Academic Paper from the year 2021 in the subject Business economics – Market research, grade: 98, , course: GEB 4905, language: English, abstract: This paper represents a market analysis of the quick serve and fast food restaurant industry.
The restaurant industry is highly competitive, there are currently 660 thousand restaurants in the U.S. the industry does have its barriers but it is not impossible to enter the market. The barriers consist of large capital investment, patents and trademarks, state and federal regulations, and high overhead costs.
These barriers are a moderate threat to new entries. Because there are so many restaurants buyers have the power. Restaurants must compete with each other to win the buyer. The same thing is occurring to the suppliers of the restaurants. There is always a cheaper and or simply just another supplier available. This gives restaurants all of the power.
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