A local business leader is considering starting a business in your area and has hired you to conduct a market analysis and deliver a formal report of your findings. Consider a market segment with which you are familiar. Write a brief report to be delivered to your sponsor in which you describe the status of competition within this market and recommend a course of action for the start-up.
America’s labor market consists of a large portion of married individuals, who find little or no time to cook at home (Reed & Clark, 2013). Similarly, most college students are used to purchasing their meals from food joints located outside the school due to service convenience. The food industry market segment has utilized the opportunity offered by busy individuals, who rely on the convenience of food kiosks and restaurants. The market segment is characterized by the presence of a variety of food retailers such as fast food restaurants, coffee kiosks, and cafés. Due the viability of the market in the sector, there has been a stiff competition with survival depending on the selling of foods that are portion controlled to support the commonly adopted healthy living (Reed & Clark, 2013).
In our local vicinity, there are no adequate number of food kiosks. It is evident from the growing number of people that rely on city restaurants and supermarkets. Our local area market niche is also characterized by the growing number of colleges and campuses. Basing on the campus and college life, there is a market opportunity to establish a food joint, where students will find it convenient to catch up with their colleagues as they take tea or coffee. The colleges do not cater for all students and more so, considering the growing number of students who are residing off-campus. Similarly, there is a need to take advantage of the overcrowding in eating centers in colleges which has played a significant role in students preferring to have their meals outside the school. There is a gap in the food industry in our local area to provide a variety of services to meet the interest of the nearby community and college students. Geographical market segmentation is imperative in the establishment of business (Jerry, 2007). Basing on the inadequate number of food outlets in our area, the business is the most viable within the vicinity. The geographical segmentation and analysis of the local vicinity can show that a food joint is a preferable business venture to serve the need of the college students and nearby community in terms food retail business….