Din Tai Fung IS USUALLY A Chinese language Style Restaurant Marketing Essay

BreadTalk Group was included in Singapore in Apr 2000 as BreadTalk Pte Ltd and has since become a distinctive brand in Singapore that has gained international charm. It had been found by the existing Managing Director, George Quek and his partner, Professional Director, Katherine Lee. The first BreadTalk retail store opened in 1st July 2000 at Parco Bugis Junction. It runs a chain of shops through its subsidiary BreadTalk Pte Ltd, offering a wide range of bread, cakes, buns and pastries. The group has a chain of 38 retail outlets island-wide in Singapore, with existence in Malaysia, Indonesia, Thailand, Philippines, Vietnam, Sri Lanka, Hong Kong, China, Oman, Kuwait, Saudi Arabia, Jordon, Bahrain and India.

BreadTalk Group also contains other brands such as

Din Tai Fung

din tai fung. jpg

Din Tai Fung is a Chinese style restaurant which mainly markets Chinese language dimsum and Chinese cuisines. Well, the steamed dumpling (xiao long bao) is the most famous food in Din Tai Fung and nearly every customer will order it. There are total 13 Din Tai Fung restaurants in Singapore while the first restaurant is in the upscale Paragon shopping mall.

Food Republic

food republic. jpg

Food republic is a food judge which has many food stalls which sell various Asian cuisines and snack foods. The Food Republic has 9 food courts in Singapore and also, it includes food court in other countries such as Hong Kong, China, Malaysia, Taiwan and Thailand.

Toast Box

toast field. jpg

Toast Pack is a reflection of the caffeine outlets from the 60s and 70s, where in fact the common practice for breakfast was a fragrant glass of Nanyang Espresso accompanied by newly toasted bakery. This warm, nostalgic notion was reinvented to bring back fond memories for those who missed the good old times, and for the younger ones to see the feel and flavors of an bygone period. Toast has more than 30 retailers in Singapore looked after has franchise in Malaysia, Thailand, Philippines, Hong Kong and China.


ramenplay. jpg

RamenPlay is Japanese ramen restaurant and is also a collaboration between BreadTalk Group and Sanpou Co. Ltd. At RamenPlay, everyday is known as a "playday" as the restaurant constantly pushes the creative envelope to build new flavours and principles to enhance customers' dining connection with enjoying traditional ramen.

The Icing Room

icing room. jpg

The Icing Room is the first-ever specialty concept shop that offers Design-It-Yourself (DIY) wedding cake decorative services. At The Icing Room, everything is very simple to us. Using a cream cake is provided to us, all we have to do is go wild and decorate our personal cake on the spot. We aren't necessary to buy ingredients, no need to get your hands dirty with cooking no need to clean up.

Carl's Jr

carl's jr. jpg

Carl's Jr. can be an American fast-food restaurant string which predominantly performs in the Western and Southwestern areas. The company happens to be in the process of extending to Dominican Republic, Brazil, Puerto Rico, Malaysia, Denmark, Costa Rica, New Zealand, Australia, Singapore, Russia, Vietnam, Turkey and China. Well, BreadTalk Group received a franchise certificate from Carl's Jr in March 2009.


jco. jpg

J. CO Donuts & Espresso is a cafe merchant in Indonesia focusing on donuts, frozen yogurt and coffee. It is had and managed by Johnny Andrean Group. J. CO Donuts & Caffeine started out trading in 2005.

Background of the study

Others 6%

Restaurant 21. 0%

China 32. 1%

Singapore 52. 3%

Food Atrium 25. 8%

Bakery 53. 2%

Hong Kong 9. 6%

Figure 1. 0

Figure 2. 0

The shape 1. 0 shows the income contribution of BreadTalk from different countries respectively. It demonstrates Singapore is always the main marketplace of Breadtalk because more than 50% of profits are from Singapore. While, the second highest revenue is from China and Hong Kong contributes the 3rd most revenue to BreadTalk. The physique 2. 0 shows the revenue contribution of BreadTalk from different businesses respectively. It shows that the center business of BreadTalk is to use bakery business because it contributes the most income (53. 2%). However, working food atrium business contributes 25. 8% of income and 21. 0% of revenue is from running restaurant business.

