HBM110N Fundamentals of Marketing, Semester One, 2011

Executive Summary
Burger King (BK) is an internationally renowned hamburger fast food restaurant headquartered in Miami-Dade Country, Florida, United States. It currently has 20 outlets in Malaysia. Commissioned by BK, this report focuses on an initial analysis of the current industry and market situation in Malaysia for assessing the feasibility of expanding BK to Sarawak. Therefore, the Marketing Management Process; market analysis, planning, implementation and control, stated by Kotler et al. (2009, p. 54), is carried out through provision of industry definition, analyzing of current market opportunities and target market selection.

The industry definition categorized BK as one of the fast food outlet under food services in the hospitality industry. To evaluate current marketing opportunities, the main competitors are being identified. On the other hand, macro environmental analysis and SWOT analysis are being conducted to obtain a better understanding of the internal and external factors. Besides, consumer behavior is being analyzed and it includes decision making process and buying decision behavior. Further marketing research is also done through 4 steps of marketing research process for better understanding of the problems faced by BK in the current market.

For selection of target market, choice of segmentation base is justified demographically (age and income). Then, a table representing the profile of segments is generated. The selected market segments are being evaluated and a market coverage strategy is being proposed. Positioning strategies are suggested as a basis to build relationship between BK and its customers. There are also strategic recommendations based on 4 marketing mix which suggest marketing strategies to attract customers.

The short and long term projection of BK is also estimated to predict the feasibility of the expansion, assuming that all the suggested marketing strategies are implemented appropriately.

HBM110N Fundamentals of Marketing, Semester One, 2011

Table of Contents
1 Introduction and Overview .................................................................................................. 1 1.1 Introduction to the Report ........................................................................................... 1 1.2 Industry Definition ...................................................................................................... 1 2 Analysing Marketing Opportunities ................................................................................... 2 2.1 Competitor Overview.................................................................................................. 2 2.1.1 McDonalds..................................................................................................... 2 2.1.2 Kentucky Fried Chicken (KFC). ..................................................................... 2 2.1.3 SugarBun......................................................................................................... 2 2.1.4 Pizza Hut ......................................................................................................... 2 2.2 Macro Environmental Analysis .................................................................................. 4 2.3 SWOT Environmental Analysis ................................................................................. 5 2.3.1 Opportunities................................................................................................... 5 2.3.2 Threat .............................................................................................................. 6 2.3.3 Weaknesses ..................................................................................................... 6 2.3.4 Strength ........................................................................................................... 6 2.4 Consumer Behavioral Analysis................................................................................... 6 2.4.1 Decision Making Process ................................................................................ 7 2.4.2 Buying Decision Behavior .............................................................................. 7 2.5 Further Marketing Research ....................................................................................... 7 3 Selecting Target Market ....................................................................................................... 8 3.1 Justification for Choice of Market Segmentation Base .............................................. 8 3.1.1 Age .................................................................................................................. 8 3.1.2 Income............................................................................................................. 8 3.2 Profile of Market Segmentation .................................................................................. 9 3.2.1 Age .................................................................................................................. 9 3.2.2 Income........................................................................................................... 10

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HBM110N Fundamentals of Marketing, Semester One, 2011 3.3 Target Market Choice and Justification .................................................................... 10 3.3.1 Evaluation of Market Segments .................................................................... 10 3.3.2 Market Coverage Strategies .......................................................................... 12 3.4 Proposed Positioning Strategy .................................................................................. 12 3.4.1 Positional Direction ...................................................................................... 12 3.4.2 Competitive Advantages ............................................................................... 13 3.5 Strategic Recommendations...................................................................................... 14 3.5.1 Product .......................................................................................................... 14 3.5.2 Price .............................................................................................................. 14 3.5.3 Distribution (Place) ....................................................................................... 14 3.5.4 Promotion...................................................................................................... 14 3.6 Short and Long-Term Projection .............................................................................. 15 4 Conclusion ........................................................................................................................... 16 5 References ............................................................................................................................ 17

