Giligan’s Restaurant

A Competitiveness Evaluation Study Using Business Analysis Tools

PART ONE:

THE COMPANY
AND ITS BACKGROUND

1
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

In January 1997, Giligan's Island Restaurant & Bar was established. The name Giligan's

came from the name of their father "Guillermo or Guilly” for short combined with the old

Gilligan's Island television series.

The family of the owner was very busy serving bulk food orders and providing catering

services before Giligan's was created. It was all their delighted customers that convinced

them to set up a restaurant where anyone could enjoy their unique food quality whenever

they liked. Soon, the Alquiros Food Corporation registered with SEC to operate and

manage their company. The first venture of the restaurant on Blue Ridge, Quezon City

along Katipunan Avenue had been very successful. It paved the way for their next

branches to open. Giligan's Restaurant today operates nationwide with over 100

branches and continues to expand.

2
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

Strategy & Vision

Vision Statement

For Giligan's to be a household name and the leader in the restaurant industry with the

best value for money.

Mission Statement

We will provide our customers with our uniquely delicious and very affordable Giligan's

taste.

We will treat them with out excellent service for a total enjoyable dining experience.

We will bring Giligan's as close to the hearts and homes of every Filipino family.

Business Goals & Objectives

To expand and open new restaurant branches of Giligan's and to explore other business

opportunities in the hospitality industry.

Service Procedure

 Smile and greet the guests.

 Assist the guest and present the menu.

 Take the order and do SS-UPSELL.

 Repeat Orders and inform guest of the serving time.

 Serve the orders.

 Receive payments.

 Thank the guest and invite them to come again.

3
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

PART TWO:

ENVIRONMENTAL
ANALYSIS
o Strengths, Weaknesses, Opportunities, and Threats (SWOT) Analysis

o Political, Environmental, Social, Technological, Economic, and Legal

(PESTEL) Analysis

o Porter’s Five Forces of Competitive Analysis

4
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

STRENGTHS
 themed restaurant with nautical WEAKNESSES
ambience
 provides good food with reasonable  changes in food quality on different
prices branches
 grilled and sizzling seafood dishes  customer service
 group meals  generating millenial customers
 bar
 UNLI-rice promo

OPPORTUNITIES THREATS
o establish more branches in Visayas ! no solo meal
and Mindanao ! location
o introduce a branch internationally
! partnered with Nutri-Asia
o service delivery promotion

5
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

Factors Industry Condition

 the problem of food security stems from the policy of

Political
“Quantitative Restrictions”

 food safety

 20 percent of the food budget of a middle-income

Economic
household is spent on dining out

 spending on restaurants and hotels is the 2nd

highest in terms of consumption expenditure growth

 import more than export

 the agriculture sector lacks productivity

 margin pressures remain critical due to increases in

transportation expenses, wages and tariffs.

 increasing consumer demand for every improving

Social product

 changing consumer preference and demographics

 poor internet connection

Technological
 digital transformation

6
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

 food deficit that is exacerbated by the combined

Environmental effects of man-made and natural disasters

 reducing food waste in the tourism / food service

sector

 packaging and single use plastics are damaging the

environment

 Service Charge Law in the Philippines

Legal
 Food law

7
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

Threat of Bargaining power

new entrants: of suppliers:
MODERATE WEAK

Porter's five
forces

Threat of Bargaining power

substitutes: of customers:
STRONG VERY STRONG
Competitive
rivalry:
STRONG

8
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

PART THREE:

ANALYSES AND
INTERPRETATIONS,
INCORPORATING
SUMMARY OF
FINDINGS,
CONCLUSIONS AND
RECOMMENDATIONS
9
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

SUMMARY OF FINDINGS

The following details are the explanations regarding the information listed on the

diagrams in the previous part of this report, namely: (1) SWOT Analysis, (2) PESTEL

Analysis, and (3) Porters Five Forces of Competitive Analysis.

