Essays on Red Rooster Entry into Indian Market Case Study

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The paper "Red Rooster Entry into Indian Market" is a great example of a marketing case study. Started in 1972, Red Rooster is a fast food restaurant franchise born in Australia and valued by many people. While Australians are becoming increasingly mindful of healthy eating, Red Rooster has turned out to be a healthy and tasty choice. India is an ideal market for Red Rooster because it is the world’ s second-fastest-growing economy and it is also the largest democracy. Besides that, India provides political stability which is crucial for foreign companies seeking to enter the Indian market.

With a pro-business attitude, the Indian government agencies always work closely with foreign investors to facilitate the growth of the Indian economy. The best mode of entry for Red Rooster in India is franchising since the risks involved are minimal. The majority of fast-food businesses utilise the franchising model because it brings organisational and structures unity by offering business opportunities’ platform for foreign companies in the emerging markets. Besides that, franchising would create opportunities for employment and personal growth for the Indians.

Hiring local employees would enable Red Rooster to create a ‘ local’ and friendly corporate image that would enable the company to be successful. For Red Rooster to become successful in the Indian market, it should adopt the ‘ penetration pricing strategy’ , which involves setting selling the products at a lower price than the normal price to successfully infiltrate the market. This strategy would enable the company to attract a lot of customers and also increase its market share. 1.0 Introduction 1.1 Brief background of Red Rooster Red Rooster is considered to be the most successful fast-food restaurant in Australia.

This success is attributed mainly to the freshly prepared, high quality and great tasting food, which is often delivered through recognised systems. The company has served Australians for more than four decades and has almost 360 restaurants across Australia. Red Rooster is presently considered as the largest franchise that provides roast chicken in Australia. Red Rooster was found in 1972 and has since then been recognised as the largest home-grown quick-service restaurant brand that specialises in Roast Chicken. With more than 40 years in the Australian Market, Red Rooster presence all through the Australian suburban landscape is not only familiar but also nostalgic (Franchise Business, 2016).

The company has continued maintaining the Australian traditional values but has also remained dynamic and forward-thinking. Presently, the company is planning to improve its financial growth and diversify its offering by introducing loyalty program, home delivery services and open more restaurants across Australia. Given that the company future goals is to improve its financial growth, the company would achieve this by expanding their business to other countries; thus, allowing other people to taste their delicious roast chicken. 1.2 Reason for selecting Red Rooster The reason for choosing Red Rooster is attributed to the fact that despite operating in Australia for over four decades, the company has no global footing.

At the local level, the company is competing with other established restaurants chains such as MacDonald’ s and KFC; thus, the Australian fast-food market is very competitive. Therefore, the survival of Red Rooster will depend on its ability to tap into the new markets, such as India and China. For Red Rooster to grow in the future and survive, the company should expand its operations to India.

Given that the world economy is experiencing some problems because of the recent economic depression, the emerging economies such as India would present Red Rooster a perfect opportunity to expand globally and improve its market presence at the international market. India population and economy growth connote that the purchasing power parity at the country is rapidly increasing.


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