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HBM110N Fundamentals of Marketing, Semester One, 2011

1 Introduction and Overview

1.1 Introduction to the Report Burger King (BK) Malaysia is considering whether to expand to Sarawak and we have been commissioned to conduct an initial analysis in the Malaysian market. Therefore, this preliminary marketing report is developed to give recommendations to BK Malaysia regarding the feasibility and profitability of their expansion. The business targets at kids, teens and adults. The business may be operated by Cosmo Restaurant Sdn Bhd since they own the most franchises of BK in Malaysia.

1.2 Industry Definition

Leisure

Cafes

McDonald's

Accommodations Hospitality Industry Food Services

Restaurants

KFC

Fast Food Outlets

Sugarbun

Tourism

Public Houses

Pizza Hut

Night Clubs

Burger King

Figure 1 Industry Definition for BK (Stanley St Labs n.d.)

Figure 1 above shows industry definition for BK. It is started with hospitality industry that is divided into four categories; leisure, accommodations, food services and tourism. The food services are then divided into cafes, restaurants, fast food outlets, public houses and night clubs. Based on Figure 1, BK is under the fast food outlets category.

Launching Burger King in Sarawak

HBM110N Fundamentals of Marketing, Semester One, 2011

2 Analysing Marketing Opportunities

2.1 Competitor Overview Based on industry definition shown in Figure 1, some of the most popular fast food outlets in Malaysian market are McDonalds, Kentucky Fried Chicken (KFC), SugarBun and Pizza Hut. These fast food outlets will be the main competitor for BK in the market. 2.1.1 McDonalds. McDonalds is famous for their hamburger and they are the worlds largest chain of hamburger fast food outlets. Some of the marketing strategies conducted by them are such as giving out free Coca-Cola Can Glass to the customers if any large McValue meal is purchased with a sundae. If customers come to the outlets between 12pm to 3pm, the McValue lunch set will be cheaper. Also, they have a weekday breakfast special promotion set whereby the price starts from RM4 and there are free refills for dining in customers (Golden Arches Restaurants Sdn. Bhd n.d.).

2.1.2 Kentucky Fried Chicken (KFC). KFC is well-known for their fried chicken that is cooked with 11 types of herbs and spices. Besides chicken they also sell rice, porridge, burger, desserts, soup and some beverages. The only thing that KFC lacks in the menu is noodle or pasta. To compete with McDonalds, KFC offers breakfast set that starts with similar price which is RM4. Other marketing strategies used by KFC are such as coming out with chicken chop sets which cost RM9.90 and lunch treats that cost less than RM6 (KFC Holdings (Malaysia) Bhd n.d.).

2.1.3 SugarBun. SugarBun is known for selling variety of foods such as pizza, spaghetti, pasta, chicken, burger, rice, dessert, beverage in Sarawak. So far, SugarBun has not used any significant marketing strategies other than regenerating new menu which offers variety of foods (SugarBun Corporation Bhd n.d.).

2.1.4 Pizza Hut According to the menu of Pizza Hut Restaurants Sdn. Bhd. (n.d.), they sell pasta, chicken, soup, rice dessert and beverages but not burger. The most recent marketing strategy used by Pizza Hut is the 50% discount on selected foods and it is being offered from Monday to Launching Burger King in Sarawak 2

HBM110N Fundamentals of Marketing, Semester One, 2011 Friday. Another promotion is the Sensasi Delight set whereby extra 25% of cheese is added without extra cost.

Table 1 below shows approximate market shares of the major competitors in Malaysia and in Sarawak with regard to the number of outlets. It can be seen that KFC is the largest competitor at both national and state level. SugarBun is focused mainly in Sarawak and it has the second biggest market share. Pizza Hut and McDonalds have about the same market share in whole Malaysia but there is more Pizza Hut than McDonalds in Sarawak.

