows
non-missing cases and there is 100% which shows that there is no value is missing.
Missing:
This shows that how many cases or values are missing. In the above table N shows that there is 0
cases are missing.
Total:
This shows the total number of missing and non-missing cases in the data set. In the above table
total N is 150 and total percent is 100%.
What's Your Gender? * Monthly income Crosstabulation

Count
Monthly income Total
20,000- 40,000- 60,000- 80,000-
40,000 60,000 80,000 100,000 100,000+ others
What's Your Male 8 13 20 22 9 24 96
Gender? Fe-Male 8 8 6 0 0 32 54
Total 16 21 26 22 9 56 150
66
Row variable: Gender (2 categories: Male, Female)
Column variable: Monthly Income (5 categories: 20,000-40,000, 40,000-60,000, 60,000-

80,000, 80,000-100,000, 100,000+)
In the above table it shows that male with monthly income 100,000+ are 9 in the total data which
is the lowest choosing option among males and the repeated or greater option chosen by males
are with monthly income 80,000-100,000 which are total 22 and the other which is the more
chosen option by the males are others.
In the case of female the lowest income even zero option is chosen i.e. 60,000-80,000 and
maximum option chosen by females were “others”.
Profession
Profession * Monthly income Crosstabulation

Count
Monthly income Total
20,000- 40,000- 60,000- 80,000-
40,000 60,000 80,000 100,000 100,000+ others
Profession Employee 4 16 23 18 1 3 65
Student 12 5 2 4 1 49 73
Other 0 0 1 0 7 4 12
Total 16 21 26 22 9 56 150
Row variable: Profession (2 categories: Employee, Student)
67
Column variable: Monthly Income (5 categories: 20,000-40,000, 40,000-60,000, 60,000-
80,000, 80,000-100,000, 100,000+).
In the above table the average income of employee is between 60,000-80,000. The average
income of student is 20,000-40,000 and for others average income is 100,000+.
Additional Services:
68
First a fall in the above graph we find out averages or mean of product additional services which
includes membership card, parking lot and baby area. The graph shows that males with monthly
income between 20,000-40,000 and 80,000-100,000 were extremely dissatisfied with the
additional services provided by “Chattha’s”. Whereas males with monthly income between
40,000-60,000 and 60,000-80,000 were not satisfied with these additional services and males
with monthly income 100,000+ are somewhat satisfied and others were neutral about these
services.
Now in case of females monthly income between 20,000 till 80,000 were not satisfied and in
case of others they were extremely dissatisfied. So overall result by combining male and females
they were not satisfied with these additional services.
69
In the end we conclude that females are more satisfied than male because of the baby area they
provided. As females prefer cleanliness because of their children hygiene.
Product Quality:
First a fall in the above graph we find out averages or mean of product quality which includes
freshness of products, durability and product variety. The graph shows that male with monthly
income 20,000-40,000 were satisfied with the product quality dimensions, male with monthly
income 40,000-60,000 and 60,000-80,000 were neutral and male with monthly income 80,000-
100,000 were not satisfied or extremely dissatisfied with their product quality. Now in case of
females with monthly income more than 100,000+ were satisfied with the quality however with
low monthly income females were not satisfied with their quality.
70
Now in our point of view from the whole analysis we conclude that medium income holders both
male and female were not satisfied with their product quality. Probably they were not satisfied
with their product because they were not offering more variety in their product line as compared
to their competitors like Bbq Tonight and Chaye Khana is providing.
Product Facilities:
In the above graph we find our mean about the dimensions of product facilities. The graph shows
that males with monthly income 40,000-60,000 were not satisfied with their facilities like clean
and spacious environment because their location is not famous so far. Male with monthly income
60,000-80,000 were not satisfied with their facilities however in case of females with monthly
income more than 100,000 were satisfied because of the cleanliness. As we know that women
more prefer that type of place where their children are safe and happy and enjoy in a clean
environment. So that’s why females were satisfied with their facilities.
Do you think “Chattha’s” is providing more product variety as compare to their

competitors?
71
Do you think “Chattha’s” is providing more product variety as compare to their competitors
5 1
6% 1%
4
17%
2
46%
3
30%
From the findings it has been evident that a large chunk of respondents i.e. 49.67% were disagree
about the product variety they provided. 28.33% were neutral about this, 12% were strongly
disagree, where as 7.67% respondents agree & 2.33% were strongly agree.
We concluded that “Chattha’s” is not providing more product variety as their competitors are
offering like in case of desserts “Chattha’s” offering only 2 different type of desi desserts variety
whereas their competitors are providing more than 10 different kinds of desi desserts.
During what time of the day would you consider to call a home delivery service provider?
Crosstabs
72
Cases
Valid Missing Total
During what time of the
day would you consider
to call a home delivery
service provider?
Delivery_morning
Delivery_after
Delivery_even
Delivery_nyt
Valid:
Missing:
cases are missing.
Total:
73
What's Your Gender? * During what time of the day would you consider to call a home delivery service
provider? Delivery_morning Crosstabulation
Count
During what time of the day would you consider to call a home delivery
service provider? Delivery_morning Total
Highly Somewhat Highly
Likely Likely Uncertain Unlikely Unlikely
What's Your Male 3 6 28 21 38 96
Gender? Fe-Male 3 5 17 4 25 54
Total 6 11 45 25 63 150
Column variable: Monthly Income (5 categories: highly likely, somewhat likely, uncertain,
unlikely and highly unlikely)
In the above table 45 males said that delivery in morning is highly unlikely and 3 males from
total of 96 said that they are highly likely to call a home delivery provider in morning.
In case of females 25 out of 54 were highly unlikely to call a home delivery provider in morning
whereas 3 females out of 54 were highly likely to call home delivery provider in morning.
What's Your Gender? * Delivery_after Crosstabulation

Count
Delivery_after Total
What's Your Male 17 26 22 23 8 96
Gender? Fe-Male 12 17 12 11 2 54
Total 29 43 34 34 10 150
74
unlikely and highly unlikely)
From the above table it was clear that 26 males out of 96 were uncertain as well as somewhat
likely to call a home delivery service in afternoon whereas 8 males were highly unlikely to call
in afternoon. Now in case of females 17 out of 54 were somewhat likely to call a home delivery
provider at afternoon and 11 females’ response highly unlikely to call.
What's Your Gender? * Delivery_even Crosstabulation

