[Type the company address]

2015

SITUATIONAL ANALYSIS

“FIFTEEN APPRENTICE PROGRAM”Michelle Levin Anggasaputra

MARK 343 – ASSIGNMENT 1

4528231 GROUP A FIN 3/13

EXECUTIVE SUMMARY

Jamie Oliver is a millionaire celebrity chef. Jamie grew up

helping in his parents' in a pub in Essex, The

Cricketers, where he learnt cooking. After being successful,

Jamie opened a charity restaurant in London called Fifteen.

This organization trained fifteen disadvantaged youngsters to

work in the catering field to keep them away from doing bad

things. Those unemployed were given a chance to train as a

chef and working at Fifteen restaurant, then the profit of the

restaurant will be distributed to the benefactor of Fifteen

Apprentice Programme.

As this program successfully applied in United Kingdom, and

their food style is suitable to the western taste buds.

Fifteen has created a very innovative style restaurant, and

now Fifteen is going to a new market – Singapore. On doing it

right, Fifteen will need to do some international marketing

research.

International marketing is a performance of business activitiesthat is done outside the home country to earn profit for the

company. In doing situational analysis, the author use one of the

5C’s; Context, to analyse context the author use PESTEL analysis

to analyse Singapore environment. In political analysis,

Singapore is considered a stable country, so it is safe to open a

business there, as for tax it is quite low for a non-profit

organization. Economically, Singapore’s average income is high,

which is a good potential market for Fifteen, but it is also

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maybe a limitation for them as well because it will be hard to

find employee that suites their objectives. Socially, most

Singaporean is a socially active people, and Fifteen can offer

them a great place to fulfil their social need. Technological

improvement has given opportunity by empowering Fifteen’s

advertisements and publication. As environmentally caring,

Fifteen can be attractive for many Singaporean, as their mind-set

are all about clean and green environment. Lastly, in managing

their employees Fifteen need to refer to the regulation stated by

the Ministry of Manpower.

As for recommendation, the author thinks that Fifteen could do

some adjustment to the host country culture, and environment,

regarding from the PESTEL analysis. As for their products, they

could do some customization and innovation on their menu so it

might be suitable for Singaporean tongue. To easily find

employees, the author suggests Fifteen can approach orphanage or

some community centre. Lastly, Fifteen should likely to

emphasise on their objectives in order to win the market, as

their objectives as a company are potential to make them

sustainable in this new market.

TABLE OF CONTENTS

Executive Summary..........................................1

Table of Contents..........................................2

Introduction...............................................3

International Marketing....................................4

2

PESTEL

Politic...............................................5

Economic..............................................5

Social................................................5

Technology............................................5

Environment...........................................6

Legal.................................................6

Recommendation.............................................6

Conclusion.................................................7

References.................................................8

Appendix...................................................11

Introduction

The purpose of this essay is to analyse the market of Jamie

Oliver’s Fifteen Apprentice Program in Singapore, by focusing

on one of the 5Cs; context, in which it concern most for the

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macro-environment that affecting the market in both London

situation and Singapore situation. The author also need to

give a brief recommendation on how Jamie’s Fifteen Apprentice

Program should work their business out in order to be

successfully goes into Singapore market based on the context

point of view. Lastly, is to complete and get marks for

assignment one of MARK343

Jamie Trevor Oliver or we know the most as Jamie Oliver is a

millionaire celebrity chef, born on May 27, 1975. Jamie grew

up helping in his parents' Essex pub The Cricketers, where he

stayed in the kitchens as a tot, and doing some food

experiment. It was an early training which was to prove useful

when he left school at 16 to attend Westminster Catering

College. (Hello!, 2008)

Wanting to put his high-profile status to good use, Jamie

opened a charity restaurant in London called Fifteen. He

trained fifteen disadvantaged youngsters to work in the

catering field as the part of the tv show Jamie’s Kitchen.