Table 1. Main competitors and their approximate market shares in whole Malaysia and in Sarawak (KFC Holdings (Malaysia) Bhd n.d., SugarBun Corporation Bhd n.d., Pizza Hut Restaurants Sdn. Bhd. n.d. & Golden Arches Restaurants Sdn. Bhd n.d.) Total number of outlets in Malaysia 500 27 204 200 Approximate market share in Malaysia in terms of number of outlets (%) 54 3 22 21 Total number of outlets in Sarawak 36 26 12 6 Approximate market share in Sarawak in terms of number of outlets (%) 45 32.5 15 7.5

Main competitors

KFC SugarBun Pizza Hut McDonalds

Launching Burger King in Sarawak

HBM110N Fundamentals of Marketing, Semester One, 2011 2.2 Macro Environmental Analysis Kotler et al. (2009, p. 89) stated that macro environment analysis consists of six forces which are demographic, economic, natural, technological, political and cultural forces. Analysis implications for the macro environmental forces are shown in Table 2 below.

Table 2. Types of Macro Environmental Analysis Main forces of Analysis and Implications Lee (1996) stated that the expanding population of Malaysia will influence the demographic environment. Demographic Environment Based on a survey done by MYB (n.d.), BK has taken up to 12.73% votes from citizens of Malaysia as their second favorite fast food restaurant. Thus, launching of BK in Sarawak is favored in terms of the demographic environment. Primary targets of BK can be upper and average class which have more disposable income. Economic Environment Technological Environment Currently, unemployment rate in Malaysia is about 5% (Wikipedia n.d.). To minimize future economic depression, BK should take initiative to monitor interest and unemployment rate. BK should consider fuel price fluctuation and fuel crisis since the fuel price is unstable in Malaysia (Scribd 2009). Due to agricultural and industrial development in Malaysia, natural environment has been placed in danger (ThinkQuest n.d.). Natural Environment BK can use recycled paper to wrap hamburgers and therefore reduce the usage of raw materials such as timber. BK can also use paper instead of polystyrene boxes due to increased pollution (Kotler et al. 2009, p. 89). Along with increase in application of technology in Malaysias food industry, BK should use computer ordering system to speed up their customer service. To improve product quality and services, BK should invest in technological innovations (Scribd 2009).

Macro environment

Launching Burger King in Sarawak

HBM110N Fundamentals of Marketing, Semester One, 2011 Malaysia is a Muslim country and therefore the issue of Halal and Haram should not be taken lightly by BK. Thus, they should make Political Environment sure that no pork is served if they want to attract Muslim customers (Scribd 2009). Also, BK has to follow health and safety procedures that have been set by the Malaysian government (Kotler et al. 2009, p. 89). Mirandah (2008) revealed that one in every five adults in Malaysia is either overweight or obese due to their own cultural environment. Thus, BKs grilled patty with lower fat content Cultural Environment compared to fried patty is less fattening and is healthier. The market is more likely to buy fast food if they are concerned with convenience and fast services. In contrary, they are less likely to buy fast food if they are concerned with fitness and health (Kotler et al. 2009, p. 89).

2.3 SWOT Environmental Analysis

SWOT stands for strengths, weaknesses, opportunities, and threats. To meet the needs of the key market it is important to analyse the internal marketing strengths of the organisation. Strengths and weaknesses must be identified, so that a marketing strategy which is right for the business can be decided upon. Once the strengths and weaknesses are determined, they are combined with the opportunities and threats in the market place. This is known as SWOT analysis. SWOT analysis is a tool for auditing an organization and its environment. It is the first stage of planning and helps businesses to focus on key issues. Once key issues have been identified, they feed into marketing objective.

According to Kotler et al. (2009, p. 58), SWOT is used to classify the opportunities, threats, strength and weaknesses that a product faces, which in our case refers to products of BK.

2.3.1 Opportunities Marketing Teacher Ltd (n.d.) claims that BK has taken initiative in developing new breakfast food since they do not have one. They are also planning to provide a new healthier menu items for consumers to increase their opportunities in the market.