Count
Delivery_even Total
Gender? Fe-Male 15 27 10 1 2 54
Total 36 68 37 5 4 150
unlikely and highly unlikely).
The above table shows that 41 males out of 96 were somewhat likely to prefer home delivery
provider at evening while 2 males highly unlikely to call it in evening. Now for females 27 out
54 would somewhat likely to credit home delivery service provider at evening while 2 were
highly unlikely to call delivery service at evening. Now if we combine male and female options
then in that case 68 out of 150 were somewhat likely to call home delivery service provider at
evening.
75
What's Your Gender? * Delivery_nyt Crosstabulation
Count
Delivery_nyt Total
What's Your Male 7 16 43 16 14 96
Gender? Fe-Male 6 8 28 6 6 54
Total 13 24 71 22 20 150
unlikely and highly unlikely).
The table which we have mentioned above depicts that 43 out 96 males were uncertain about the
home delivery service at night while 7 were highly likely to prefer delivery provider at night.
Similarly 28 females out of 54 were uncertain for the home delivery service while 6 were highly
likely to provide it at night.
Price
Dimensions: accuracy of bill & correct information of signs and discounts.
76
We did averages first a fall for the dimensions of accuracy of bill and correct information of
price, signs and discounts.
In the above graph it shows that male with monthly income 40,000-60,000, 60,000-80,000 and
above are satisfied with the accuracy of bill and correct information they were provided. But in
case of females they also satisfied with these dimensions.
So we conclude that both males and females were satisfied with these dimensions that they were
providing the correct information in the bills.
Price
Dimensions: competitive prices & frequency of promotion/distribution
77
In this first we did was that we find out the averages or mean of two dimensions i.e. competitive
price and frequency of promotion and discounts.
So by looking at the graph it was evident that male with monthly income starting from 40,000 till
above 100,000 were neutral when we asked about these two dimensions. Where as in case of
females 20,000 till above 100,000 were neutral as well as not satisfied on the other hand females
who chosen the others option were satisfied.
So we conclude that both males and females were neutral and some were not satisfied because it
shows that “Chattha’s” is not providing competitive prices as they are only targeting the elite
class.
The product prices of “Chattha’s” are reasonable
78
T h e p ro d u ct p rices o f “ Ch at t h a’s” are reaso n ab le
Extremely Dissatisfied Not Satisfied Neutral

Satisfied Extremely Satisfied
6% 1%
17%
31%
45%
From our findings it was clear that 44.67% respondents were neutral when we asked about the
product prices of “Chattha’s”, 31.33% respondents were satisfied with the product prices offered
by “Chattha’s”, 17% respondents were not satisfied, 6% respondents were extremely satisfied
and 1% responds were extremely dissatisfied from their product prices.
So we conclude that most of the respondents were neutral and satisfied with the reasonability of
the price in “Chattha’s”.
The product prices offered by “Chattha’s” are cheaper than other Restaurants.
79
T h e p ro d u ct p rices o f f ered b y “ C h at t h a’s” are ch eap er t h an o t h er Rest au ran t s.
Strongly Agree Agree Neutral Disagree Strongly Disagree
1%
6%
17%
30%
46%
According to the graph it was clear that 46% respondents were agree, 29.67% were neutral, 17%
respondents were strongly agree, 6% were disagree whereas 1.33% were strongly disagree with
this question.
So we conclude that the larger chunk of respondents were agree with the statement that the
product prices offered by “Chattha’s” are cheaper than others.
“Chattha’s” has the lowest price restaurant in that area.
80
“ Ch at t h a’s” h as t h e lo w est p rice rest au ran t in t h at area
4% 2%
20%
39%
35%
From our findings it was clear that 39.33% respondents were strongly agree that “Chattha’s” has
the lowest price restaurant in that area. 35.33% respondents were agree, 19.67% respondents
were neutral, and 4% respondents were disagree whereas 1.67% respondents were strongly
disagree.
So we conclude that there are more respondents who agree with the statement. “Chattha’s” do
provide lowest prices as their prices are very low and their target market is the upper and middle
class. They have a competitive edge of their prices as their competitors like Chaye Khana and
Monal have high prices.
81
How often do you go to restaurant in Islamabad?

How often do you go to restaurant in Islamabad?
Almost Daily 1-2 times/week 3-4 times/week
monthly occasionally
2%
12%
2%
47%
36%
According to graph 44.67% go to restaurant occasionally, 34.33% respondents were go to

restaurant in Islamabad monthly, 11% go to restaurant about 1-2 times/week, 7.67% go to 3-4
times/week and 2.33% go to restaurant almost daily.
Do you think that the brand and reputation of Chattha’s restaurant is valuable?
82
Do you think that the brand and reputation of Chattha’s
restaurant is valuable?
yes no neutral I have never visited
8%
16%
18%
58%
From the graph it was clear that 58% respondents say no when we asked about the brand and
reputation of “Chattha’s”.17.67% respondents were neutral, 16.33% respondents said yes and
8% respondents were said that they have never visited.
Customers not prefer “Chattha’s” because of the place
83
Cu st o m ers n o t p ref er “ Ch at t h a’s” b ecau se o f t h e p lace
7%
15%
33%
25%
20%
According to the graph 25.33% respondents were neutral and said that place is not good . 33%
respondents strongly disagree that customers not prefer “Chattha’s” restaurant because of the
place. 19.67% respondents were disagree with the statement. 14.67% respondents were agree
whereas 7.33% were strongly agree.
Which of the following restaurants have you come across in the last 3-6 months?
84
Cases
Valid Missing Total
Which of the following
restaurants have you
come across in the last
3-6 months? ca_m
ca_ck
ca_bt
ca_c
Valid:
Missing:
cases are missing.
Total:
85
What's Your Gender? * Which of the following restaurants have you come across in the last 3-6 months?
ca_m Crosstabulation
Count
Which of the following restaurants have you come across in the last 3-6
months? ca_m Total
Have not within 2 6 months or
heard of it months 3-4 months 5-6 months more
Gender? Fe-Male 2 18 6 12 16 54
Total 8 29 26 21 66 150
Column variable: come across in last 3-6 months (5 categories: Have not heard of it, within 2
months, 3-4 months, 5-6 months and 6 months or more)
The above table depicts that 50 males out of 96 would like to visit Monal 6 months or more.
Furthermore, 16 females out of 54 visit Monal within or after 6 months. So we analyze that
Males and females both visit Monal after or within 6 months which shows that they are less
inclined toward that restaurant.
What's Your Gender? * ca_ck Crosstabulation

Count
ca_ck Total
What's Your Male 17 26 22 23 8 96
Gender? Fe-Male 12 17 12 11 2 54
Total 29 43 34 34 10 150
86
The above table displays that 26 males out of 96 would like to go to Chaye Khana within 2
months and similarly same amount of males visited that restaurant after 3-4 months. In case of
females, 17 out of 54 would like to visit Chaye Khana within 2 months. So we conclude that
people prefer Chaye Khana more as compare to Monal. They provide more facilities as well as
friendly environment.
What's Your Gender? * ca_bt Crosstabulation

