Innovation and Entrepreneurship - Case Synopses - KAPAI NEW ZEALAND Essay

Innovation and Entrepreneurship - Case Synopses - KAPAI NEW ZEALAND - Essay Example And the products should not be similar to those that are available in the other restaurants. The interior of the restaurants also was clearly describing that how much the founders are in touch with an eco-friendly environment. In case of the interiors also, James and Justin had a different opinion. And their prices were such that even a single item will not cost more than that of the present minimum wages. The menu choices were like DIY (Do It Yourself). That means the restaurant will provide the different items to the customer and they themselves have to mix the items and fill it to eat. Through this the customers can understand the items used in the salad and can also have a choice in the ingredients. A wide variety of foods are available such as soup, honey, hot cakes, juice etc. The staffs got a shift of 2 to 4 hours per day. So the university students were also working as staff on part time basis. The growth of Kapai is resulted from the local support; this is because they depen ded mostly on the local suppliers. The extraordinary performance leads them to a high profit and thus, James started drawing a salary as an office staff. Since, the demand for the fast food was very high and a number of competitors such as Mc Donald’s, Domino’s, and Pizza Hut already existed, Kapai had to boost up their business. The more usage of fast food led to an over-weighted society and people started behaving very health conscious. All the restaurants tried to balance the fast food and salad items. But the health parts were ignored. The main competitor is a salad store called Reload. The urge to open the franchise increased in their minds. But the competition was very stiff. So the decision was taken to reduce the overhead costs and other expenses. And they planned to start the franchise at their preferred location. Kapai always had the first mover advantage and they wanted the people to accept it as their own. ENTREPRENEURSHIP CHALLENGES Every entrepreneur had to face some sort of challenge during their business life. This is because risk is inherent in each business. From the very stage, where the idea was generated for the venture to be closed down the challenge had to be faced. The possible challenge is â€Å"Finance, management† (Richter Meyer, 2003) for the firm i.e., naming of the firm, staff selection etc. In this case, the challenge is more like when they were running the business rather than in the start-up stage. A number of players were existing in the fast food industry in New Zealand and all of them were having a number of outlets and they were very successful entrepreneurs such as KFC, Mc Donald’s, Domino’s Pizza, Pizza Hut etc. Even though there were a lot of competitors who existed, Kapai could succeed only because they have studied the eating habit of the people and accordingly started their business and earned relatively a good profit. The next thing is that about the location for the next two stores . Their prices for each food were lower than the minimum wage rate of the country and thus the revenue-expense part was a challenge. This is because they had to pay the rent for the building, employee’s salary, purchasing of vegetables etc. Moreover, they were mostly depended on the local suppliers and tried to serve bio-degradable packaged salads and the availability