Launching Burger King in Sarawak

HBM110N Fundamentals of Marketing, Semester One, 2011 2.3.2 Threat According to the Malaysian Industrial Development Authority (2009), there is an increase of demand for organic food due to increasing number of consumer awareness in health and nutrition value. So, consumer habits may change towards healthier food choices. Also, it will be difficult for BK to penetrate through the market during its initial stages since there are intense competitions from the competitors.

2.3.3 Weaknesses Marketing Teacher Ltd (n.d.) suggested that the major weakness for BK is that they rely heavily on franchise to execute their brand promises.

2.3.4 Strength The biggest strength for BK is they have 58 years of experience in running a fast food restaurant that dates back to 1954. Also, BK is the worlds second largest hamburger fast food outlets and has strong brand equity. Other than that, Marketing Teacher Ltd (n.d.) stated that approximately 90% of the BKs outlets are owned through franchising. Thus, BK can expand their company with minimum cost and at the same time collect extra money from the franchises.

2.4 Consumer Behavioral Analysis According to Kotler et al. (2009, p. 163), factors influencing consumer behavior include Psychological, Personal, Cultural, Social, Buyers responses, Environmental influences and Marketing programs.

In terms of psychological influences, people feels motivated to visit fast food restaurants they have perception that fast foods are tasty, clean, convenient, fast and fresh. With regard to personal influences, people are getting busier nowadays and they tend to have their meals faster. Thus, a lot of people have adapted fast food as part of their lifestyle. In terms of cultural and social influences, Malaysia comprises a multiracial and multicultural society. Since all fast foods are halal in Malaysia, majority of the kids, teens and adults from different races have been to fast food restaurants regardless of their cultural and social backgrounds.

Launching Burger King in Sarawak

HBM110N Fundamentals of Marketing, Semester One, 2011 2.4.1 Decision Making Process According to Kotler et al. (2009, p. 177), the 5 buyer decision processes in sequence are Need recognition, Information search, Evaluation of alternatives, Purchase decision and Post purchase evaluation. First, consumer may feel hungry and develop desire for fast foods. Consumer will then search for information such as the location of available fast food outlets, their operating hours, the menus, special offers and deals. Then, consumers will evaluate between different fast food alternatives such as Pizza Hut, SugarBun, Kentucky Fried Chicken (KFC) or McDonalds. After an alternative is chosen, consumer will proceed to the chosen fast food outlet to fulfill his purchase decision. After the purchase, consumers will either be satisfied or dissatisfied according to their expectations of the foods.

2.4.2 Buying Decision Behavior Having meals at BK is considered a low involvement purchase because it is inexpensive and it requires less thought and effort. The associated buying decision behavior could be habitual or variety-seeking buying behavior. Whilst some consumers tend to order the same food each time they visit BK, some may want to switch between different burgers, side dishes or drinks.

2.5 Further Marketing Research Marketing research is defined as The function that links the consumer, customer and public to the marketer through information that is used to identify and define marketing opportunities and problems; to generate, refine and evaluate marketing actions; to monitor marketing performance; and to improve understanding of the marketing process. (Kotler et al. 2009, p. 127). Market research is crucial for analyzing marketing opportunities, identifying actual problems and needs of the marketplace. According to Kotler et al. (2009, p. 130), the 4 steps of marketing research process are defining the problem and the research objectives, developing the research plan, implementing the research plan, interpreting and reporting the findings.

Major competitors are defined as a problem. Thus, the associated research objective is to identify the major competitors and their current market share, as demonstrated in Table 1. Secondary data regarding number of outlets were collected from their official websites.

