Fish Chips Case Study PDF
Fish Chips Case Study PDF
Fish Chips Case Study PDF
On November 2015, Mr. Shahid Haque sat in his office and pondered about the
decision he must make. He had spent the entire morning thinking of ways to change the
course of his brand and bring about a positive change. The board wasn’t convinced of his
ideas and were keener on shutting down the project entirely or change its positioning to
something posh. As the Project Manager of Crimson Fish & Chips, Mr. Haque couldn’t easily
bend down to failure. The board will sit down for the decision in 5 hours, and Shahid had to
be ready with a decision and be able to back it up with proper reasoning.
Crimson Fish & Chips was a small seafood cart that served fish and chips in the Banani
area of Dhaka City. Gaining great popularity within the youth, Crimson Fish & Chips saw
increasing sales in its inception year. However things turned for the worse at the beginning
of 2015, and the board while ignoring at first was now eager to shut down the concern.
Crimson Fish & Chips wasn’t big enough to have its own board, but it was the board
of its parent concern Crimson Suites Bangladesh that was pushing for a decision (Exhibit 1).
The board consisted of members mainly from its parent group Crimson Private Limited.
Shahid acknowledged that most of the members were not too aware about Crimson Fish &
Chips and even less were interested in the venture, which meant he had a bigger job of
convincing them of his new plans. But what made his jobs more difficult and easier at the
same time was that he had to convince one individual in the board to get the board to side
with him. That was Zubair Chowdhury.
Zubair Chowdhury was the Managing Director of Crimson Suites Bangladesh, a
veteran in the Crimson group and the initiator of several successful ventures under the
Crimson banner. He had been supporting Shahid from the very beginning of Crimson Fish &
Chips but when it comes down to business Zubair is unbiased and would do anything for
Crimson. With the latest developments Zubair was not impressed with Crimson Fish & Chips.
Rise of Crimson
Crimson Private Limited started as a pioneer in the real estate and housing industry
of Bangladesh. Established in 1988, Crimson Pvt Limited since then has not only
consolidated its expertise in the field of housing but has also expanded itself into other
related businesses. With a workforce of 3300 people, Crimson promises high quality
buildings and apartments. As Crimson Pvt Limited achieved success day after day, it
expanded into other businesses such as hospitality (Crimson Suites Bangladesh),
consultancy (Crimson Consultants), Protection and Management Services (Crimson
This case has been prepared solely as a basis for class discussion and not as an endorsement, a source of primary data, or an
illustration of effective or ineffective management. This case, though based on real events, is fictionalized, and any resemblance
to actual persons is coincidental. There are occasional references to actual companies in the narration.
Crimson Fish & Chips: Extinction or Evolution or Expansion?
1
Klein & Lien (2009).
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Crimson Fish & Chips: Extinction or Evolution or Expansion?
several customers quickly removed the soft drink from the package and priced it at Taka
200.
The price change was welcomed by the fans, and Crimson to further expand opened
its 2nd
cart in Gulshan 2. The rest of 2014 saw Crimson Fish & Chips participating in several
food fairs, partnership with Foodpanda, and another cart opening in Uttara at the beginning
of 2015. Shahid quickly became a popular personnel in Crimson and was promoted to Project
Manager of Crimson Fish & Chips. The year 2014 gifted Crimson Fish & Chips with great
returns, however 2015 was a completely different chapter.
2
Market Insight Bangladesh Fisheries Sector: Lightcastle Bangladesh (30 Dec, 2014)
3
Review of Aquaculture and Fish Consumption in Bangladesh. Malaysia: World Fish Center.
3
Crimson Fish & Chips: Extinction or Evolution or Expansion?
is delivered. With introductions of Japanese, Korean, Authentic Chinese, and many other
cuisines, the Bangladesh food scene has seen a change in the consumption behavior of the
consumers. Alongside, the introduction of higher quality food in carts have exposed the mass
consumer segment to new tastes.
Through this revolution, fish has taken a new mantel in the Bengali diet. With
restaurants and packaged fish products being offered in the market, consumers are looking
at their old fish staple in a new light. Although it’s been a few years, fish products have gained
immense popularity amongst consumers. With competition pouring in with dedicated fish
service or adding fish offerings to their menu, the fast food industry is experiencing the
growth of an alternative to meat.
Consumers in the fast food industry do not appear to be significantly affected by
pricing. With 2 million Bangladeshis joining the ranks of middle class and affluent
consumers, they are highly optimistic about the future, value foreign brands, and are
jumping onto the digital bandwagon4. These consumers care more about the quality of foods,
quality of services, food variety, pleasant environment of the outlets, and convenient
communication links with the food outlets. Furthermore as the per capita national income of
Bangladesh has crossed triple digit, consumers can now afford to consume the fast food even
in expensive outlets5.
Competition
Fish & Co.
On 21st September 2014, Fish & Co., an international seafood chain entered the
Bangladesh market. With a promise of premium service and food, Fish & Co. wasn’t really in
Crimson’s direct competitors list. However with the concept of a posh restaurant and fine
dining ambience, Fish & Co. easily won over a segment of the consumers in Dhaka. Even with
its premium pricing, the restaurant experienced great responses from the seafood lovers of
Dhaka.
Fish & Co. provided a more diverse menu than that of Crimson’s. While the Crimson
menu was limited to mainly a basic product of fish and chips, Fish & Co.’s menu covered a
wide range of products starting from different types of fish and chips to other seafood items
like mussels and calamari. This diversity of offering allowed the restaurant to create a brand
image like none other. With its already existing international image, the restaurant quickly
won the hearts of seafood lovers around Dhaka.
However with all great success comes a certain group of resistors. While Fish & Co.
was received with open arms by a majority of its customers, a certain customer sect labeled
4
Bangladesh: The surging consumer market nobody saw coming. Boston Consulting Group.
