Ruth Cris

Ruth’s Chris: The High Stakes of International Expansion

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DATE: September 29, 2014

The Ruth’s Chris Steak House chain has grown at such level that it has saturated the US market. The Business Development’s team suggests it’s time to diversify and calls for an international expansion; the following countries are recommended for our future expansion plan: UAE/Dubai and Singapore

Some of the variables taken into consideration for the selections of the new markets are:

* Beef consumption

* Population

* Disposable Income

* Affinity to American Brands

* Consumer Dining Habits

Additional variables to look at are Political stability of the country Ease of doing business.

Dubai is ranked #23 in the world by World Bank for ease of doing business. UAE residents spend the most on dining out compared to anywhere else in the Middle East, with the average person splashing around AED841 ($229) a month on restaurant meals. Dubai’s high GDP per capita makes them a very attractive market for companies to take their businesses there. The UAE is considered one of the least corrupt countries in the Middle East. Dubai has established a reputation for being a low-crime and politically stable country. The ability of the UAE to withstand the impact of the global financial crisis demonstrates the UAE‘s financial and monetary stability. Dubai’s open economic policy, minimal government control and private sector regulation have played an instrumental role in attracting vast foreign direct investment (FDI).

Singapore has a growing affinity towards western brands and products. Their urbanization rate is at 100%. As of 2013 The World Bank ranks Singapore’s GDP at #4 ($55,182.48). Singapore is ranked the third wealthiest nation in the world by Forbes magazine. They are also listed as one of the most expensive countries to live in Asia. According to a MasterCard survey on consumer dining habits, Singapore...