According to our observation, the menu prices for BK are generally more expensive compared to its competitors. This can be the biggest problem encountered by BK if the Launching Burger King in Sarawak 7

HBM110N Fundamentals of Marketing, Semester One, 2011 expansion is established. The second problem is the taste and wants, likes and dislikes of our target group (kids, teens and adults). Thus, our objective is to conduct detailed survey on these aspects of our target group. Primary data can be gathered through observation, survey or experiment as part of the research plan (Kotler et al. 2009, p. 136-140). Secondary data may also be useful. After relevant data has been collected, they shall be interpreted and corresponding measures have to be carried out to improve customer value and to fulfill their taste and wants as much as possible.

3 Selecting Target Market

3.1 Justification for Choice of Market Segmentation Base Kotler et al. (2009, p. 230) stated that they are four main bases that can be used to analyze market segmentation, which are geographic, demographic, psychographic and behavioural segmentation. Age and income are two variables of demographic that will be used to segment BK market.

3.1.1 Age Needs and desires of consumers vary with age; in this case we will divide age into three segments which are kids, teens and adults (Kotler et al. 2009, p. 232). In general, kids can easily be reached because they will influence their parents buying decision especially when they go out for lunch or dinner. The market is large for this segment since kids are easily attracted to new products. Teens consist of age group that is between 10 to 20 years old. It is common for them to have their lunch at a fast food outlet because the place is comfortable and safe to hang out (MunFitnessBlog 2008). Adults have the highest purchasing power since their incomes are fixed. This segment of group can also be reached and served easily.

3.1.2 Income Kotler et al. (2009, p. 232) also proposed that market segmentation can be done by dividing the market into different income groups such as low, medium and high income earners. Group with lower income has lower purchasing power and therefore BK can propose to sell some products at a lower price. Group with medium income is larger and they are easily reachable. Group with high income has higher purchasing power compared to low and medium groups, thus they can afford more expensive products and will tend to spend more.

Launching Burger King in Sarawak

HBM110N Fundamentals of Marketing, Semester One, 2011 3.2 Profile of Market Segmentation Table 3 and Table 4 below show profiles of market segmentation in terms of demographic segmentation. Market can be segmented in many ways but not all segmentations are effective. According to Kotler et al. (2009, p. 240), market segments must be measurable, accessible, substantial and actionable in order to be effective.

Table 3. Age Profile Age Kids Description Below 10 years old Lifestyle Adults Above 20 years old Highly active Seeking fun Highly sociable Seeking confidence Heavy users Active at work and socializing, seeking assurance

Youngters Between 10 and 20 years old

Table 4. Income Profile Income Low Medium High Description Earn below RM1000 Earn between RM1000 Lifestyle and Light users Medium users Average spending Heavy users

RM3000 Earn above RM3000

3.2.1 Age Adults and teens are more accessible compared to kids who do not have purchasing power. BK has taken some action such as providing set meal for kids, lunch set meal for teens and adults. In addition, adults and teens have the highest substantiality because they are the ones who would usually spend money. However, it is difficult to measure the expenditures of kids, teens and adults since there are no relevant or specific records (Kotler et al. 2009, p. 240).

Launching Burger King in Sarawak

HBM110N Fundamentals of Marketing, Semester One, 2011 3.2.2 Income Low, medium or high income profile can easily be identified and measured because there are data on the demographic income in database of a company. The income profile is also substantial since this segment of market is large and profitable as it targets almost every individual. Also, it will be easy for BK to obtain the income profile if relevant advertisement is carried out (Kotler et al. 2009, p. 241).

3.3 Target Market Choice and Justification 3.3.1 Evaluation of Market Segments Since market segmentation has been analyzed, age and income segment should be evaluated to decide on the segment that is most servable. Kotler et al. (2009, p. 241) stated three factors that are crucial in evaluating market segmentation; segment size and growth, segment structural attractiveness, company objectives and resources. Factors affecting structural attractiveness are competitors, substitute products, power of buyers and power of suppliers (Kotler et al. 2009, p. 242). Table 5 in the next page shows market segments evaluation.

