Waltraud Ziervogel - International Strategy

1. Should the owner of the Imbiss move to a new location?

We think that she had better move to the new place downtown. Assuming the fact that 90% of their customers are tourists that come with the help of the guide book, the address change won’t be a problem because they don’t know the current location too and are just looking on internet with maps where it is. The owner should just contact travel books editor to make the address changes and that people avoid going to the wrong place. Moreover, as long as the new location is more filled with tourists, less people will hesitate to come to the new address as long as the detour will be probably shorter for them.

For opening hours, considering it’s a new place, the owner should base itself on the nightlife around the new location.

2. Should Ziervogel open new shops?

Yes because it worked well in the new location, we can consider to open only a few stores for now to avoid being considered as a popular restaurant chain. She will have to adapt the opening hours in the new location too and maybe look for a tourist spot to reach without losing time new customers by being directly referenced in tourism books. So, During the renovation, Ziervogel could think about opening another branch in a more tourist affluent place as long as the original Imbiss stays the same though.

3. Should the Imbiss lower their prices?

There is a real price competition in the area of Berlin. With this new location the owner should look at price around her and set low price because we are not sure if tourists all come from tourist books or because of the low price. She should lead a customer survey to understand why and how people come to her place.It is cheap for some standards but in order to preserve their brand core and identity, it might not be too useful for Ziervogel to change her prices. After all, the imbiss has stayed strong for over 50 years with no changes, now is not the time to change this strategy (which consists of no particular...