5
Consumer Behavior in Fast Food Marketing in Bangladesh. Developing Country Studies.
4
Crimson Fish & Chips: Extinction or Evolution or Expansion?
it as overpriced and unnecessarily premium6. This group of customers believed that Fish &
Co. like all other international brands was trying to fool the Bangladeshi consumer segment
into paying large prices for products that aren’t truly premium. Such perceptions are visible
at times in the restaurant’s Facebook page comments where consumers have expressed
disbelief as to how one country’s street food can be considered fine dining in another.
While resistance exist, it is only a mere minority in the consumer market. Since the
time of inception Fish & Co. has received amazing response from the consumers especially
from its target market, the upper class. Currently the brand is planning to expand its horizon
in Bangladesh with a keen eye on the rising middle class.
Saltz Restaurant
Saltz Restaurant is the true pioneer seafood restaurant in Dhaka. With a focus on fresh
and high quality products, Saltz has maintained both with great pride while its competitors
went out of business. Consumers still love the old restaurant due to its vintage nautical
themed décor with an option of both indoor and outdoor seating. Saltz also prides itself with
an impressive variety of seafood items.
Like its new counterpart, Saltz too hosts a premium priced menu. Most loyal
customers counter by saying the prices are worth it, but Saltz truly sets itself apart from
others by trying to create a relationship with its customers that is everlasting. The restaurant
has successfully created a cozy, relaxing, family brand in seafood. Saltz Restaurant since its
inception hasn’t changed much in terms of both offering and positioning.
Others
Fish and chips has become a trending item in Bangladesh by the end of 2014. By the
beginning of 2015 numerous restaurants, including those whose main offering is something
else, started to offer fish and chips. Fish Fish a seafood dedicated restaurant started in
Khilgaon recently aiming to fulfill the gap that both Pepper Restaurant and Fish & Co.Fish &
Co. has left behind. By providing seafood dishes at reasonable pricing, the restaurant aims to
serve the middle and lower middle class segment.
Other product providers like Burger & Boost and CFC have both started to provide
fish and chips besides their core product offering to tap into the demand for fish and chips.
With lowered pricing and similar tastes, these restaurants tend to nullify the point of
difference and make the item into a point of parity in Dhaka.
6
Dean, (1976).
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Crimson Fish & Chips: Extinction or Evolution or Expansion?
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Crimson Fish & Chips: Extinction or Evolution or Expansion?
Strategic Viewpoints
Shahid kept going over the strategic directions Crimson Fish & Chips could head
towards right now. He kept going through the pros and cons of each decision and its impact
not only on the business but also on employees and customers. The last meeting was not
subtle in passing the message of what most members of the board had in mind; close it down.
Each member looking at a different venture under Crimson, felt that the cart business was a
ridiculous project and believed that the money invested could have been put to better use.
While Shahid could have refuted this claim at the initial years of Crimson Fish & Chips, right
now he wasn’t so certain about it himself.
Closing down the cart would at least help save more money from being wasted but it
would mean that a Crimson venture has failed and Zubair wouldn’t take this lightly.
Employees too would be laid off and Shahid may end up leaving Crimson. Shahid couldn’t
come to the fact with the last bit, he couldn’t let go off a company he has been a part of for so
long. He needed to make Crimson Fish & Chips work, he needed to prove that it wasn’t a
worthless venture.
Shahid looked back at the initial plan he had made at the end of 2014 for Crimson Fish
& Chips. A major part of the plan was to open another cart in the Dhanmondi region after
Uttara. Most carts have prospered in terms of business when it came to Dhanmondi, at the
time Shahid had believed that his cart can also benefit by venturing into that area. But trying
to pursue such a case to the board would be quite a hassle. With two carts already closing
down, the board wouldn’t easily entertain the idea of opening another cart. Shahid could
point out the excess carts and employees from Gulshan and Uttara but the additional
investment in the location would deter the board.
A major change could also be brought about following what others did from the
beginning. Crimson Fish & Chips could be changed to a sit-in restaurant and provide the
comfort and safety that all the other shops are inherently providing. If expanding into
Dhanmondi was costly, this would be the colossal. Convincing the board regarding this
decision would be near impossible but it allows the shop to live on and more importantly,
become better for the customers. The brick and mortar model has helped others in the
market to survive, and now it may allow Crimson Fish & Chips to renew itself. However this
change in business model could lead to established restaurants like Fish & Co. and Saltz to
become direct competitors.
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Crimson Fish & Chips: Extinction or Evolution or Expansion?
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Crimson Fish & Chips: Extinction or Evolution or Expansion?
Exhibit 3
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Crimson Fish & Chips: Extinction or Evolution or Expansion?
Exhibit 4: References
1. Lightcastle Bangladesh. (2014, December 30). Market Insight Bangladesh Fisheries Sector.
Retrieved from Lightcastle BD: http://www.lightcastlebd.com/blog/2014/12/market-insight-
bangladeshfisheries-sector.
3. Munir, Z., Muehlstein, O., & Nauhbar, V. (2015). Bangladesh: The surging consumer market
nobody saw coming. Boston Consulting Group.
4. Ashraf, M. A., Akhter, S., & Noor, S. I. (2014). Consumer Behavior in Fast Food Marketing in
Bangladesh: A Case Study. Developing Country Studies, 34-44.
5. Dean, J. (1976, November). Pricing Policies for New Products. Retrieved from Harvard
Business Review Web site: https://hbr.org/1976/11/pricing-policies-for-new-products
6. Klein, P. B., & Lien, L. B. (2009). Diversification, Industry Structure, and Firm Strategy: An
Organizational Economics Perspective. Advances in Strategic Management, Economic
Institutions of Strategy, 289-312.
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