Count
ca_bt Total
What's Your Male 5 20 31 18 22 96
Gender? Fe-Male 4 8 16 13 13 54
Total 9 28 47 31 35 150
The above figures depicts that 31 out of 96 males would like to prefer Bbq Tonight after 3-4
months. Similarly, 16 out of 54 females would like to visit Bbq Tonight after 3-4 months. The
reason we examine is that Bbq Tonight has a strong brand name as compare to other restaurant.
87
What's Your Gender? * ca_c Crosstabulation
Count
ca_c Total
What's Your Male 18 26 20 23 9 96
Gender? Fe-Male 11 19 11 10 3 54
Total 29 45 31 33 12 150
The above table shows that 26 out of 96 males would prefer to visit “Chattha’s” within 2 months.
Likewise 19 females out of 54 would like to visit “Chattha’s” within 2 months. So we analyze
that due to good quality of “Chattha’s” products, people would prefer to go there but more
people would like to go Chaye Khana due to their image.
“Chattha’s” gives seasonal promotion (Eid festivals)
88
“Chattha’s” gives seasonal promotion (Eid festivals)
Strongly Agree Agree Neutral Disagree

Strongly Disagree
1% 7%
10%
36%
46%
The above diagram shows that 46% respondents were disagree with the seasonal promotion of
“Chattha’s” while 35.67% respondents were neutral. On the other side, 10.00% were strongly
disagree with the statement while 7.33% were agree and only 1% were strongly agree.
So we conclude that “Chattha’s” is not focusing on seasonal promotion. Due to this reason their
sales are lower than their competitors but if they would try to focus on seasonal promotion then it
is easy for them to raise their sales in upcoming years.
Customers prefer to go “Chattha’s” because of its promotion.
89
Customers prefer to go “Chattha’s” because of its promotion.
Strongly Agree Agree Neutral
Disagree Strongly Disagree
1% 3%
17%
36%
43%
The above diagram shows that 43.33% were disagree with the statement that they would like to
prefer “Chattha’s” because of its promotion while 36% were neutral. On the other hand, 16.67%
respondents were strongly disagree with their promotion while 2.67% were agree with the
statement and 1.33% people were strongly agree.
So we analyzed that most of the respondents are not in the favor of the statement because
“Chattha’s” is not doing any promotional activity. Due to this people are not aware of their
restaurant.
“Chattha’s” have attractive advertising/promotions.
90
“ Ch at t h a’s” h ave at t ract ive ad vert isin g /p ro m o tio n s.
1% 5%
26%
34%
34%
The above chart depicts that 34.33% respondents were disagree with the statement that
“Chattha’s” have attractive advertising/promotion while 34.33% were neutral. On the other hand,
26% respondents were disagree while 4.67% were only agree and 0.67% were strongly agree
with the statement.
So we analyze that “Chattha’s” don’t have an attractive advertisement due to which less people
are inclined toward them. “Chattha’s” need to focus on attractive advertisement in order to
attract wider range of audience.
Where have you seen advertisements for des-Pardes?
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Where have you seen advertisements for des-Pardes?
Billboard online Tv/Radio
Magazine/Brochure I have never heard of it
3%
19%
8%
2%
67%
The above chart shows that 67% of the respondents didn’t see any advertisement of “Chattha’s”.
On the other hand, 19% watched their advertisement online, 8.33% saw on T.V, 3.33% looked it
in billboards while 2.33% saw it on magazines.
We examined that “Chattha’s” is not using any promotional tools due to which people didn’t
aware of it. People are more aware of social media marketing so they need to develop page on
Facebook, Twitter and Instagram. Through this they can make people aware of them.
How likely is that you would recommend “Chattha’s” to a friend or colleague?
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How likely is that you would recommend “Chattha’s” to a friend or
colleague?
not at all likely neutral extremely likely
13%
24%
63%
According to the graph 63% respondents not recommended “Chattha’s” to their friends,
colleague etc. 23.67% respondents were neutral and 13.33% respondents were not at all likely to
recommend “Chattha’s” to friends etc.
So we conclude that “Chattha’s” is up to the mark. But they are not providing any packages and
discounts even not using any promotional tools.
How would you prefer to see these new dishes in our menu?
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How would you prefer to see these new dishes in our menu?
Highly Preferred Somewhat Preferred Neutral
Not preferred Strongly not preferred
8%
17%
7%
20%
48%
According to the graph 47.67% respondents were somewhat preferred when we asked about the
local cuisine i.e. Karailay in their menu. 20% were neutral, 17.33% were highly preferred, 8%
were strongly not preferred and 7% were not preferred this local cuisine in their menu.
So we conclude and recommend that they have to add this dish in their menu because a large
chunk of respondents preferred this Karailay dish in their menu.
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Highly Preferred Somewhat Preferred Neutral
Not preferred Strongly not preferred
5%
5%
34%
17%
39%
According to the graph 39% respondents were somewhat preferred this new dish in their menu.
34.33% were highly preferred palak gosht in their menu. 16.67% respondents were neutral 5%
respondents were not preferred and same in case of other 5% respondents who strongly not
preferred.
So in the end we conclude that if they add this new dish in their menu the revenues are increases.
95
In the above graph it was clear that 35% respondents were somewhat preferred this new dish in
their menu. 28.69% respondents were neutral, 19% were highly preferred, 10.33% were not
preferred and 7% were strongly not preferred.
96
According
to the graph 33% respondents were somewhat preferred Bhindi in their menu, 31.67% were
highly preferred, 22% respondents were neutral, and 7.67% were not preferred whereas 5.67%
were strongly not preferred.
97
According to the graph 31.67% respondents were neutral to see Mix Vegetables dish in their
menu, 24.67% respondents were highly preferred, 21.33% were somewhat preferred, 12.33%
respondents were not preferred this new dish and 10% respondents were strongly not preferred.
So according to us and after analysis we recommend that they should adopt these new local
cuisine in their menu in order to satisfy the needs of customers and to increase the revenues.
CORREALATION
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Product & Price
Correlations
Prod Price
Prod Pearson Correlation 1 .471**
Sig. (2-tailed) .000
N 150 150
**
Price Pearson Correlation .471 1
N 150 150
**. Correlation is significant at the 0.01 level (2-tailed).
Pearson Correlation:
This measures the strength that is how much the two variables are linked with each other and
also see the direction of linear relationship of variables. It ranges from positive 1 to negative 1.
Positive 1 indicates strong relationship and negative 1 indicates weak relationship.
N:
It describes the number of cases used in a correlation.
The Pearson’s for the correlation in this case is .471. This indicates that product and price have
no strong relationship. There is a weak relationship between the two variables. This means one
variable increases the other is also increases but not dramatically because there is a weak
relationship between these two variables.
Product & Placement
99
Correlations
Prod Placement
Prod Pearson Correlation 1 .028
N 150 150
Placement Pearson Correlation .028 1
N 150 150
N:
It describes the number of cases used in a correlation
The above table there is a strong relationship occurs between the two variables.
100
Product & Promotion
Correlations
Prod Placement
Prod Pearson Correlation 1 .028
N 150 150
Placement Pearson Correlation .028 1
N 150 150
N:
In the above table there is a weak relationship between the two variables. If one increases the
other variable remain the same. So there is an indirect relationship between the variable.
Price & Placement

