Near and similar restaurants: competitors or allies?
Keywords:
Restaurant, small business, advertising, demand, customer serviceAbstract
The proximity of businesses targeting the same market segment, meeting the same needs and operating in a similar way is generally believed to indicate more competition. However, this situation can be beneficial for the companies involved, and it may not necessarily generate an adverse environment. This study sought to analyse a group of restaurants that operate under similar conditions and that are located within the same area in order to identify the potential benefits and drawbacks of choosing this strategy to deal with market pressures. The research was based on a sample of 1,358 customers from 52 small restaurants. Diverse information-gathering techniques were combined such as observations, interviews and surveys. The data gathered was used to characterise different groups of variables’ behaviour based on descriptive statistics. In addition, bivariate statistics were utilised to test the hypotheses, while multivariate statistics were used to conduct correspondence analysis. The results reveal that, in the cases analysed, the parties involved benefit from the existing condition when a process of distribution of demand is present and advertising expenses are minimised.
References
Abbasian, S. (2018). Solo travellers to city destinations: an exploratory study in Sweden. International Journal of Tourirsm and Cities, 5(1), 35-50.
Afrin, K., & Ramalingam, S. (2018). Human resource management practices and the employees intention to stay in the franchise of quick service restaurant. Journal of Advanced Research in Dynamical and Control Systems, 10(3), 1400-1404.
Araújo, W. M. C., Zandonadi, R, P., Tenser, C. M. R., Farage, P. & Ginani, V. C. (2018). Importance and level of adoption of food safety tools in foodservices. Journal of Culinary Science Technology, 1-20.
Aulia, R., Zakir, A., Dafitri, H., Siregar, D., & Hasdiana (2017). Mechanism of food ordering in a restaurant using Android technology. Journal of Physics: Conference Series, 930(1), 20-30.
Bai, L., Wang, W., Yang, Y. & Gong, S. (2019). Food safety in restaurants: the consumer perspective. International Journal of Hospitality Management, 77, 139-146.
Badii, M. H., Guillen, A., Araiza, L. A., Cerna, E., Valenzuela, J. & Landeros, J. (2012). Métodos No-Paramétricos de Uso Común. International Journal of Good Conscience, 7(1), 132-155.
Baptista Gomes, K. G., Conill Gomes, M. & Meyer, A. A. (2018). Multicriterial analysis in the evaluation process of suppliers of family agriculture products in university restaurants. Espacios, 39(6), 26.
Bardwell, A. M., Stephan, J. T., Rahman, I. & Reynolds, D. (2018). A structural model evaluating the relationships among dining frequency, involvement, and restaurant attributes. Journal of Food and Service Business Research, 21(6), 642-658.
Binkley, J. K. (2018). Nutrition and food choice: home vs. restaurants. Journal of Consumer Affairs, 53(3), 1146–1166.
Brown, J. R. (2020). The competitive structure of restaurant retailing: the impact of hedonic-utilitarian patronage motives. Journal of Business Research, 107, 233-244.
Bufquin, D., DiPietro, R. B., Partlow, C. & Smith, S. J. (2018). Differences in social evaluations and their effects on employee job attitudes and turnover intentions in a restaurant setting. Journal of Human Resources in Hospitality and Tourism, 17(3), 375-396.
Carrijo, A. P., Botelho, R. B. A., Akutsu, R. C. C. A. & Zandonadi, R. P. (2018). Is what low-income Brazilians are eating in popular restaurants contributing to promote their health? Nutrients, 10(4). http://10.3390/nu10040414.
Cerdá Suárez, L. M., Robina Ramírez, R., & Palos Sánchez, P. R. (2018). The influence of health and environment-focused values on restaurateur satisfaction in organic restaurants: A descriptive analysis in Spain. Cuadernos de Gestion, 18(2), 15-36.
Chen, K. J., Yeh, T. M., Pai, F. Y. & Chen, D. F. (2018). Integrating refined kano model and QFD for service quality improvement in healthy fast-food chain restaurants. International Journal of Environment Research and Public Health, 15(7). http://10.3390/ijerph15071310.
Chen, Y. H., He, Q. & Paudel, K. P. (2018). Quality competition and reputation of restaurants: the effects of capacity constraints. Economic Research - Ekonomska Istrazivanja, 31(1), 102-118.
Choi, S., Lee, S., Choi, K. & Sun, K. A. (2018). Investment–cash flow sensitivities of restaurant firms: A moderating role of franchising. Tourism and Economy, 24(5), 560-575.
Chou, Y. C. & Chuang, H. H. C. (2018). A predictive investigation of first-time customer retention in online reservation services. Service and Business, 12(4), 685-699.
English, P. & Fleischman, D. (2017). Food for thought in restaurant reviews: lifestyle journalism or an extension of marketing in UK and Australian newspapers. Journalism Practice, 13(1), 1-15.
Ha, J. (2018). Why do people try different restaurants? The investigation of personality, involvement, and customer satisfaction. International Journal of Hospitality and Tourism Administration. http://10.1080/ 15256480.2018.1511498
Han, H., Kim, W., Lee, S. & Kim, H. R. (2018). How image congruity and satisfaction impact customer retention at luxury restaurants: A moderated mediation framework. Social Behavior and Personality, 46(6), 891-904.
