Business strategy in Chinese restaurant Assignment

Business strategy in Chinese restaurant - Assignment Example Several other outlets of Hai Di Lao Hot Pot were also started and the business operations were carried through this chain of restaurants. The restaurant reached a stable growth rate over time and this enabled it to open multiple outlets and marketing stores in Nanjing, Tianjin, Shanghai, Beijing and other locations of China. The company employs about 15,500 employees (Hai Di Lao hot pot, 2014). Political: The business operation of the restaurant, Hai Di Lao Hot Pot is subject to some political constraints. In emerging nations like China, the government often impose several extensive policies for maintaining a stable and competitive market. Sometimes due to political wars and corruption in bureaucracies, the expansion plans of the company get hampered. The restaurant also has to abide by foreign tax policies in order to expand its business globally (Griffiths and Tenenbaum, 2004). Economical: The distribution centre, warehouse and factories of the restaurant mainly operate in the Chinese market and thus, it does not have to worry about risks associated with the exchange rate. Economic productivity of China, as measured by the Gross Domestic Product (GDP), is quite stable which implies that there is an increase in the per capita income level of the population. Consumers have high demand and increased purchasing power which enables them to avail speciality dining in restaurants like Hai Di Lao Hot Pot. Social: Globalization has helped businesses to conduct integrated operations that would help improve standard of living. Hai Di Lao Hot pot offers its customers with traditional dinning habit with a blend of modern styles. The restaurant values the social and cultural aspects that are associated with Chinese food. This ensures that the restaurant maintains a stable growth (Chow, Lau, Lo, Sha and Yun, 2007). Technological: Food making techniques are essentially subject to innovations. Several innovations in cooking techniques are practised by the