101
Correlations
Price Placement
Price Pearson Correlation 1 .246**
N 150 150
Placement Pearson Correlation .246** 1
N 150 150
**. Correlation is significant at the 0.01 level (2-tailed).
N:
According to the table there is 0.246 correlation exist between the two variables. It is less than 1
and shows a weak relationship between price and placement.
Price & Promotion
102
Correlations
Price Prom
Price Pearson Correlation 1 .128
N 150 150
Prom Pearson Correlation .128 1
N 150 150
N:
In the above table there is a correlation of 0.128 between price and promotion which shows a
weak relationship.
REGRESSION
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Model Summary
Adjusted R Std. Error of the

Model R R Square Square Estimate
1 .590a .349 .244 61078.05639
a. Predictors: (Constant), Prom, Prod, Placement, Price
Model - SPSS allows us to specify multiple models in a single regression command. This tells

us about the number of the model being reported. In this it is 1.
R - R is the square root of R-Squared and is the correlation between the observed and predicted
values of dependent variable. In this R is 0.590
R-Square - This is the proportion of variance in the dependent variable (sales) which can be
explained by the independent variables (prom, prod, placement, and price). This is an overall
measure of the strength of association and does not reflect the extent to which any particular
independent variable is associated with the dependent variable.
Adjusted R-square - This is an adjustment of the R-squared that penalizes the addition of
extraneous predictors to the model. Adjusted R-squared is computed using the formula 1 - ((1 -
Rsq) ((N - 1) / (N - k - 1)) where k is the number of predictors. In this the value is 0.244.
Std. Error of the Estimate - This is also referred to as the root mean squared error. It is the
standard deviation of the error term and the square root of the Mean Square for the Residuals.
ANOVA
Model Sum of Squares df Mean Square F Sig.
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49900142347.7 12475035586.9
Regression 4 3.344 .025b
85 46
93263224318.8 3730528972.75
1 Residual 25
82 5
143163366666.
Total 29
667
a. Dependent Variable: Sales

b. Predictors: (Constant), Prom, Prod, Placement, Price
Model - SPSS allows you to specify multiple models in a single regression command. This tells
us the number of the model being reported.
Regression, Residual, Total - Looking at the breakdown of variance in the outcome variable,
these are the categories we will examine: Regression, Residual, and Total. The Total variance is
partitioned into the variance which can be explained by the independent variables (Model) and
the variance which is not explained by the independent variables (Error).
Sum of Squares - These are the Sum of Squares associated with the three sources of variance,
Total, Model and Residual. The Total variance is partitioned into the variance which can be
explained by the independent variables (Regression) and the variance which is not explained by
the independent variables (Residual).
DF - These are the degrees of freedom associated with the sources of variance. The total
variance has N-1 degrees of freedom. The Regression degrees of freedom corresponds to the
number of coefficients estimated minus 1. Including the intercept, there are 5 coefficients, so the
model has 5-1=4 degrees of freedom. The Error degrees of freedom is the DF total minus the DF
model, 29 - 4 = 25.
Mean Square - These are the Mean Squares, the Sum of Squares divided by their respective
DF. F and Sig. - This is the F-statistic the p-value associated with it. The F-statistic is the Mean
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Square (Regression) divided by the Mean Square (Residual): 12475035586.946/
3730528972.755 =3.344. The p-value is compared to some alpha level in testing the null
hypothesis that all of the model coefficients are 0.
Coefficients
Model Unstandardized Coefficients Standardized t Sig.

Coefficients
B Std. Error Beta
(Constant) 554161.042 102489.604 5.407 .000
Prod 124346.944 36636.782 .676 3.394 .002
1 Price -72837.622 26914.637 -.663 -2.706 .012
Placement 16276.222 20335.307 .150 .800 .431

Prom 13755.268 19923.633 .133 .690 .496
a. Dependent Variable: Sales
Model - SPSS allows us to specify multiple models in a single regression command. This tells