Figure 3. 0BreadTalk Group Small : Income Affirmation Evolution

The amount 3. 0 shows the financial statement (sales, operating earnings, net profit, net margin and operating margin) of BreadTalk in the period of 2007 to 2013. It shows the earnings of BreadTalk is increasing steadily each year. However, with the increasing earnings, the net earnings does not show any changes and always preserves the same and also, the operating margin encounters gradual decline on a yearly basis.

Problem statement

BreadTalk's income shows an optimistic growth each year, however, it'll still meet some barriers in working its businesses. The Porter's Five Forces are used to assess the meals and beverage industry environment, including all the relevant businesses in which BreadTalk operates. It can benefit BreadTalk acknowledge its potential risks and threats, so the food company can make some countermeasures to cope with its own barriers. The followings are the five makes which BreadTalk must consider

Intensity of rivalry

The food and drink industry is quite competitive in Singapore. For bakery business, there are many bakery shops similar to BreadTalk such as Bengawan Solo, Delifrance, Four Leaves and other bakeries in various shopping malls, hotel and neighborhoods. Each of them supply the similar products and there is absolutely no different in the purchase price included in this. In restaurant business, its closest competitors will be the Crystal Jade and Imperial Treasure chain of restaurants, both which give you a similar dining strategy at equivalent price. In food courtroom segment, the rivals such as Kopitiam, Food Junction and Koufu, which price the meals and drink relatively cheaper plus they have awider reach of consumers as they operate a lot more retailers in Singapore.

Threat of new entrants

To the bakery industry, the threat of new entrants is relatively high. First of all, the original outlay is low in comparison to other business because of low equipment cost and the study and development are cheaper prior to starting the business. Secondly, the product differentiation is low as most bakeries sell similar products. To the meals atrium and restaurant business, there's a lower risk of new entrants as the capital outlay is significantly expensive. To touch on economies of size and build its brand, these eateries have a tendency to open several outlet. Relevant skills in running a restaurant is required. Also, food atrium and restaurant own a sizable number of shops each.

Threat of swap products

Product substitutes are a solid risk in the bakery industry as their prices can be relatively lower and customers face low switching costs. Any light takeaway snack foods constitute possible substitute which customer can opt for. Substitutes is often as diverse as snack joints such as Old Chang Kee, Mr. Bean and Jollibean.

Bargaining power of buyer

In the food and drink industry, customers enjoy significant buying electric power as they incur low turning costs. In general, the demand for food is highly price flexible. Most customers are delicate to price raises and wouldn't normally hesitate to improve their preferences and preferences appropriately.

Bargaining power of suppliers

Suppliers have relatively low bargaining ability in food and drink industry, primarily due to the large numbers of existent suppliers. As they are located further upstream, they are not able to mark-up their products significantly as most customers are bakeries and restaurants that purchase in large. The bulk buys suppress the bargaining ability of the ex -. Moreover, materials such as flour, eggs and whole wheat do not fluctuate typically in quality across suppliers, further cutting down their bargaining ability.

Research questions

In what degree people perceive of BreadTalk?

BreadTalk businesses include functioning bakery, restaurant, food atrium and snack shop. Well, what exactly are your opinions about the merchandise of BreadTalk?

What actions are necessary for BreadTalk to carry out?


The increasing earnings represents BreadTalk's market is widening and the declining operating margin means the costs (salary, materials) of BreadTalk become expensive. It could be deduced that BreadTalk does not enjoy cost keeping even its market is growing steadily.


To intensify the competitive strength on the market place.

To assess the belief of consumers into the brand.

To investigate the current market situation.

To identify certain requirements and prospects of consumers.

Significant of study

To reduce the costs of creation and expenditures therefore you will see an increase in net income.

To explore new market and broaden its business to more countries.

