Crafting Sustainable Competitive Advantages Through Usage of Core Competences for Restaurant Chains in Vietnam

Abstract

In the recent years, food and beverage industry in general and restaurant businesses in particular have enjoyed a growth few other industries experiences. In that surge of scale, some businesses have proven to be successful while some other has suffered great losses, even though all of them seem particularly prone to succeed at the start. As entrepreneurs and investors rush to the industry, competition becomes fiercer than ever before. Sustainable competitive advantage becomes a survival requirement for any and all restaurant businesses. Using data from general statistics, this paper shall reveal the current landscape of restaurant chains in Vietnam. In order to rise above the pack and becomes a successful business, a restaurant chain in Vietnam needs to develop and nurture its sustainable competitive advantages, including location, price, quality of food and service and deep relationship with customers. Such competitive advantages are to be built from a business’s core competencies, such as know-how, high quality raw ingredients, close relationship with land owners etc.

Keywords: Restaurant chain, core competence, competitive advantage, Vietnam.

DOI: 10.7176/JESD/10-7-02

Publication date: April 30^th 2019