us the number of the model being reported.
This column shows the predictor variables (constant, prod, price, placement and prom). The
first variable (constant) represents the constant, also referred to in textbooks as the Y intercept,
the height of the regression line when it crosses the Y axis. In other words, this is the predicted
value of sales when all other variables are 0.
B - These are the values for the regression equation for predicting the dependent variable from
the independent variable. The regression equation is presented in many different ways, for
example:
Y predicted = b0 + b1*x1 + b2*x2 + b3*x3 + b4*x4
The column of estimates provides the values for b0, b1, b2, b3 and b4 for this equation.
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Prod - The coefficient for prod is 124346.944. So for every unit increase in prod, a
124346.944 unit increase in sales is predicted, holding all other variables constant.
Price - For every unit increase in price, we expect a -72837.622 unit decrease in the sales,
holding all other variables constant.
Placement - The coefficient for place is 16276.222. So for every unit increase in place, we
expect an approximately 16276.222 point increase in the sales, holding all other variables
constant.
Promotion - The coefficient for prom is 19923.633. So for every unit increase in prom, we
expect a 19923.633 point increase in the sales.
Std. Error - These are the standard errors associated with the coefficients.
Beta - These are the standardized coefficients. These are the coefficients that we would obtain if
we standardized all of the variables in the regression, including the dependent and all of the
independent variables, and ran the regression. By standardizing the variables before running the
regression, we have put all of the variables on the same scale, and we can compare the
magnitude of the coefficients to see which one has more of an effect. We will also notice that
the larger betas are associated with the larger t-values and lower p-values.
t and Sig. - These are the t-statistics and their associated 2-tailed p-values used in testing whether
a given coefficient is significantly different from zero.
Chapter#7
Strategies & Implementation
107
7.1 Marketing mix
product
Price
SALES
Place
Promotion
Product:
108
Product Sales
Product can be any good or service that can place in the market in order to satisfy the need of the
consumer. Now-a-days demand for high quality product/services is very common. Consumers
try to buy products which satisfy their desires and needs. There are many firms in the food
industry who are focusing on product-based strategies rather than consumer-based because they
know that through this more market can be captured. As if the food industry firms can make the
products that are satisfying the needs of the consumer then more consumers are willing to buy
that product.
Through our primary research, we determine that “Chattha’s” is although providing quality food
items but they have less product variety due to which less customers visit to their restaurant.
They need to offer new products that are unique and not provided by any of their strong
competitors like Monal Restaurant, Bbq Tonight and Chaye Khana. They also need to focus on
the services which are pushing them behind from their competitors. Through our research we
conclude that they are providing services like clean atmosphere to their potential customers but
they are lacking in providing some major services like waiting area, music and decoration for
parties. These are necessary services for customers because they are very much conscious about
their personal convenience and they also need some friendly atmosphere including some music
system in order to relax. So “Chattha’s” need to focus on these product and services. They can
easily compete in the market by providing their customers these unique sorts of products and
services.
Price:
109
Price Sales
Chattha’s decided to go with price penetration strategy by offering low prices as compared to
their competitors like Monal, Chaaye Khana and Bbq Tonight. Price mainly affects the consumer
buying behavior. Sometimes consumers are willing to buy product no matter how much he/she
has to pay against that product just because of the quality he/she is getting against that specific
product. But there are four other reasons that push consumer to buy that product although he/she
is getting that product in relatively low price as well so the reasons are as follows:
 Prestige:
Due to prestige consumer is willing to go to that restaurant which have some brand reputation.
 Perceived quality:
Sometimes a consumer is buying quality not product so this is very important factor. Consumer
is going to the restaurant because of their product quality
 Physical reason:
There are some physical aspects which allow customer to purchase a product no matter what cost
it contains.
 Psychological factor:
It include consumer past experience with the product. If consumer went to the restaurant before
then he/she will go again.
110
percieved physical
quality appearence
pschological
prestige
consumer attraction
buying
behaviour
Through our primary research we analyze that prices of “Chattha’s” are reasonable due to which
consumers are visiting the restaurant repeatedly. They are offering low prices as compare to their
competitors , like Monal, Bbq Tonight who are providing good quality food in high prices.
Researchers also identified that “Chattha’s” reasonable prices has given a rise to their sales
pattern. Most of the respondents would like to prefer “Chattha’s” because of their low prices and
high quality. So Chattha’s also need to follow that strategy.
Place:
Place Sales
111
In order to compete in market, placement is very important factor. Consumers are more attracted
by the services which are placed in famous areas. We gathered some information about the
placement of “Chattha’s” from our potential respondents. They told us that “Chattha’s” has good
brand reputation but due to their location at Tariq Market,F-10/2,Islamabad, consumers are not
much aware of the place . So we recommend “Chattha’s” that they need to focus on their
marketing strategies, so that people get to know about Tariq Market in sector F-10/2, Islamabad,
they can also give a map in their advertisements as well as in their website in a way that can
attract customers easily.
Promotion:
Promotion Sales
112
When a firm launches any service, they firstly need to promote that service in a way that captures
more readers’ eye. So for that purpose they use some tools like television Ads, social media Ads,
radio Ads, magazine and newspaper Ads. Through these tools the firm promotes its product to
maximum people. Through this research it is analyzed by taking the respondents’ views that
“Chattha’s” is not using any kind of promotion tools and they are not focusing on promotion
activities that is why many people are not aware of it. There is no website for “Chattha’s” so
people are not aware of this outlet. As compare to their competitors they are also not doing
seasonal promotional activities.
It is recommended that “Chattha’s” organize promotion activities in order to capture more

market. Now-a-days people are more inclined toward social media marketing so they need to do
marketing through this medium. They can also give ads in magazines in a way that attracts more
reader’s eye. They also need to offer different vegetable dishes as well as they must cater
diabetic patients like cooking for them in water rather than oil. So these offerings will
differentiate them more from their competitors.
People:
People are the assets of the firm. In organizations people are considered as employees. Through
our research we identified that the staff behavior of “Chattha’s” is not up to the mark. The
manager needs to train their staff in a way that they can be able to handle customers or as they
say “Kings” in a good way. Their employees were not much motivated and also were not
confident enough to perform a duty assigned to them. For this purpose, they need to give training
program to their employees. Through training sessions employees will be able to perform their
duty in an appropriate manner. If employees will be motivated and efficient then they will be
able to treat customers exclusively otherwise not.
7.2 STP strategy
Segmentation:
“Chattha’s” need to segment their market on the basis of following variables:
 Demographics:
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This category includes age, gender, ethnicity, household income etc.
 Psychographics:
This links to customer choices, their preferences, and also the behavior of the customers.
 Geographic:
This refers to the region, area, location and even climate as well.
So “Chattha’s” should focus on these variables in case of segmentations. These three segments
helps the firm to identify their desire customers.
Targeting:
We analyze from our research that “Chattha’s” is targeting upper and middle class. In order to
compete in the market and increase their market share, they need to target the lower middle class.
After segmentation, they can easily analyze their target market.
Positioning:
identify or analyze the explain the communicate and

understand target market competitive deliver the chosen
market competiton advantage position
This is the last step of STP process. It refers to how customers perceived the product.
“Chattha’s” does not follow any positioning strategy that why consumers perceptions about them
is not so viable. In order to follow reliable positioning strategy, they need to firstly identify or
understand their desire target market then focus on the market competition. “Chattha’s” must
need to be aware of their competitors’ strategy in order to be successful. When they will
thoroughly analyze their competitors then it would easy for them to define their competitive
advantage. Then after that they need to communicate and deliver their chosen position.
114
115
7.3 Sales strategies
7.3.1 Student packages:
It is understood from our primary research that more people would like to visit “Chattha’s” on
daily basis. Out of 200, there are more than 90 plus students who would like to go to Chaye
Khana just because of their reasonable student packages. These sorts of packages also increase
the sales of the restaurant in superior way.
“Chattha’s” need to introduce new packages especially for students in order to increase their
sales. We suggest three packages which are as follows:
Deal 1
Deal 2
( served one person). RS 240
( served 2 persons only). RS 640
 1 plate special biryani
 Full Seekh Kabab Karahi
 1 piece chicken tikka
 1 plate Shashlik (4 pieces per
(served with Raita, salad and plate)
Cold Drink)  2 special naan
( served with raita, salad and
ColdDrink)
Deal 3
(served 3-4 persons only) RS. 900
 Full Chicken Karahi

