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Ruth Chris Steak

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Ruths’ Chris Steak House is one of the most luxurious restaurant in the USA that specializes in the production of very good steaks. It is a renowned brand in the usa known for quality steaks with exceptional quality customers service. Ruth Fertel started the restaurant in New Or leans , LA back in 1965.Due to its successful operations , the company decided to go public by inviting the public to invest into the business with an IPO offering in 2005 that generated over $154million in new equity capital.
The inflows of such magnitude placed the burden of performance on the management to generate enough returns for the stakeholders to justify their stakes in the business.
The executive president (Business Development), in person of Dan Hannah recommend the idea of establishing presence across the frontiers by selecting some prime target countries via new franchises, the countries that attracted the management interest are Canada, Japan, Belgium, and the United kingdom as their capita beef consumption, populations, urbanization rates and affinity with USA are in agreement with management corporate strategy.
The company has economies of scale like technical know –how, support mechanism , expertise in the business of steaks being deployed towards the franchise management , the probability of the franchise and the expansion decisions going down the drain is almost nil.
Key Assumptions: The management is looking forward to revenue and company through establishing presence in the national and international market as the most strategic steps to undertake.
Criterions:
The most important for chosen a country is the revenue growth, volume of beef consumption and strict usage of USA produced prime beef.
The other contending issues with location of franchise is in the area of quality well to -do population figures that can drive the business and their must not be any

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