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HBM110N Fundamentals of Marketing, Semester One, 2011 Table 5. Market Segments Evaluation (Kotler et al. 2009) Market Segment Segment Size and growth Competitors: McDonalds, Structural Attractiveness Company Objectives & Resources KFC, Structurally attractive.

Pizza Hut, SugarBun and other food Matches BKs long run outlets. Kids Small objectives. BK has the

Substitute Products: Kids set meal of skills and resources to McDonalds and KFC may be the succeed substitute as they give free toy. As for competitors teens and adults, foods from other fast segments. food or non fast will food outlets the over in its these

Teens

(competitors) substitute. Power Large of

comprise

Buyers: with

Customer

is

fragmented

little

bargaining

power, BK faces weak buying power. Adults Power of Suppliers: Strong supply power since BK has supplier for all franchise in the world. Competitors: Cafe, Coffee shop and Structurally public house or other fast food outlets. Low Income attractive. Matches BKs long run

Substitute Products: Other fast food objectives. BK has the Small or non fast food outlets that sell skills and resources to cheaper food compared to BK. succeed over in its these

Power of Buyers: Since customers competitors are fragmented and has little influence segments. Medium Income Large High Income on the price or product, BK faces weak buying power. Power of Suppliers: Strong supply power since BK has supplier for all franchise in the world.

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HBM110N Fundamentals of Marketing, Semester One, 2011 3.3.2 Market Coverage Strategies With respect to Kotler et al. (2009, p. 242), BK should decide on the number of segments that they intend to serve after evaluating different types of market segments. There are three types of market coverage strategies, namely undifferentiated, differentiated, and concentrated marketing. However, only differentiated strategy will be adopted whereby each market segments is provided with unique offers and promotions. By targeting different market segments, BK can achieve higher sales and a stronger stand in each market segment.

3.4 Proposed Positioning Strategy Based on market segmentation, age and income will be adopted as BKs market segments. Kotler et. al. (2009) stated that a positioning strategy attempts to differentiate the offer from its competitors on attributes or benefits considered important by a target market.

3.4.1 Positional Direction The factors that will be used to differentiate BK from its competitors will be based on service, quality and status. Figure 2 shows BK position among its competitors. Figure 3 shows repositioning moves necessary for BK to appeal more closely to its specific segments.
High perceived quality and status McDonalds Kentucky Fried Chicken (KFC) Pizza Hut BK Extensive personalized service Sugarbun

Limited service Less personal

Low perceived quality and status

Figure 2 Fast food outlets positioning

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HBM110N Fundamentals of Marketing, Semester One, 2011

BK

McDonalds Kentucky Fried Chicken (KFC) Pizza Hut

Limited service Less personal Sugarbun

Extensive personalized service

Low perceived quality and status

Figure 3 BKs position after repositioning

3.4.2 Competitive Advantages Competitive advantages can be differentiated based on product, personnel, image or services (Kotler et al. 2009, p. 250). Based on the market segments, product differentiation will be chosen as a means of competitive advantage. Therefore, BK should have more advantages on its products compared to its competitors.

Below are some advantages of BK products: BK take precautions to make sure that their food is safe and the procedures for the food preparations are constantly followed (BK Corporation 2009). BK offers more than 350 unique meal combinations which contains little or more than 650 calories (BK Corporation 2009).

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HBM110N Fundamentals of Marketing, Semester One, 2011 3.5 Strategic Recommendations Strategic recommendations for BK will be made based on the marketing mix which consists of product, price, distribution (place) and promotion (Kotler et al. 2009, p. 407).

3.5.1 Product BK should offer Have It Your Way brand promise to its consumers in Malaysia. Based on BK Corporation (2009), Have It Your Way brand promise allowed teens and adults to customize the size of their own meal portion, which also allowed changes in calorie content of their meals. For example, they can customize their meals by ordering a Whopper sandwich without mayonnaise. Based on BK Corporation (2009), Have It Your Way brand promise allowed kids and their parents to choose a beverage, side dish and an entre, such as fat free milk and BK Fresh Apple Fries.