 1 plate biryani
 3 naan
 1.5 litre coke
 (served with raita and
salad)
7.3.2 New arrival:

116
Through our primary research, we identified that there are many respondents who would like to
offer homemade dishes in restaurants. We suggest these dishes:
 Karailay
 Palak gosht
 Saagh
 Bhindi
 Mix vegetables
Most of the people prefer Karailay, Mix vegetables and Saagh as they want “Chattha’s” to
introduce these new dishes in their menu. So through their preferences we suggest vegetarian
platter in their menu which include following details:
Platter
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(Served 4 persons only) Rs. 590
 1 plate Bhindi
 1 plate Karailay
This new arrival will help the restaurant to increase their sales. “Chattha’s” need to do pilot
testing first and if they are able to create more demand through this then they should implement
this new arrival.
7.3.3. Delivery services:
After introducing these packages, “Chattha’s” need to provide students delivery services as well
and it must be free of cost. As all the major restaurants are providing delivery services so they
also need to cater that demand of consumers. The main purpose for delivery is that like students
are not able to visit restaurants due to some restrictions so providing them food on their school,
colleges or universities would be more comfortable for them. So, this will also help “Chattha’s”
to compete in the market.
7.3.4. Kiosk
Moreover, Chattha’s shall also set up kiosks in different universities and colleges. As per
research, students are quite interested in traditional Pakistani food rather than the fast food. This
will help “Chattha’s” in their promotion activities. By such activity, students shall be able to
enjoy traditional Pakistani food in their respective campuses and they will get a break from their
cafeteria food as well. Setting up kiosk will be really beneficial for students which are hostelite
as they do not find traditional food usually available and tasty in the cafeteria, “Chattha’s” is
now in the market to fill this gap.
7.4 Sales promotion
118
7.4.1. Tag lines:
 Farm to Table
 Authentic Pakistani Street Food
 Your preferences is our concern
 Essence of culture.
7.4.2 Brochure and website designs:
“Chattha’s” need to design attractive brochure in order to engage more people toward them.
Currently, they do not have any brochure that is why people are not aware of it. We suggest a
very eye-catching brochure design to them. The first page of brochure will carry basic
information about “Chattha’s” i.e. logo, location, website and contact number must be placed.
Second page must carry their list of services, their specialty, and at the end there must be an
attractive tag line. Third page will consist of some of their food item pictures So, these are the
ways to attract wider range of audience.
For website designing, “Chattha’s” need to follow these attributes in their website:
 About the restaurant and location of the restaurant must be mentioned.

 Who they are
 Menu
 What they do
 Gallery
 Also launch apps option on their website because everyone now-a-days carry cell phone
device in hand.
 Payment through cards option must be there in case of home delivery.
 Customer feedback must be there and also the availability of complaints submission
option.
 Map of the location where restaurant is situated.
 Contact information
7.4.3. Word of mouth:
119
Word of mouth is basically transferred of information by one person to another through verbal
communication. These words must be simple enough as anyone can easily understand it.
Through our primary research, we evaluate that “Chattha’s” is not using any promotion tools like
magzines, billboards and social media marketing. In this 20 th century, firms are more inclined
toward social media marketing because they know that people are using Facebook, Twitter,
Whatsapp, Instagram all the time. “Chattha’s” also need to emphasis on social media marketing.
They can create awareness of their products through this. Researchers will create a website of
“Chattha’s” and manage social media marketing on Facebook and Instagram, in order to create
awareness among people about this restaurant. Researchers also procured some feedbacks about
“Chattha’s Restaurant” in order to check their ratings as compared to their competitors.
7.5. OPERATIONS
Human resource policy is designed in order to manage employees in the organization. This
includes hiring, training, assessing as well as providing rewards. The behavior of staff at
“Chattha’s” restaurant is not up to the mark. This may include several reasons:
 There is no appropriate appraisal system

 Lack of incentives
 There is no proper training program.
 Lack of experience and knowledge about new technology
These factors affect the performance of the employees. “Chattha’s” need to adopt following
methods in order to improve the performance of the employees.
7.5.1. Training program:
120
An effective training program can be designed only if the goals of that training session are
cleared. Training programs help the employees of the firm to enhance their skill, knowledge and
abilities. “Chattha’s” should also focus on training programs for fresh graduates and for those
who do not have past experience of work in any restaurant. “Chattha’s” need to adopt following
steps in their training program:
1st phase 2nd phase 3rd phase

Firstly the trainer need to In the second phase, In 3rd phase of training,
analyze the deficiencies trainer must ask from trainer accurately analyze
and also identified the trainees about their the motivational level of
weak areas of the staff. motivation level. staff. Then ensure the top
Then through some good Chattha's staff lacks managements in 5
practical tasks, encourage motivation because there minutes meeting that
the staff and also boost is no proper appraisal there is a need to
their performance system for them. Due to improve their motivation
throughout the task. the this reason, they are by providing them
trainer also need to unable to put efficiency incentives and
explain the advantages in their performance. For allowances as well as
and disadvantages of the this purpose, trainer must some sort of daily
training session. provide trainees a paper entertainment. Due to
with some questions this, staff will be able to
related to motivational perform efficiently and
level and tell them to effectively.
solve it honestly.
7.5.2. Rewards system:
Reward system plays a major role in employee motivation. “Chattha’s” did not follow any
reward system due to which their employees lack enthusiasm. They need to adopt performance
appraisal system. If the employee performance is outstanding then they must provide him reward
in the form of incentives, promotion, allowances etc. This will increase the employee efficiency
and also enhance Knowledge, Skills and Abilities.
CHAPTER 8
121
RECOMMENDED LAYOUT
8.1. LAYOUT DESIGN (New)
LAYOUT DESIGN (Old)
122
123
124
Sales Forecasting for the year 2017
Jan Feb Mar Apr

(Rs.) (Rs) (Rs) (Rs)
Sales 12,00,000 1,380,000 950,000 1,587,000
Expenses
Labor Wages (30 employees) 350,000 350,000 350,000
350,000
Operating Cost 550,000 594,000 500,000 641,520
Total Cost (900,000) (944,000) (850,000) (991,520)
Income Earned 300,000 436,000 100,000 595,480
125
May June July Aug Sep
(Rs) (Rs) (Rs) (Rs) (Rs)
Sales 1,825,050 2,098,800 2,413,620 2,775,663 3,191,960
Expenses
Labor and 350,000 350,000 350,000 350,000 350,000
wages
Operating 692,842 748,270 808,130 872,780 942,600
expense
Total (1,042,842) (1,098,270) (1,158,130) (1,222,780) (1,292,600)
expenses
Net income 782,208 1,000,530 1,255,490 1,552,883 1,899,360
Sales Forecasting for the year 2018
126
Jan Feb March April May June
Sales 3,670,754 4,221,367 4,854,572 5,582,757 6,420,170 7,383,195
Labor and 350,000 350,000 350,000 350,000 350,000 350,000

wages
Operating 1,696,680 1,832,414 1,979,007 2,137,327 2,308,313 2,492,978
expenses
Total (2,046,680) (2,182,414) (2,329,007) (2,487,327) (2,658,313) (2,842,978)
expenses
Net 1,939,074 2,038,953 2,525,565 3,095,430 3,761,856 4,540,217
income
July Aug Sep Oct Nov Dec

