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Oppournity and Threat

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Submitted By Nikki2014
Words 1085
Pages 5
ealth concerns lead to a substantial slow down by fast food chain companies in the 1990’s. Health campaigns bombarded the media claiming that obesity was the result of excessive fast food consumption. Fear of heart conditions, damaged liver and other health conditions, resulted in lower consumption of fast food, which proved to be a major threat to fast food sellers, particularly large chains like Burger King who had thousands of outlets spread across the globe reflecting high investments in the franchise. This major setback also led to a considerable drop in value meals which had been introduced to beat stiff competition from other fast food suppliers. Such favourable pricing strategies encouraged consumers to opt for the ‘added value’ meal options, contributing further to health problems including obesity.

During this period, “Obesity was believed to cause more deaths than smoking.” (Case Study:4) Apart from consuming high levels of fast food, people hardly engaged in physical due to their working commitments and hectic lifestyles which were the main reasons for drawing crowds to fast food consumption. Had fast food companies not have catered for such a shift in demand, they would have probably been driven out of the market particularly since people have become more health conscious due to higher exposure to media and the internet – the latter being a super highway of information.

The emerging popularity of certain diets including the Atkins and the South Beach diets, which proved to be effective for many, were also a threat to the industry, thus the introduction of a much varied menu by fast food retailers. “With increased health consciousness, consumers shifted to healthy food like salads and organic food.” (Case Study: 6). Leaders in the fast food industry sought to adapt to changing consumer preferences. The provision of healthier options increased

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