Lotus Hepeng Chen

Innovative Entry Strategy Makes You Go Further: Creating an Entry Strategy Based on the Combination of Porter's Five Forces and the Blue Ocean Strategy for a Pizza Restaurant Lotus Hepeng Chen

The Chinese pizza restaurant market is experiencing a rapid growth and to entrepreneurs it represents exciting business opportunities. In order to explore the opportunities of competing on this market, this thesis applied two existing theories: Porter's Five Forces (PFF, Porter, 1980) and the Blue Ocean Strategy (BOS, Kim and Mauborgne, 2005) to understand the Chinese pizza restaurant market and create an innovative entry strategy for a pizza restaurant---ABFPR. The purpose of the thesis was to see if a combination of PFF and the BOS was useful for providing an analytical framework to create an entry strategy for ABFPR. Both qualitative and quantitative methods were utilized in this study. The findings indicated that PFF can help with providing an analytical framework of the Chinese pizza restaurant market, and the BOS can help creating differentiated value offerings in order to address the competition related challenges revealed during Porter's analysis. The results are relevant to entrepreneurs who are interested in opening restaurants in the Chinese pizza restaurant market and the model can benefit the entrepreneurs to exploit and develop the Chinese pizza restaurant market.