Han, S., Li, Y., Jiang, Y. & Zhao, X. (2018). Exploring the persuasion effect of restaurant food product online reviews on consumers' attitude and behavior. Proceedings of the 2018 International Conference on Internet and e-Business - ICIEB '18. April 2018: ACM International Conference Proceeding Series.
Hanna, S. & Rowley, J. (2019). The projected destination brand personalities of European capital cities and their positioning. Journal of Marketing Management, 35(11-12), 1135-1158.
Hsiao, Y. H. & Chen, G. T. (2018). Customer Kansei-oriented restaurant location evaluation using Kansei Engineering. 5th International Conference on Industrial Engineering and Applications, ICIEA 2018.
Hussain, K., Jing, F. & Parveen, K. (2018). How do foreigners perceive? Exploring foreign diners’ satisfaction with service quality of Chinese restaurants. Asia Pacific Journal of Tourism Research, 23(6), 613-625.
Iacobucci, D. & Grisaffe, D. J. (2018). Perceptual maps via enhanced correspondence analysis: representing confidence regions to clarify brand positions. Journal of Marketing Analytics, 6(3), 72-83.
Jung, S. S. & Jang, S. S. (2018). To cluster or not to cluster?: Understanding geographic clustering by restaurant segment. International Journal of Hospitality Management, 77, 448-457.
Kellershohn, J., Walley, K., West, B., & Vriesekoop, F. (2018). Young consumers in fast food restaurants: technology, toys and family time. Young Consumers, 19(1), 105-118.
Ketchum, A. (2018). The place we've always wanted to go but never could find: finding woman space in feminist restaurants and cafés in Ontario 1974-1982. Feminist Studies, 44(1), 126-152.
Kim, H. S. & Jang, S. S. (2019). Minimum wage increase and firm productivity: Evidence from the restaurant industry. Tourism and Management, 71, 378-388.
Kim, M. G., Yang, H. & Mattila, A. S. (2018). The impact of customer loyalty and restaurant sanitation grades on revisit intention and the importance of narrative information: the case of New York restaurant sanitation grading system. Cornell Hospitality Quarterly, 59(3), 275-284.
Lee, W. S., Choi, C. & Moon, J. (2018). The upper echelon effect on restaurant franchising: the moderating role of internationalization. International Journal of Culture, Tourism and Hospitality Research, 12(1), 15-28.
Lefèvre, S., Abitan, L., Goetz, C., Frey, M., Ott, M. & de Blay, F. (2019). Multicenter survey of restaurant staff’s knowledge of food allergy in eastern France. Allergo Journal International, 28(2), 57–62.
Line, N. D. & Hanks, L. (2018). Boredom-induced switching behavior in the restaurant industry: the mediating role of attachment. Journal of Hospitality and Tourism Research, 43(1), 101-119.
Liu, P. & Tse, E. C. Y. (2018). Exploring factors on customers’ restaurant choice: an analysis of restaurant attributes. British Food Journal, 120(10), 2289-2303.
Mhlanga, O. (2018). The fast food industry in South Africa: The microenvironment and its influence. African Journal of Hospitality, Tourism and Leisure, 7(4), 1-16.
Mun, S. G. & Jang, S. S. (2018). Restaurant operating expenses and their effects on profitability enhancement. International Journal of Hospitality and Management, 71, 68-76.
Rashid, N. R. N. A., Abdullah, S. L. S., Noor, S. M., Kassim, K. M. & Akbar, Y. A. A. (2018). The dimensions of Islamic restaurant image and its influence on customer satisfaction. International Journal of Supply Chain Management, 7(3), 251-260.
Saulo Hermosillo, M., & Pablo González, Y. (2013). Aplicación del mapa conceptual y la prueba ?2 (Chi Cuadrada) para evaluar una webquest. IX Congreso Internacional Sobre Investigación en Didáctica de las Ciencias Girona, Comunicación con el Tema Origen De La Vida. UNAM, ENP. México.
Scopus database. (n.d.). Retrieved from https://www.scopus.com.
Spang, R. L. (2018). All the world’s a restaurant: on the global gastronomics of tourism and travel. Food and Global History, 79-91.
Souza Gomes, M. F., Lisboa Pereira, S. C. & Silva Abreu, M. N. (2018). Factors associated with the self-rated health of elderly frequenters of low-budget community restaurants in Belo Horizonte. Ciencia e Saude Coletiva, 23(11), 4007-4019.
Triola, M. F. (2018). Estadística. (12 ed.), México: Pearson Educación de México.
Yang, Y., Roehl, W. S. & Huang, J. H. (2017). Understanding and projecting the restaurantscape: the influence of neighborhood sociodemographic characteristics on restaurant location. International Journal of Hospitality Management, 67, 33-45.
Downloads
Published
Issue
Section
License
Copyright (c) 2020 Tourism & Management Studies
This work is licensed under a Creative Commons Attribution-NoDerivatives 4.0 International License.
The journal retains published articles’ copyrights, but they are simultaneously licensed under the Creative Commons Attribution License (CC BY-NC-ND), which allows individuals’ to share the relevant papers as long as authorship and publication in this journal are duly acknowledged.
