Reference no: EM133293579

Case: 'FROM BOWL TO SOUL'S' INTERNATIONAL EXPANSION Created by Ryo Tanaka in 1995, 'From Bowl to Soul' is a restaurant chain with its headquarters in the UK. The restaurant is designed around the concept of a Japanese ramen bar, serving a wide variety of noodles, rice, vegetarian and vegan dishes with pan-Asian flavours. By 2020, the chain had grown to 185 restaurants, 129 of which are in the UK. Other restaurants are located in Europe, the Middle East and New Zealand. A total of 51 'From Bowl to Soul' restaurants are franchised and it operates in 23 countries. 'From Bowl to Soul' Restaurant Composition: 28 January 2020 29 January 2019 Company-Operated Restaurants[1] 134 127 - UK restaurants 129 123 - USA restaurants 5 4 Franchised[2] 51 40 Total 185 167 One of the reasons that 'From Bowl to Soul' has had the opportunity to grow is because the trend for consumers eating out has shifted towards casual dining. However, 'From Bowl to Soul' is not alone in the casual dining market. Its main competitors include Gondola Group, Casual Dining Group, Gordon Ramsey Holdings and the YO! Sushi Group. The brand has been a key player when it comes to healthy eating, something that is becoming prevalent within the casual dining market. And to respond to the growing number of vegans in the UK, a 360% increase since the 2000s, 'From Bowl to Soul' introduced vegan dishes to its menu. This introduction was popular with consumers and received great press coverage particularly after winning an award at PETA's 2018 Vegan Food Awards for 'Best Curry', namely their Aloo Gobi Curry. In operating in such a wide range of countries, 'From Bowl to Soul' has had to adapt to different national cultures. For example, the culture of the UK is very different to the culture of Middle Eastern countries. While the UK values a small power distance, the Middle Eastern countries value a large power distance; while the UK values individualism, the Middle East values collectivism, and while the UK has a high tolerance for uncertainty, Middle Eastern countries tend to avoid uncertainty. 'From Bowl to Soul' has many strengths, the brand itself being one of them. Its Chief Executive has made a conscious effort to develop 'From Bowl to Soul' as an 'urban brand' with restaurants in prime locations in large, vibrant cities. Recognition does not just come from the internal team, as it has received many awards ahead of its competitors such as the Gordon Ramsey Group and Nobu London. Its strong brand image has encouraged an extensive social media following from over 500,000 followers on 'From Bowl to Soul GB' Facebook; 55,000 followers on @From Bowl to Soul_UK on Twitter; and 83,000 on @From Bowl to Soul_UK on Instagram, used as leverage to maintain loyal customers. Loyal fans are invited through social media to book and be VIPs at pre-launch events. The brand also introduced a mobile app which aims to improve customer engagement, while understanding customer behaviour, to aid new business development and marketing strategies. But more importantly, the 'From Bowl to Soul-GO!' app provides a bill-less system which saves diners around 12 minutes at each meal because they do not have to wait for the bill to arrive and go through the process of paying with the waiter or at the till. Financially, 'From Bowl to Soul' is strong, with group turnover increasing 12.5% like for like to £72.1 million in Q3 2019-2020. In the UK it has traded ahead of competition consistently for over three years. However, over 90% of its revenue is generated from the UK market. Clearly 'From Bowl to Soul' is moving beyond the UK borders and has announced plans to provide franchising opportunities in Croatia, Finland, Germany, Hungary, Kuwait, Luxemburg, Norway, Poland, Romania and Switzerland. By expanding the business further, it will allow the brand to strengthen operational capabilities, effectively and efficiently delivering products and services which are customer driven. Finally, expanding globally will enhance the geographic footprint, capturing market share and new target markets everywhere. Though there is limited information on specific costs and training details provided by 'From Bowl to Soul', it is known that the minimum investment for a 'From Bowl to Soul' franchise is approximately £40,000. This does not include further information on additional advertising fees, operation fe es or royalties. However, evidence can be seen of 'From Bowl to Soul's' care for its brand and franchisees in what it calls the 'whole life' system - an ongoing process of training to ensure each franchise reaches its full potential in leadership and management. The restaurant's innovation, connectivity and dedicated expansion through their company -operated and franchised businesses has not gone unnoticed, earning them the prize of Multiple Casual Dining Restaurant of the Year at the Casual Dining Restaurant and Pub Awards 2019

Question 1: Discuss the market research process which 'From Bowl to Soul' would have conducted which ultimately led to the decision to enter the markets of Croatia, Finland, Germany, Hungary, Kuwait, Luxemburg, Norway, Poland, Romania and Switzerland through franchising.

Question 2: To what extent does 'From Bowl to Soul's' technology-related initiatives support its approach to international marketing? Discuss