Project Management Essay Example | Topics and Well Written Essays - 1000 words - 6

Project Management - Essay Example Restaurants solve this problem and provide consumers with cooked food items. The time required to obtain cooked food does decrease but the decrease depends on the type of restaurant. Fast food restaurants have cooked food that is ready to serve with minimal need for service making them the fastest food providers. In essence, fast food restaurants have greater chances of being a business success than other larger and more exquisite restaurants for two reasons. The first advantage is that the consumer base for fast food restaurants is large and the second advantage is that the initial investment is small. In addition, fast food restaurants are more environmentally friendly since the processed food requires far less raw materials than exquisite dining options. On another note, the waste produced from fast food joints is also lower since lower amounts of food items are processed and so lower amounts of waste is produced. The other major benefactors from a fast food restaurant would be th e consumers being served and the investors backing the project. The consumers would be provided with fresh varieties of fast food in order to provide a diverse eating experience. Alternatively, the appeal of new varieties of fast food are expected to bring in attractive returns for the people investing in the proposed project. Project Risks The proposed project stands to get affected from a number of internal and external risks. For one thing, a fast food restaurant is a business that faces stiff competition at start since there are a lot of different fast food restaurants already present in the market. The presence of well established competitors means that the new business will have to create a loyal customer base and then expand it while old and new competitors exist in the market. Moreover, customers in the fast food category have already developed tastes for fast foods being offered at various kinds of fast food restaurants. This is comparable to the beverage industry, where fo r example, a Pepsi customer will not ask for Coca Cola and vice versa. There is a risk that when the new fast food restaurant opens, it may take a lot of time to develop consumer’s taste in new varieties of fast food. In the short run, this could mean a prolonged principal amount recovery period but in the long run this strategy would result in a loyal customer base. Another thing that must be kept in mind is the fragile state of the overall economy. When the economy is performing well, it could be expected that new business survival would be easy since people would be spending with an open hand. In more restrictive fiscal situations, such as the current state of the economy, consumers have smaller disposable incomes and they are less willing to take risks with their money. A consumer would prefer to take fast food from a restaurant whose taste they are already familiar with rather than trying out a new fast food restaurant. The opening up of a new business also poses some mo re familiar risks such as finding the right kind of labor and ensuring retention of good workers. For a fast food restaurant, highly capable chefs would be required to churn out recipes that can be produced in no time and that would cater to the tastes of the target market. In addition, fast food requires that the business have a committed supplier base who can deliver products at the most optimal prices. Larger fast food chains such as McDonalds and KFC have the distinct advantage of ordering in bulk and having many