QUOTE(kirk08 @ Aug 13 2008, 12:09 PM)
1) What type business are they in?
Asw: it's F&B, and we know F&B is a profitable business, just to name a few like old town cafe, KFC, Mc D and etc. All of them all doin so well and raking millions of dollars.
2)Can they compete with the others? Are they goin to have good business?
Steven's corner has been selling mamak food for 31 yrs now and they are still selling it til today. What there are doin now is basically expanding and rebranding into Steven's Teagarden chain cafe - and they are the 1st mamak stall to start evolving into modern style mamak cafe, isn't it BLUE OCEAN? On the other hand, Malaysian are so well accustommed to mamak food already. Now with Steven's teagarden, they can expand their business further and faster.
All the above are just my personal opinion :-)
for 1), you are giving examples of a few PROFITABLE F&B ONLY, while did not mention about many others that failed too.
for 2). Steven corner's been selling for 31 years, and they still selling today means during the last 31 years, the sustained BUT NOT IMPROVING especially in the quality of their food . If they are "strong" brand, the last 31 years should see them having opened at least 1 branch each in every state (at the very least). Why only AFTER the 30th year, they started this kind of scheme to expand?
From your rationale, if the 31 years are used as benchmark of stability , like how others said, they should be able to get bank loans to further expand their business,rather that collecting funds from the public members to do it.
Most business (if their owners are shrewd enough), after 3-4 years of stability and growth, they will try to expand. And if all goes well, the 30th year of expansion should see alot of branches. 30 years of "merely" opening 2-3 mamaks, does gives and impression that the owner is "not that a good" business person. Would anyone put $$$ and trust to the people managing this "3-mamaks-in-31-years-of-business" restaurant?
Try go survey the patrons of their current food and services, and see what's their comment.
This post has been edited by alanyuppie: Aug 13 2008, 11:27 AM