SWOT ANALYSIS

STRENGTHS:

 Themed restaurant with nautical ambience

Following a marine inspired theme, Giligan invests heavily on their interior design &

decoration. Most of the artwork is simply hand-picked, some collections from traveling

abroad, and some are antique pieces. Overhead ropes slinged across the walls,

authentic ship's wheel by the entrance & old bar lanterns, ancient maps illustrated and

displayed by the wall along with miniature sailing ships, lighthouses, pirates & captains

and ancient old ships, as well as enclosed nautical navigation instruments.

 provide good food with reasonable price

Gilligan's pride itself in delivering reasonably priced good food with outstanding quality

in mind to satisfy any discerning patron.

 group meals
Giligan’s restaurant offers a super discounted set meal with several combinations for

family and barkada’s. It comes from 18 different meal choices ideal for instant

celebrations.

10
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

 grilled and sizzling dishes

Appetizers like the crunchy sizzling sisig, sweet & spicy squid, Pica-Pica Platter and

the two different ways the juicy baked oysters are prepared. Meat, pork, chicken and

fish is deliciously grill and sizzle.

Some of their featured dishes are:

Giligan’s Grilled Platter – A great mix of grilled surf and turf to perfection for 4 to 5

people. Fresh off the grill mix of juicy grilled pork liempo, belly bangus, squid and

inasal chicken.

Sizzling Pork Sisig – Giligan's "must have" version of the local favorite tossed into our

special sauce and served really crunchy in each slice.

Kare-kareng Gulay – a healthy choice of Philippine stew. A

A healthy choice of Philippine stew. A delicious combination of tropical vegetables

cooked in peanut sauce served with our famous homemade bagoong.

Crispy Pata – A mouth-watering knuckle of fried pork on the outside, and juicy on the

inside.

 Bar

Local beers are offered with special promotions throughout the day, together with

cocktails for ladies and non-alcoholic beverages.

 UNLI-Rice promo

Recently, Giligan’s bring there UNLI-Rice promo due to its demand on the restaurant

industry. Eating rice in almost every meal is a must for every Filipino. It has always

11
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

been a part of their dining culture.

WEAKNESSES:

 changes in food quality on different branches

Maintaining the food quality is one of the challenges of food industry specially in

different branches. Giligan’s is known for its grilled and sizzled dishes, however,

customers seen that the food and dishes they offered in the province was much more

different compare to what it is in the Metro.

 customer service
Due to number of customers they need to serve, customer service is low. The

preparation time for the food takes longer than usual. Giligan’s is short with the number

of employees to accommodate their growing number of customers.

 Generating millenial customers

Generating millenial customers is also coping up with the trends, due to its classic

nautical theme, Giligan’s look more of a family and elders restaurant. Millenials look

on how the restaurant is in its outside appearance because of the social media. They

prefer more of instagramable ambiance, however giligan’s interior look more of classic

that needs a renovation and modernity. Also, the paint of interior needed a repaint to

restore its composition and to look appealing in the eye of the millenials.

OPPORTUNITIES:

o establish more branches in Visayas and Mindanao

Giligan’s branches in Visayas and Mindanao are only few, so it can really help if they

put more branches in that areas for their restaurant to be known for Filipino’s since they

12
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

offer a local cuisine that local people and indigenous group would love to.

o introduce a branch internationally

In the USA, there is almost 3 million OFW’s immigrants, it can be a great location for

their first venture. OFW’s always look for the local food whenever they are, and aside

from that it can aid their homesick feeling. They can also introduce food that are popular

in american’s with a bit of Filipino culture. Not only do they earn here but they’ll also

help Filipino culture to be known internationally.

o service delivery promotion

Many people do not bother to go outside and order food because there is online and

service delivery. It is more convenient and less hassle on the part of the costumer.

THREATS:

! no solo meal
It is a down side of a restaurant when there is no solo meal. Many would love to dine-

in alone and have some time to rewind and eat in an ambiance of Giligan’s.

! location
The location of Giligan’s mall branches is not noticeable by the customer. Mostly

Giligan’s is located at the corner and is far from its competitor. The chance of

generating new customers decreases because of the location.

! partnered with Nutri-Asia

The controversy with Nutri-Asia in 2018 that continues in the second half of 2019

raised an awareness to Filipino to boycott nutri-asia products. However, it is not easy

13
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

to boycott Nutri-Asia because some condiments do not have substitute from different

companies but people can boycott other restaurant partnered with Nutri-Asia like

Giligan’s. The image created by Nutri-Asia in the past years would reflect in the future

and partnered companies can be affected.