“The show was a hit, and other Fifteen restaurants have been

opened across the world, from Amsterdam to Melbourne,”

(Hello!, 2008) 

Fifteen Apprentice Programme – Jamie Oliver is a platform to

give young unemployed a chance to have a better living. It is

a new innovation for the F&B industries – a restaurant build

with a charities based where the chef are all unemployed young

people. Those unemployed were given the chance to be trained

as a chef and working at Fifteen restaurant, and the profit

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will be reinvested to the individual that funds the Fifteen

Apprentice Programme. (Oliver, 2012)

Fifteen Apprentice Programme started in 2002, where 15 young

unemployed people were given the chance to get a 51 weeks of

training for F&B business from managing supplies to do service

on the floor with a lot of cooking training in between. The

reason behind this programme is that Jamie Oliver and his

foundation as a campaigning organization wants to raise

awareness of the need for food education, skills and awareness

for the quality of food all around the world, and so far they

are doing good. This apprentice programme is to give second

chance in the apprentices’ life because most of them are

considered lost in some way, while this training is to give

them support and encouragement, as the founder believe that

young people have untapped talent and often hidden by problem

in their lives and that it can be freed by passion in food and

meaningful hard work (Pierce, 2013) (Oliver, 2014)

As this program has been successfully applied in United

Kingdom, and around European region, which is the origin of

the western style food, Fifteen is consider a successful

innovative style restaurant. Now Fifteen is about to dive to a

new market in Singapore, but it won’t be that easy considering

that there are differences in culture, government regulations,

economical condition, political issues and environment.

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In the UK market, the competition is high and the price

differences is low making it harder to excel the market as a

sole player as there are many other restaurant with similar

menu. (UKEssay, 2004) As in Singapore, the market for this

type of restaurant is still an emerging market, which can be

an opportunity for Fifteen to get into the market.

International Marketing

International marketing is a performance of business

activities that is done in more than one country to earn

profit by transferring company’s good and services directly to

the consumers. (Cateora & Ghauri, 2014) To perform a

profitable business while fulfilling the customers’ needs, one

have to do a situational analysis for external and internal

factors that might be important to distinguish such issue. One

of the situational analysis models is the 5C’s model. In this

report, the author will discuss about Context.

Context is the macro-environmental factors that affect

international marketing. (NetMBA, 2010) To understand

consumption, context helps to shape values and attitudes,

influencing choices, and that context varies across and within

countries. (Douglas, 2011) As in international marketing

context, relationships may be last all around the world. It is

also affected by increment in globalization, cooperative

strategies and alliances. But also coupled with intensive

competition where company needs to think twice about their

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strategies and try to create greater mutual interdependences

relationship. (Saeed, 2003)

As to analyse context in marketing, the author use PESTEL

analysis to analyse Singapore macro-environmental factors

which constitute a large part in context, that may be suitable

for Fifteen to be a successful restaurant.

Politics

Singapore politics and government are considered as stable,

which mean it is safe to open a business here. The tax rate on

non-profit company such as the Fifteen restaurant is

considered low in Singapore, and it’s only accounted as output

tax for the donator at tax fraction of the prevailing tax rate

of 7/107 x the benefits to the donator. (IRAS, 2013) This

event is really favourable for Fifteen to open their business

in Singapore. While in United Kingdom, even non-profit

companies trading is also taxed (GovUK, 2007)

Economical

Singapore economic condition is really good, as it is a

wealthy city in Southeast Asia, and also ranked sixth on world

most expensive city. (Karaian, 2013) Its consumer price index

for consumption of food is ranked second after housing; 22.05%

(Singstat, 2014) Regarding the inflation in Singapore that has

fallen to 3.6% (K., 2013), which will increase the purchasing

power of Singapore household. As what can be seen from the

above, this could be an opportunity for Fifteen to go inside

the market successfully.

7

Social

The number of Singapore population of people with the age of

25-44 is 30.7%, which have increased from previous years.