3.5.2 Price Price for meal customizations will be low during its promotional stage and discounts will be given for every meal customizations despite the costly advertising and promotional activities. During this stage, BK will make high profit. Prices of products that are used in meal customizations are going to be stabilized to remain competitive.

3.5.3 Distribution (Place) The distribution channels for BKs product are BKs outlets in Malaysia. Transportation modes such as motorcycles and vans can be used to deliver foods to customers who do not dine inside the restaurants.

3.5.4 Promotion Growth of BK relies heavily on effective promotion and advertising. A lot of money will be invested during the promotional stage of BKs Have It Your Way brand promise. Promotion of the product will be conducted in the form of advertisements such as television commercials, billboards, leaflets, banners and newspapers such as The Star, The Borneo Post, Harian Metro and The Times. BK can also to promote themselves as having bigger portion or having distinctive flame-broiled burgers to distinguish themselves from their competitors. Projected outcomes of the promotional programs are going to be favorable if the promotional and advertising activities run smoothly. Launching Burger King in Sarawak 14

HBM110N Fundamentals of Marketing, Semester One, 2011 3.6 Short and Long-Term Projection Based on BKs sales in Canada, there is a significant increase in sales in three years. The cumulative increase of 37.7% is based on weekly sales reports for three years from all BKs restaurant in Canada (Barham, Malley & Sansom 1995). This resulted from BKs campaigns which include advertising and promotional works. Therefore, based on Canadian BKs achievements, BK in Sarawak can expect similar achievements after initial opening and also in the long run.

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HBM110N Fundamentals of Marketing, Semester One, 2011

4 Conclusion
Based on initial analysis conducted on the Malaysian market, it has been discovered that BK will encounter problems competing with strong competitors in Sarawak. The main competitors, from biggest to smallest, are KFC, SugarBun, Pizza Hut and McDonalds. To survive in Sarawaks market, BK has to make sure that they carry out the recommended positioning strategy and the strategic recommendations for maximal market penetration.

With regard to viability of the expansion, macro environmental and SWOT analysis assisted in a clearer picture of the internal and external factors. With consumer behavior analysis, the factors influencing consumer behavior, the way they make decisions and their buying decision behavior are better understood. Marketing research gave more thorough information regarding the problems that might be faced in terms of the expansion.

Selecting target market based on the marketing principles is an important step for a huge organization like BK. With demographic factor chosen as the segmentation base (age and income), market segment opportunities are revealed. Through proposed positioning strategy and strategic recommendations, BKs products can be distinguished from its competitors.

With marketing opportunities analyzed and all criteria of target market selection assessed, we are convinced to say that BK can be expanded to Sarawak provided that all our recommendations and proposals are taken into full consideration.

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HBM110N Fundamentals of Marketing, Semester One, 2011

5 References
Barham, D, Malley, R & Sansom, D 1995, BK: creating a whopping presence, Canadian Congress of Advertising, viewed 15 April 2011.

BK Corporation n.d., BK History, BK Corporation, viewed 22 April 2011, <http://www.burgerking.com.my/about_us.php>.

BK Corporation 2009, BK Positive Step, BK Corporation, viewed 27 April 2011, <http://www.BK.com/cms/en/us/cms_out/digital_assets/files/pages/BK_CR_Report.pdf>.

BK Corporation n.d., Find A BK, BK Corporation, viewed 22 April 2011, < http://www.burgerking.com.my/find_a_BK/default.php>.

BK Corporation n.d., Menu: WhopperJr , BK Corporation, viewed 26 April 2011, <http://www.burgerking.com.my/menu/burgers/whooperJr.php>.

Golden Arches Restaurants Sdn. Bhd n.d., Highlights, Golden Arches Restaurants Sdn. Bhd, viewed 20 April 2011, <http://www.mcdonalds.com.my/ourfood/menu_items.asp>.

