Business challenge

Wil’s grill is a business that deals with fast food such as burgers, fries, and beverages. Like other small businesses, it experiences a problem in its management as the owner does not have permanent employees. As a result, it does not suffer profits which is the main aim of starting a business. To attract customers and ensure profit, the owner entered into a partnership which was a failure. He then tried sole proprietorship of the firm which made the management much more comfortable. For the success of the business, both the external and internal environment need to be controlled.

External analysis

Wil’s grill experience a lot of challenges from the external environment. It experiences competition from well-established like big foot BBQ and Satchmo’s restaurants which pose a significant threat to it. As a result, I had to look for a place with many people like Sedona and offer good quality food to compete with well-established companies.  It had to perform market research to know how to segment its products properly. On the other hand, external circumstances also affect its operation as it has to acquire trade permits and license which initially requires a lot of money.

Internal Analysis

Internally, the business experiences different challenges that affect the smooth flow of activities. Wil’s grill employ staff on a contractual basis which makes the business lack consistency in the production. This is due to a low value if the firm, which makes it difficult for it to employ staff on a permanent basis. The firm has the high opportunity as it has a high number of customers because their taste and preferences are met. On the contrary, the business experience low revenue on some seasons which is a huge internal drawback for a business.

 Exclusive alternatives

The first alternative is for the business to have a good image which requires it to venture into promotions and engage in constant research of the market segment. This is also helpful as it ensures that the business is aware of the current trends and opportunities available in the market. Secondly, managers should invest more in labor-intensive equipment, assets, and logistics to ensure that the cost of production is reduced. The brand reputation is outstanding as it is the key that opens new opportunities for more business. The competitive power of the company will, therefore, increase making it compete reasonably even with the big companies. Knowing who to produce for and tailoring products to meet the customer’s expectation makes the company have a good image. Lastly, the business motto is also vital to the excellent image, and it sells the business well hence attracting many customers.

Justified Alternatives

The company can only realize the labor-intensive method through good management, which requires employing well-performing staff that will ensure that the business activities run smoothly. The team will also help the company with research on various trends and opportunities that open a broad base for more customers and the profitability of the business. An experienced manager will help the small business to have a highly competitive power that makes it remain relevant in the market for a long time. The firm should segment its markets to target a specific group of people and tailor their products towards the group. This comes through constant research and advertisement that popularizes the business in the market. The popularity is the key to attract new customers and retain the old ones. The company should ensure that prices are fair to attract new customers and to make the products affordable to all the consumers.

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