To enhance the products and develop services to meet consumers' expectation.

To solution any deficiencies of other areas of business (service attitude, environment, efficiency) apart from products.

Research Method

Research methods include case analysis, concentration group, interview, experience review and supplementary data research. Here we use the strategy of questionnaire for the research. Corresponding to Ian Brace (2008), The word questionnaire relates both to questionnaires intended to be implemented by an interviewer, either in a face-to-face interview or by telephone. In other disciplines this is often referred to as an interview program, with the word questionnaire reserved for the self-completion survey instrument.


In the research, we must identify who our respondents are. The respondent should possess specific knowledge and the main thing is he/she should show their determination to cooperate with the researcher and complete every question in the review seriously with appropriate answer. Here we will categorize the respondents into three types

Food consumers.

BreadTalk staffs.

People who entail in catering business (restaurant, food court docket)

Sampling and Sampling Technique

Based on the populace above, we will adopt the survey type of research when a sample from the targeted society will be used for the research. In total, we will arbitrarily select a test of 150 respondents from the targeted population of 300. Information on the test are as follows

50 respondents who are BreadTalk staffs.

50 respondents who take part in wedding caterers business.

50 respondents who are food consumers.

Data Collection

Data includes principal data and extra data. Regarding to Alvin C. Burns up & Ronald F. Bush (2008), main data refers to information that is developed or obtained by the researcher specifically for the research task at hand. While, supplementary data means the data have previously been accumulated by someone apart from the researcher and/or for some other goal than the research project accessible. Since we choose questionnaire as our research method, the study data collection methods include person-administered research (without computer assistance), computer-administered surveys, self-administered research and mixed-mode research. Well, we determine that self-administered study as the info collection method. A self-administered study is one where the respondent completes the survey on his/her own. It really is different from other survey methods in that there is no agent-human or computer-administering the interview. Instead, the respondent reads the questions and responds on the questionnaire. So, we have been referring to the prototypical "pencil-and-paper" study here (Alvin C. Melts away & Ronald F. Bush 2008).

The advantages and disadvantages of self-administered review are as below



1. Lower cost.

1. Respondent control. Self-administration places control of the survey in the hands of the potential respondent. Hence, this kind of review is at the mercy of the opportunity that respondent will not complete the review, will answer questions enormously, will not respond regularly, or will won't return the study in any way.

2. Respondent control. Respondent can control the speed of which they answer, so they may not feel rushed.

2. Insufficient monitoring.

3. No interview-evaluation apprehension.

3. High questionnaire requirements.

Data Collection Instrument

The questionnaires consist of 9 questions that are categorized into A, B and C three parts. Each section includes three questions. The table below shows the sample of investigative questions.





In what level people perceive of BreadTalk?

BreadTalk businesses include functioning bakery, restaurant, food atrium and snack shop. In the judgment, which brand could possibly be the most suitable rep of BreadTalk?

Do you visit BreadTalk franchise frequently?

What reasons take into account your answer above?


BreadTalk businesses include functioning bakery, restaurant, food atrium and snack shop. Well, what are your opinions about the merchandise of BreadTalk?

Do you think the meals delicious and the tastes of food correspond to your preferences?

Is the purchase price reasonable and appropriate?

Do you think BreadTalk offers various types of food for consumers to opt for?


What actions are essential for BreadTalk to carry out?

Please list your disliked products of BreadTalk. Why?

Besides the meals products, whicj aspects should BreadTalk perform improvements?

Any food companies do you think are better than BreadTalk?

Data Analysis

The responses to the structured close-ended questions will be scored in percentages. The ratio of respondents for each alternative will get and analysed. The data collected will be analysed using the software applications known as Statistical Program for Service Solution (SPSS).


OCTOBER 2012: Agree research strategy with supervisor

NOVEMBER 2012: Compile, pilot and review questionnaire

DECEMBER 2012: Circulation and collection of questionnaire

JANUARY 2013: Data analysis

FEBRUARY 2013: Last writing of task report

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