Golden Arches Restaurants Sdn. Bhd n.d., Locator, Golden Arches Restaurants Sdn. Bhd, viewed 20 April 2011, < http://www.mcdonalds.com.my/locator/restaurant.asp >.

Golden Arches Restaurants Sdn. Bhd n.d., Menu Items, Golden Arches Restaurants Sdn. Bhd, viewed 20 April 2011, <http://www.mcdonalds.com.my/ourfood/menu_items.asp>. KFC Holdings (Malaysia) Bhd n.d., Colonels Menu, KFC Holdings (Malaysia) Bhd., viewed 20 April 2011, <http://www.kfc.com.my/colonel-latest.php>.

KFC Holdings (Malaysia) Bhd n.d., Jom KFC, KFC Holdings (Malaysia) Bhd., viewed 20 April 2011, < http://www.kfc.com.my/main.php >. Kotler, P, Adam, S, Denize, S & Armstrong, G 2009, Principles of Marketing, 4th edn, Pearson Education, Sydney, Australia. Launching Burger King in Sarawak 17

HBM110N Fundamentals of Marketing, Semester One, 2011 Lee, KC 1996, The Fast Food Market: A Study of Buying Behaviour and Restaurant Image, vol.26, no. 2, The Journal of The Malaysian Institute of Management, Malaysia Management Review (MMR), viewed 22 April 2011.

Malaysian Industrial Development Authority (MIDA) 2009, Industries in Malaysia: Food Industry, MIDA, viewed 17 March 2011,

<http://www.mida.gov.my/en_v2/index.php?page=food-industries>.

Marketing Teacher Ltd n.d., BK SWOT, Marketing Teacher Ltd, viewed 22 April 2011, <http://www.marketingteacher.com/swot/burger-king-swot.html>.

Mirandah, P 2008, Malaysia Debates on Fast Food Ads, Global Advertising Lawyers Alliance Newsletter, viewed 30 April 2011,

<http://www.galagazette.com/articles/malaysiaFastFood0407.html>.

MunFitnessBlog 2008, Why Teenagers Like Eating Fast Food?, MunFitnessBlog, viewed 25 April 2011, <http://munfitnessblog.com/why-teenagers-like-eating-fast-food/>.

MYB n.d., Fave Fast Food Restaurant in Malaysia, MYB, viewed 30 April 2011, <http://www.malaysianbabes.net/forum/topic/7985-fave-fast-food-restaurant-in-malaysia/>.

ThinkQuest n.d., Pollution Faced in Malaysia, Think Quest, viewed 30 April 2011, <http://library.thinkquest.org/11353/gather/malaysia.htm >.

ThiPizza Hut Restaurants Sdn. Bhd. n.d., Hut Locator, Pizza Hut Restaurants Sdn. Bhd., viewed 20 April 2011, < http://www.pizzahut.com.my/coolstuff/hut_locator.html >.

Pizza Hut Restaurants Sdn. Bhd. n.d., Pizza Hut Worldwide History, Pizza Hut Restaurants Sdn. Bhd., viewed 20 April 2011, <http://www.pizzahut.com.my/dining/about-history.html>.

Scribd 2009, Macro Environment & Marketing Mix, Scribd, viewed 24 April 2011, <http://www.scribd.com/doc/43807509/McDonalds-Managing-Market>.

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HBM110N Fundamentals of Marketing, Semester One, 2011 Scribd 2008, Porters Five Forces, Scribdm viewed 29 April 2011,

<http://www.scribd.com/doc/99965/Porters-Five-Forces-What-it-means-for-your-business>.

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St

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Wikipedia

n.d.,

Economy

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Malaysia,

Wikipedia,

viewed

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<http://en.wikipedia.org/wiki/Economy_of_Malaysia>.

WikiSWOT n.d., Buger King SWOT Analysis, WikiSWOT, viewed 22 April 2011, <http://www.wikiswot.com/SWOT/6_Restaurants/Burger_King.html>.

Launching Burger King in Sarawak

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