经济学论文(2):Subway in India 印度的地铁

发表于:2022-08-17 17:39:14 范文

Apart from bureaucracy, another challenge that Subway is likely to encounter in its operations in India arise from this country’s legal environment. In reference to Budhwar (2001) whereas India has significantly embraced free market economy, there are number of sectors that are either highly regulated or completely closed to foreign investors. This is particularly the cases because of the perception that these sectors play a critical role in promoting the national, social and environmental security of this nation and as such, there are restrictions in place to deter foreign direct investment in such sectors. Importantly, Budhwar (2001) notes that among the sectors that bar foreign direct investment in India include atomic energy sector, railway transport, arms and mining of some minerals such as lead and zinc. In line with this, Subway’s proposal and policies on environmental sustainability in the fast food industry should not in any way contravene the regulations on foreign direct investment as far as different sectors in this economy are concerned.


In addition to legal challenges, cultural differences also pose a significant challenge to Subway’s operations on the Indian market. Arguably, India has a rich culture that is intertwined not only with the way of life of its citizens but also with religion. On a positive, India has over the years built a culture that promotes innovativeness in its economy, and as such, its people are always seeking for ways to develop unique solutions to address their challenges (Som, 2008). In line with this, developing relationship with the local people could be beneficial to Subway in helping this restaurant to develop innovative solutions to help address sustainability issues in the fast food industry in this country. Apart from this, another cultural issue that Subway is likely to encounter in India is perception towards relationships. Notably, whereas Subway comes from a country with a culture that focused on honouring contractual agreements and closing the deal, India has a culture that emphasises on growing trust and developing long lasting relationships (Gupta & Bhaskar, 2016). This implies that for Subway to have any meaning impact in India, it needs to focus on developing long term relationship with different stakeholders in the Indian economy and society as a whole. Further, there is a growing emphasis on the use of Hindi as language in India. This means that Subway will either need to hire local expert or its expatriate employees will need to learn Hindi and seek to understand the Indian culture. In addition to this, Hindu is a dominant religion in India and as such, the understanding of this religion particularly with respects to customs and taboos as far as food is concerned is instrumental in Subway’s success on this market. For example, whereas there are customers who consumer beef products in this nation, a majority of them do not since they perceive cattle as sacred.


Subway’s strategy and competitive advantage 地铁战略与竞争优势

There are different strategies that Subway relies upon in its operations across the globe, which will play a critical role in helping this company achieve its objectives of addressing the problem of environmental sustainability in the fast food industry in India. One of the main strategies that have contributed to its success is embedded in its entry and expansion in different markets around the globe. Notably, Subway has managed to establish over 40,000 outlets across the globe mainly through franchising. In reference to Pluta-Olearnik (2011), all Subway outlets adhere to its policy on franchising and as such, issues over 3000 licences every year. Note that the successful use of franchising as a strategy is based on this company’s ability to form relationship with other entities on the market.

赛百味在其全球运营中依赖不同的战略,这些战略将在帮助该公司实现其解决印度快餐业环境可持续性问题的目标方面发挥关键作用。促成其成功的主要战略之一是其在全球不同市场的进入和扩张。值得注意的是,Subway主要通过特许经营在全球建立了40000多家分店。参照Pluta Olearnik(2011年),所有地铁营业点都遵守其特许经营政策,因此,每年颁发3000多个许可证。请注意,成功使用特许经营作为一种战略是基于该公司与市场上其他实体建立关系的能力。

Apart from franchising, Subway also relies on pricing strategy to enter, achieve and maintain leadership in a particular market. Arguably, this restaurant focuses on promoting low price foods among its customers. Notably, low pricing strategy is deeply embedded in its image to the point that this restaurant has been unable to introduce high cost foods on its menu (Pitta, 2010). As a result of this, Subway has opted to stick with the success of its low pricing approach on the market, thus enabling it to outshine its competitors. This restaurant’s pricing strategy is complemented by the fact that Subway is capable of offering personalised meals to its customers, thus satisfying the needs of their customers at affordable prices.