Business Description
Bluefish Restaurant and Lounge is a registered C-corporation in Arlington, Texas, off the service road of 360 and Pioneer with an upscale and cozy atmosphere. From its menu, Bluefish Restaurant will offer different cuisine specialties that will appeal to a wide and varied clientele. Bluefish Restaurant will be open seven days a week.
The proposed form of Business Ownership
Bluefish Lounge will be incorporated as a C-corporation. This is because the partners at Bluefish Lounge will be given stock in which they will invest in the business (Moorman et al., 2019) . Bluefish Lounge will not just be opened in Arlington, Texas, but a large chain of restaurants that will be opened across different states in the United States. An advantage of opening Bluefish Lounge as a C-corporation is that the personal assets of the shareholders will be protected from any legal and debt actions (Moorman et al., 2019) .
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Industry and Market Analysis
The industry encompasses establishments that are engaged in providing food services to people who order and then get served while they are seated, and then pay after they have eaten. Other than providing food services to patrons, these establishments also incorporate the selling of alcoholic beverages, providing live nontheatrical entertaining as well as carry out services.
Personal income, consumer states, and demographics are the main drivers for demand in this industry. The profitability of businesses varies in that – quick-service restaurants rely heavily on high volume sales and efficient operations, while the financial strength rating relies on effective marketing and high-margin items. The food service industry is labor-intensive. The industry trends are that large companies have an added advantage in marketing, finance, and purchasing, while small companies can provide superior service or food.
Uncontrollable Positive and Negative Variables affecting the industry
Corvid-19 is a human tragedy that is affecting millions of people worldwide, and it is having a massive impact on the economy. The United States is currently under social distancing, state-wide quarantines, and travel restrictions measures that have driven a sharp fall in business and consumer spending (Hamilton et al., 2020) . The stay at home order by the federal and state governments has resulted in the laying off of workers and businesses to lose revenue (Hamilton et al., 2020) .
Bluefish restaurant competes with other establishments that serve prepared meals such as grocery stores, convenience stores, delis, and clubs, as well as home cooking. Although stay at home orders have been issued, Bluefish restaurant and lounge will be operational as waiters will be responsible for taking food and beverage orders for patrons who will then pick up their orders and consume them at home. After the Corvid-19 crisis has passed, Bluefish will be able to resume casual dining, fine dining and family dining to its clients.
Competitive Analysis
The competitors to Bluefish Lounge in Texas are small and medium-sized restaurants that have an established presence in the market. An immediate threat to Bluefish Lounge comes from Sprinkles Bar and Restaurant because they hold the largest market share (at 60%). The companies that we need to pay attention to are Charlies Barbecue, Apple Barrel, and Dominiques Restaurant, as they are all growing their market share at a faster rate than our own.
Primary and Secondary Competitors and their competitive advantages
Sprinkles Bar and Restaurant – This is a full-service restaurant that was established in 1995. The restaurant is run as a partnership, has 20 employees, and generates more than $1.5 million in revenue annually.
Charlies Barbecue – This is a chain restaurant operating as a limited liability offering barbecue items. Their food offerings do not compete directly with Bluefish, but the business targets patrons in the same locality as the subject and their prices are fair.
Competitive Advantage of Bluefish Lounge and Restaurant
Bluefish will be able to home-style meals in a comfortable home-like setting for reasonable prices.
Bluefish will initially employ family members who will work for reduced wages, thus making it possible to cut on our controllable expenses.
References
Hamilton, R., Ferraro, R., Haws, K., & Mukhopadhyay, A. (2020). Traveling with Companions: The Social Customer Journey. Journal of Marketing , 002224292090822. https://doi.org/10.1177/0022242920908227
Moorman, C., van Heerde, H., Moreau, C., & Palmatier, R. (2019). Challenging the Boundaries of Marketing. Journal of Marketing , 83 (5), 1-4. https://doi.org/10.1177/0022242919867086
