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The restaurant industry and competition in India

Darjeeling Exhibit is the name of another Indian theme restaurant in NEW YORK. The restaurant will be split into four sections under an individual device. These four parts would imply the four zones of India (Northeastern, Northwestern, Southeastern, and Southwestern). The theme is to have an entire different ambience, a separate dishes and a screen of skill which would showcase local paintings and culture of the respective zones. The meals served will be extremely healthy, keeping its originality as well as its style.

The business concept has a novelty factor since it combines cultural food industry with a twist of health plus a display of varied Indian artwork and culture. In mind, the business would be for benefit from the restaurant services. Together, it will generate earnings and opportunities for up coming performers from India.

Mission Assertion.

At Darjeeling share we have a very clear and precise mission, to win over our customers by providing them the best amount of service possible and also providing them with the freshest, healthy & best value food at realistic prices in a soothing, comfortable different social environment.


The goal of the business is a multifaceted success. They can be:

To verify that Indian foods can be healthy enough with being delicious.

To promulgate the art work and culture of India as a whole.

To encourage the young talented Indian performers and their artwork.


We would follow the standardized formula with some changes made by highly qualified trained chef to ensure every time a person visit, he/she gets the best quality and healthy food choices.

We follow the task of frequent training of personnel periodically.

To keep carefully the ambience vivid and welcoming and attractive, we will have ornate presentations paintings and handicrafts of proficient artists which will also be accessible for providing. The motive to do something new by constant renovations and advancements.

Industry and Competition

Market Conclusion and Trends

Darjeeling Express falls basically under the full eating restaurant industry. The meals service business is the greatest industry in the United States. The Restaurant Industry has a remarkable growth history, chronicled since formation of an association in 1919 which eventually used the name Country wide Restaurant Association. According to the current figures available, People in the usa spend 49% of the meals dollars in more than 1 million restaurants. This Industry now is one of the largest private sector employers, utilizing around 12. 7 million workers in this business.

The NAICS code for this industry is 72210 whose name is "Full Service Restaurants". The explanation of the code says that "the industry includes establishments primarily engaged in providing food services to patrons who order and are served while seated (i. e. waiter/waitress service) and pay after eating. These institutions may provide this type of food services to customers in mixture with selling alcoholic beverages, providing perform services, or presenting live non theatrical entertainment. "

The main factors that influence the growth of the industry will be the current trend throughout the market, high disposable income of the socially young oriented professional people who does not have any kids which means less liability. The business enterprise travelers and the conventioneers also emphasize on fine eating experience. Suburbanites as well as the tiny town people look for sophisticated dining options too.

Despite facing the crunch of the market, the restaurant industry is to some extent less influenced than the other establishments. Relating to NRA's 2010 Restaurant Industry Forecast, this industry is likely to show a steady improvement in this year. Industry sales are projected to attain $580 billion this season, a 2. 5 percent increase in current dollars over 2009 sales. It is also forecasted that when adjusted for inflation, current yr sales will be moreover smooth, which ultimately shows a progress above the 1. 2 percent and 2. 9 percent negative growth in real sales that industry experienced in 2008 and 2009 respectively. This business is likely to be considered a strong contributor of the nation's economy with industry sales of about 4 percent US gross local product and employees composed of 9 percent of the U. S. workforce.

Five Forces Portion Analysis

A model for industry research depicts a representation of 100 % pure competition focusing on the risk modified rates of return which must be continuous across firms and establishments.

Michael Porter has designed such a construction that models a business as being inspired by five pushes. They are

Bargaining Power of Suppliers, Bargaining vitality of Buyers, Threat of new entrants, Threats of intense segment rivalry, Risk of substitutes. The greater these forces combine in any occasion, the more the competitive advantages of the restaurant business or any other business is getting and results also flip dramatic.

With respect to Darjeeling Express Restaurant:

Bargaining Vitality of Darjeeling Express's Suppliers: Since Suppliers in a restaurant business specifically plays a key suggestions role, thus it is highly necessary to have a good negotiating offer with them before hand. Here bargaining vitality of suppliers is not that strong scheduled to various aspects firstly due to availability of many wholesale food distributors in the area, secondly since there are not such scarce recycleables required which is less available in market that causes our electric power of moving over between suppliers much easily if not invested in an. Consequently, our suppliers also don't rely only on a single business so they involve some bargaining power for themselves.

Bargaining electricity of Darjeeling Express's Customers: The restaurant industry being highly consumer influenced business, so mainly the buyers are mainly the Indian customers who would come in to dine. The negotiating vitality with the buyers are less in the restaurant industry due to the other competition being highly present in number, therefore the customer has a selection of dining in a number of different cuisines matching to their preference. Customers get access to and are able to evaluate the market information like the demand, prices quite individually so they have more bargaining vitality than it has. Although this could be increased by increasing their loyalty to the restaurant by giving exclusive healthy delicious food as well as atmosphere which would also improve the inherent or identified value of the cuisines by branding.

Threat of new Entrants: The threat of new entrants is high in this business because there are no rigid rules for the potential entrant to begin up. Virtually all medium establishments are put through the standard selection of polices: zoning, health basic safety, sanitation and zoning. Since set up costs aren't that high for a restaurant business and also when the economies of size are little, this opens up strategies for new businesses to enter this industry.

Threat of substitutes: With so many Indian restaurants joining the industry, and low turning cost and similar kind of products and healthier choices increases the threat of substitutes. Sometimes this is reduced by keeping yourself closely in melody with the mark customer's preferences and also making a brand is impressive.

Rivalry among existing businesses: Since the restaurant businesses have reached to some point of saturation and the products to be sold aren't unique or homogeneous, there are chances of extreme rivalry among firms. Also the liquidation of businesses in this industry may produce a loss whenever there are heavy investments engaged so instead of exiting from the business enterprise the competition try hard to cover the facilities and could holiday resort to extreme methods of competition.

SWOT analysis


High quality food despite being very healthy.

Strong romance with the vendors in order to get good quality materials.

Highly sophisticated and cultural ambience with an exhibition of Indian arts.

Excellent trained chef and personnel who's highly customer attentive.


Limited marketing budget to develop brand consciousness.

Limited space capacity.


Growing market with a substantial percentage of the prospective market still not aware that Darjeeling Express exists.

Increasing sales opportunities in remove business.

An contact with highly recognized talents in India.


High competition from local Indian restaurants present near the city.

A slump in the economy reducing customer's disposable income spent on eating dinner out.

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