Sales 8,490,674 9,764,275 11,228,916 12,913,253 14,850,240 17,077,776
Labor and 350,000 350,000 350,000 350,000 350,000 350,000
wages
Operating 2,692,416 2,907,809 3,140,433 3,391,667 3,663,000 3,956,040
expenses
127
Total (3,042,416) (3,257,809) (3,490,433) (3,741,667) (4,013,000) (4,306,040)
Expenses
Net 5,448,258 6,505,266 7,738,483 9,171,586 10,837,240 12,771,736

income
Income statement (1 – 2 year)
Chattha’s Restaurant
Income statement
As on 31st Dec
2017 2018
128
Sales 17,422,093 106,457,949
Expenses
Labor and wages 3,850,000 3,850,000
Operating expenses 6,350,142 29,145,584
Total expenses (10,200,142) (32,995,584)
Profit before interest and 7,221,951 73,462,365

tax
Taxation - -
Net income 7,221,951 7,221,951
Conclusion and Recommendations
We conclude through our findings that “Chattha’s” has brand reputation as well as brand
awareness but they are not able to generate revenues and attract customers. The major problem
occurs in their marketing plan. They need to implement an effective marketing plans in order to
become market leader. Their competitors are capturing more volume just because of using
customer-based approach. They also need to fulfill the requirement of customers.
We are suggesting an effective marketing and sales plan to “Chattha’s” and we have also
introduced new student packages with free home delivery. They need to implement these
packages in order to capture youth. Similarly we also implement a new traditional platter of
129
homemade items in order to capture those people who are vegetarian. The new layout design
must be consider valuable because it is very efficient way of capture wider audience.
People are more conscious about the healthier environment and food. They need to create a
friendly environment and comfortable environment for customers. They need to introduce a
separate area for birthdays and different parties because this becomes a new trend now-a-days.
“Chatthas’ staff must be managed properly by the top management. They are not motivated and
lack confidence. They need to apply an appraisal system for them in order to be successful
because staff behaviors matters a lot in firm success.
These recommendations must be taken into consideration because these strategies will help the
“Chattha’s” restaurant to come up with a huge success in Islamabad.
Limitations:
While conducting the research, a lot of problems were faced by the researchers.
Main issue was time shortage as we had to take out spare time out of our schedule to distribute
the questionnaire and get them filled which was very time consuming and there were other class
projects as well which were to be completed in the same time period but we tried our best to
cover all required aspects of the project.
Some of the respondents were uncooperative and refused to fill the questionnaire which took
immense time to conduct the survey.
130
Moreover, cost of the project was also bear by researchers. We conducted survey from
Rawalpindi region as well which also incurred transportation costs.
Other than that, the non availability of internet and electricity problems was also very annoying
while doing the research and the survey.
Managerial Implications
An official website of “Chattha’s” has been published by the researchers which includes the
story of “Chattha’s”, What they do, Media Gallery, Testimonials, Contact Information. Website
helps a lot in social availability of a service. People these days do not call in the restaurants for
the menu, they just check the website and plan what they want to eat and what is in their budget.
Social media marketing has been done by the researchers for more than 2 and a half months.
Researchers created a Facebook and Instagram fan page so that more youth is attracted as well as
people who are socially active. Social media marketing is a major tool to attract public towards a
service or a product. Social media marketing has helped “Chattha’s” as they have been given
testimonials in Facebook fan page. More than 2000 people have liked the page and ranked them
as “Good”. Moreover, Diplomatic sector is also attracted to the place due to social media
marketing. People from Master Chef are also visiting the place and food.
REFERENCES
[1] J.B. Maverick (2015), “What is more important for a business, profitability or growth”?
[2] J Y Wanda (2015) “Marketing Strategies for Profitability in Small Independent Restaurants”,
Walden University Scholar Works, pp. 1-130
[3] M. Scott, Z. Alan, L.Daniel, “ The new science of customer emotions”, Harvard Business
Review, pp.66–74, 76, November 2015
[4] H.L. James, J.O. Thomas, L.W. Gary (2008), “Putting the Service Profit Chain to Work”,
Harvard Business Review.
131
[5] M. W. L. a. K. D. B. Tatiana Andreyeva, "The Impact of Food Prices on Consumption: A
Systematic Review," American Journal of Public Health, vol. 100, pp. 216-222, February 2010.
[6] Tsai, M., Liang, W., & Liu, M., (2007. The Effects of Subliminal Advertising on consumer
Attitudes and Buying Intentions, International Journal of Management, Vol. 24, No. 1
[7] M. Khan, Consumer Behaviour And Advertising Management, New Delhi: New Age
International (P) Limited, Publishers.
[8] Chen, W., & Lee, C., (2005). The Impact of Web site Image and Consumer Personality on
Consumer Behavior, International Journal of Management, Vol. 22, No. 3.
[9] M. Lorri “The Guide to Restaurant Advertising”, October, 2016
[10] H.Mohammad, D. Ali, R. Afshin, H. Ali(2012), Evaluation of factors affecting customer

loyalty in the restaurant industry, African Journal of Business Management Vol. 6(14), pp. 5039-
5046,
[11] S. Irfan, G. Osama, H. Iqra, A. Naeem, Asad (2014), “Factors Affecting Customers
Satisfaction in Restaurants Industry in Pakistan”, International Review of Management and
Business Research, Vol. 3, pp. 869-876
[12] Pasra H.G., Self, John T., Gregory, Amy, Dutta, Kirti (2012), “Consumer Behavior in
Restaurants: Assessing the Importance of Restaurants Attributes in Consumer Patronage and
Willingness to Pay”, Journal of Services Research, Vol. 12
132
WEBSITE
133
REVIEWS OF THE CUSTOMERS
134
135
136
137
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Chattha’s Authentic Pakistani Street Food
Questionnaire
What’s your gender?