14
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

PESTEL ANALYSIS

POLITICAL and LEGISLATIVE / LEGAL FACTORS:

Food is governed by a complexity of laws and regulations that set out the requirements

of the government to be met by the operators of the food chain to ensure that the food is

safe and of quality. "Food law" applies to legislation regulating the manufacture, trade and

handling of food and therefore covers the regulation of food control, food safety and

relevant aspects of the food trade. Minimum quality requirements are included in the food

law to ensure that the foods produced are unadulterated and do not undergo fraudulent

practices intended to deceive the consumer.

ECONOMIC FACTORS:

Entrepreneurs in the restaurant and fast food industry are balancing their marketing

concerns with the rising operating costs especially of imported food ingredients. Inflation

is fast increasing in the current administration. Inflation dictates the cost of goods which

in turn dictates product pricing and consumer spending power. With inflation rising, it will

force the cost of food to rise over time, unless you find substitutes of lower quality or price

increases.

SOCIAL FACTORS:

The consumer has changed. They're capricious and loyal. They have less time but more

awareness. They shy away from shops and prefer products to experience. The consumer

of today is a completely different animal — and unrecognizable from the good old days

from their peer. For several years now, this brand of conventional wisdom has been

15
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

proliferating on the market. It seems as though there was a seismic shift in the mindset

of the consumer — and choices. To understand how, where, and why the consumer is

changing, one must understand its underlying demographics, which include much more

than just life span, fertility rate, race, and ethnicity. All critical dimensions of demographics

are health, culture, economics, and education— like geography, regionalism, and the

urban-suburban-rural divide. Comprehending these changing demographics will help

shine the light on any emerging pockets of opportunity.

ENVIRONMENTAL FACTORS:

The concept of sustainable diner, a first of its kind in the Philippines, is aimed at

transforming the food service sector into an industry with minimized environmental impact

through recognition and the adoption of environmentally friendly practices. It addresses

the value of fostering the idea of sustainable dining in the academe, noting that respect

for local cuisine and the ability to produce dishes that allow local ingredients to shine are

major perspectives that should be taught to the next generation of professionals in the

culinary and restaurants.

TECHNOLOGICAL FACTORS:

The digital fluency of millennial consumers expecting Omni channel options— buying in

shops, online, and via their smartphone — points to the urgent need for a safe, scalable

digital infrastructure.

16
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

PORTER’S FIVE FORCES OF COMPETITIVE ANALYSIS

Threat of Threat of Bargaining Bargaining Competitive

new entrants substitutes power of power of rivalry
customers suppliers
Restaurant requires Restaurant has Buyer’s hold the Giligan’s is a large- People switch
average level of various entities, power to influence scale restaurant from one
investment; making it easier the pricing which place bulk restaurant to
however high fixed for the customers decisions of a orders. The supplier another according
cost remain to look for company, has to adjust the to their demand
concern for the another restaurant industry price of raw and preference,
new entrants, restaurant if is affected by their materials according but truly Giligan’s
therefore it is Giligan’s is not choices and to the demand of still have this
MODERATE. available. There is switching behavior. Giligan’s. Power of uniqueness that
STRONG force in Power of suppliers is WEAK. really marks.
terms of customers is VERY Rivalry is STRONG.
substitutes. STRONG.

17
 Giligan’s Restaurant
A Competitiveness Evaluation Study Using Business Analysis Tools

CONCLUSION AND RECOMMENDATION

SWOT ANALYSIS

Giligan's is a stabilized restaurant that does not need much advertisement to be known,

but the theme, ambiance and food prices is enough to create a remarkable experience in

the mind of the customer. However, the analyst recommended to invest also in their

renovation, specially the repainting of the restaurant. And also, remodelling the nautical

theme to have a simple touch of modernity that would attract millenials.

PESTEL ANALYSIS

The issues in the country make it complicated for the restaurant to cope up with the

trends. However, the giligan's should focus more on the environmental and political

factors as the safety of their customer is abide with this factors.

PORTER’S FIVE FORCES OF COMPETITIVE ANALYSIS

It is an unstable war to be in a restaurant industry because there is various competitors

and the profitability of the company is based on the customers preference and demand

for the product. It is recommended for the restaurant to offer something new for the taste

of the market that can make them go back and forth to Giligan's.

18