Introduction of Taco Bell to Hungary

Seminar paper from the year 2004 in the subject Business economics - Offline Marketing and Online Marketing, grade: A plus; 0,7, Budapest Business School (Department of Marketing), course: International Marketing, language: English, abstract: Concerning the task to launch Taco Bell in Hungary, we found good reasonsto introduce it in Hungary. The research showed, that the Hungarian fast-foodmarket is with a market size of 33.6 billion HUF big enough; for example,Hungarian families go out once a month in average. Furthermore, Hungarianshave already an image in their minds of Mexico and Mexican food, like spicy foodin general and Mexican food particularly. Additionally, we have the infrastructureof our brand -family “YUM” already in Hungary. This is a tremendous advantage,because we can use the experience and the network in the Hungarian market.On the one hand, we want to maintain the global character of the brand. Buton the other hand we want to emphasize, that we recommend some changes toadapt Taco Bell to the Hungarian conditions and the market.We will position Taco Bell in the Hungarian fast-food segment, but we doknow that eating out of home is something really special for them; they are notonly concerned with time and money saving, but also they are looking for a goodsensation and experience. This is interesting, because in many WesternEuropean countries it is exactly the opposite.Our target group consists of students, business people and families, whotake part in the new middle class. Their income is increasing and they are worldopen,so they want to try out new things, for examples from Latin America.We try to fulfill this Mexican image. But to adjust on the conditions, we wantto offer beer and paprika-based sauce as an additional option, design the storelike the Hungarian image of Mexico and use home-delivery-service and one24h-restaurant.The promotional-mix emphasis sales promotions in dating -partys, becausewe can catch trails and try to find channels like the “Pestiest” to reach our targetgroup. Furthermore, we want to stress the image of being new, world-open andMexican.Concerning the price we want to orientate on the competitor-conditions andundercut it, because the Hungarians are very price-sensitive.Finally, the product will be profitable, because with eight stores and 5%market share we can reach the average sales for a Taco-Bell-store. Furthermore,the about necessary 500 customers per day are reachable.