o Male
o Female
Age
o 18 to 24
o 25 to 34
o 35 to 44
o 45 and above
Monthly Income (PKR)
o 20,000 – 40,000
o 40,000 – 60,000
o 60,000 – 80,000
o 80,000 – 100,000
o 100,000+
o Other (Please Specify) ___________
Product
“Product is a service or good that fulfil the needs of particular market and generate enough profit
through sales.”
To what extent, on a scale of 1 to 5 (1 means Not satisfied at all and 5 means Extremely satisfied) are
the following factors determine how satisfied you are with the
a) Freshness of 1 2 3 4 5
products
b) Durability 1 2 3 4 5
c) Product variety 1 2 3 4 5
2. Facilities (which includes the below elements)
139
a) Clean& spacious 1 2 3 4 5
atmosphere
b) Display/ 1 2 3 4 5
decoration
c) Music, interior 1 2 3 4 5
3. Do you think Chattha’s Restaurant is providing more product variety as compare to

their competitors?
Strongly Agree Agree Neutral Disagree Strongly disagree
4. During what time of the day would you consider to call a home delivery service
provider?
Highly Somewhat Uncertain Unlikely Unlikely
likely likely Highly
Breakfast (7:30am-
12:00pm)
Lunch (12pm-4pm)
Dinner (7pm-
11:30pm)
Price
“Money used for the exchange of goods and services.”
To what extent, on a scale of 1 to 5 (1 means Not satisfied at all and 5 means Extremely satisfied) are
the following factors determine how satisfied you are with the Chattha’s Restaurant.
5. Reliability (which includes the below elements)
a) Accuracy of bill / Bill 1 2 3 4 5

clarity
b) Correct information 1 2 3 4 5
of price signs &
discount
6. Value for money (which includes the below elements)
140
a) Competitive price 1 2 3 4 5
b) Frequency of 1 2 3 4 5
promotions/ discounts
7. The product prices of “Chattha’s Restaurant” are reasonable

1 2 3 4 5
8. The product prices offered by “Chattha’s Restaurant” are cheaper than other
Restaurants.
Strongly Agree neutral disagree Strongly
agree disagree
9. “Chattha’s Restaurant” has the lowest price restaurant in that area.
agree disagree
Placement
“Placement is action of placing something to somewhere.”
10. How often do you go to restaurant in Islamabad?
Almost 1-2 times/ 3-4 times / Monthly Occasionally
daily week week
11. Do you think that the brand and reputation of Chattha’s restaurant is valuable?
Yes No Neutral I have never visited
12. When you think of Desi food, which restaurant first comes to mind? (In Islamabad).
……………………………………………………………………………………………..
Customer’s not prefer “Chattha’s Restaurant”(Islamabad) because of the place

agree disagree
13. Which of the following restaurants have you come across in the last 6 months?
Have not Within 1 2-3 months 4-5 months 6 months or
heard of it! months more
Monal
Chaye Khana
Bbq Tonight
141
Promotion
“Publicizing of a product, organization or venture for the purpose of increasing sales or public
awareness.”
14. “Chattha’s Restaurant” (Islamabad) gives seasonal promotion (Eid festival)
agree disagree
15. Customers prefer to go “Chattha’s Restaurant” because of its promotion.

agree disagree
16. “Chattha’s Restaurant” have attractive advertising/promotions.
agree disagree
17. Where have you seen advertisements for Chattha’s Restaurant?
Billboard Online Tv/Radio Magazines/ I have never
brochures seen any of
their
advertisement
142

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Final Year Project "Addressing Marketing and Growth Issues of Chattha's Pakistani Street Food" BBA-8

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Final Year Project

“Addressing Marketing and Growth Issues of Chattha’s Pakistani Street Food”

• Customers’ needs esteem for everything that it buys.

• Trendy clients’ needs excitement with eating mastery.

In today's much focused environment, it is turning out to be progressively harder to separate

Researchers have completed a careful investigation and recommended diverse methodologies

-Youth -Catering authentic desi food

-Adults -Preparing food items freshly with

Business problem ………………….…………………………………………………………….9

Porters five forces model…………………………………………………………………….....25

Industry life cycle analysis……………………………………………………………………..28

Strategic grouping analysis……………………………………………………………………..29

Company strategic ambition…………………………………………………………………....35

Marketing and sales……………………………………………......................................……..39

Customer based brand equity model………………………………………………….……….41

Results and interpretations……………………………………………………………………...52

1.1. Client Brief – Organization Background

1.3 Key objectives:

1.3.1. Marketing activities:

Core Issues Activities Deliverables

Financial 11. Sales forecast Researchers follow the

1.7. Product line

1.8. PRODUCT MARKET

1.9. COMPETITIVE ARENA

3.2 COMPETITOR ANALYSIS

Overview “Chattha’s” Chaaye Khana Bbq Tonight is a Monal offers Chinese,

Competitive  Low prices  Brand name  Layout  Quality food

Target Market Upper-Middle Upper class Upper-Middle class Upper class

Marketing Cost leadership Penetration Penetration Market

Strengths Low prices and Name of the Quality food and

Threats Same product Quality Competitors Continental

“Chattha’s Authentic Pakistani Street Food”

3.3 PORTER’S FIVE FORCES (INDUSTRY DYNAMICS)

Threat of new entrants

Bargaining power of buyers

Intensity of competitive rivalry

3.4 Industry Life Cycle Analysis

Introduction Growth Maturity Decline

3.5. Strategic Grouping Analysis

Chaaye Khana Bbq Tonight

Chattha Bbq Tonight

4.1 SWOT ANALYSIS

• Emphasis on great nourishment is the principle quality of the eatery.

• The owner is considering Islamabad to be the fundamental wellspring of expanding income.

• Brand awareness in Islamabad is one of the primary shortcomings.

• Less concentrate on showcasing exercises is additionally a frail point.

• Not thinking about rivals is additionally a shortcoming.

• Lack of data to the masses of the district is additionally a shortcoming.

•Competitors are the principle danger in Islamabad.

4.2.3 Challenge big brands:

4.3. Resource and capabilities

Resources Cost (Rs.)

4.3.3 Core competencies:

4.4. VRIO framework:

4.5. Applying 7’S of Mckinsey on ““Chattha’s” Authentic Pakistani Street Food”

1) Strategy “Chattha’s” strategy is to satisfy customers by providing quality food with

6) Staff The staff of “Chattha’s” is very lazy.

4.6. Marketing and sales:

Step 1: BRAND IDENTITY – Who you are?

Step 2: BRAND MEANING - What are you?

Brand imagery passes on to more intangible characteristics of the brand.

Step 3: BRAND RESPONSE – What about you?

Customers’ Judgments are sub categorizes into following,