Contents

• A case of subway
• About Subway Restaurant Group
• Importance of business environment of an organisation particularly for Subway
• Competitors and competitive position of Subway
• Market structure of Subway
• Internal analysis of Subway using SWOT analysis
• Strength
• Weakness
• Opportunities
• Threats
• Identification and evaluation of strategies using porter’s five forces analysis
• Rivalry among competitors in fast food industry
• Threat of New Entrants in an industry
• Threat of Substitutes for an Industry’s Offerings
• Power of Suppliers to an Industry
• Power of an Industry’s Buyers
• Mapping Strategic Groups
• Recommendation
• Conclusion
• References

Description

With the increasing competition in today’s globalised world, it is important to analyze the business environment of each firm. Business environment includes all external and internal factors that have an influence in business both in the short run and long run. External factors may include political, macroeconomic, microeconomic, social and technological aspects of a firm or industry. Whereas internal factors include organizational cultures, policies of a business, methods of production, management information systems, managerial attitudes and human resource techniques (Pujari, 2015). External factors are beyond the control of a business while internal factors are in the control of business and can affect the business operations. The current study examined the business environment of quick service restaurants which are known as fast food restaurants providing beverages and consumer goods. In order to analyze the business environment of a large organization, we take up the case of Subway Restaurant Group. In 1965, Fred De Luca has started his restaurant business at the age of 17. Initially Subway chain was the world’s third largest fast food chain after McDonald’s and KFC. However, in March 2011, news broke out that Subway had outshined McDonald’s and Subway has become the world’s largest fast food restaurant chain.