(Anonymous, 2012) This could be Fifteen’s target market, they

will target people that have their own income and having

socially active life. As they are running as a medium-high

restaurant with price range around S$39.53 – S$ 101.95

(converted) (Oliver, 2015), this kind of a restaurant may only

suitable for people that have a pretty high income. But in

other way, due to their high income average may means that

there is less unemployed to be employed in Fifteen, this could

be a threads. Not only looking at their income, their

consumption behaviour is one of an advantage, because

Singapore people likes to try something new as this could be

seen as they want to increase their social image. (Shukla,

2012) So this could be an opportunity for Fifteen when they

enter this market.

Technological

As Singapore telecommunication system are all digitalized and

internet access is available anywhere and fast in Singapore.

Almost every household has this fibre technology. Not only

communication, food technology also getting more advanced, as

Singapore had this major in their most prestigious university

– National University of Singapore (NUS) producing fine

freshly graduates to make it possible for many F&B business to

create innovation in food, and one of them is Fifteen, as

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communication boozed their marketing, food technology help

this restaurant to create innovation through their menu.

Environment

Singapore is well known for green and clean environment. Not

only focusing on developing its economical section, it also

care about environment. Consumers in Singapore are mostly

aware about environment. A study in 2011, resulted that around

84% of consumers willing to pay average of 27% premium for

products and services that are certified as green. (Saracini,

2011) This is a really good opportunity for Fifteen restaurant

to dive into Singapore market, as Jamie Oliver himself is also

a guy with a high environmental awareness. (Oliver, 2011) This

opportunity could be a good way to make a strong relationship

between Fifteen and their customers, as developing and

nurturing relationship is important to keep their

sustainability in this market. (Saeed, 2003)

Legal

Singapore has strict regulation regarding for employment.

According to Singapore employment act, employee can maximum

works for 12 hours a day, and not required to work more than 6

consecutive hours without a break, and the duration of the

break should not be less than 45 minutes. (MOM, 2013) There is

no minimum salary/wages but it is subjected to

negotiation/mutual agreement between employer and employee.

With these inquiries, Fifteen should pay more attention to

their employees regarding their working time and salaries,

9

even if their employees are all from less fortunate

youngsters.

Recommendation

As for recommendation, the author would like to give some

suggestion that may help Fifteen to do well in their new

market. They need to be true to themselves and stick to their

objectives as a restaurant. As their objectives is to help

those youngsters who is less fortunate, then they could use it

as one of their campaign against unemployment. This could be

the social value that could keep them sustainable, even though

it is less profitable. (Ghauri, 2014) In advertising point of

view, as they trying to approach an Asian market, they should

be thinking on a suitable way of marketing, they can’t use the

one they used in UK to do advertisement here. They should do

some adjustment to the local. (Jiang, 2012) As for their

products, they could do some customization and localization to

make menu that is suitable for Asian’s tongue but still have

their own character. Lastly, to get more employees that suits

their objectives, maybe Fifteen could approach some orphanage

to find employees.

Conclusion

Fifteen is an innovative restaurant, where they hired fifteen

less fortunate young people as an apprentice where they will

get training and job to become cooks at Fifteen. As Fifteen

has gain its popularity in UK market, now Fifteen are trying

to open up in Singapore which is very new to western style

restaurant, could be a good opportunity. From the context

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analysis, Singapore is a stable country as can be seen on its

political conditions. Its economic and social condition also

in a good state, where there are a lot of potential consumers

and a large target market for Fifteen as Singaporeans have an

active social life. From technological views, Singapore is a

developed country with vast high technology communication

system, so it won’t be hard for Fifteen to do their marketing,

and channelling. Environmentally, Fifteen is a go green

company as how Jamie Oliver as their owner is. So Fifteen

won’t have a hard time to be acceptable by their target market

in Singapore. For legal views, Fifteen will have to be careful

on how they would apply to Singapore’s law, because Singapore

is well known to be a strict country. So the author would like

to recommend Fifteen to focus on their objectives, and try to

adjust their advertisement with the host country.

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APPENDIX

Consumer Price Index For Households In Different Income Groups

16