The strengths of the Taco Bell company include the fact that Taco Bell is a strong international brand that the Taiwanese might have heard of thanks to their access to the Internet; low prices on the products provided for customers; the high quality of the food that is sold; the availability of food 24/7; and the possibility to eat in the restaurant or take the food away (“Welcome to Tacobell.com!”).
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The weaknesses of the considered restaurant business are that the food proposed to customers is fast food, which means that it has certain negative associations related to it, such as that it is bad for health. Also, despite being a strong international brand (“Welcome to Tacobell.com!”), Taco Bell will be less known in Taiwan than its competitors which have already entered the local market (such as McDonald’s).
The fact that the Taiwanese are generally busy people who often eat out, using fast-food restaurants such as Taco Bell for this purpose, might be an invaluable opportunity for the given business. Also, the restaurant can focus on the peculiarities of the local culture, providing the clients with dishes from the local cuisine, and can also launch healthy food campaigns.
One of the main threats includes the presence of strong competitors such as McDonald’s, which also provide similar products at prices that are affordable for the local population. (However, this threat can be addressed if the locations of restaurants are chosen appropriately.)
On the whole, Taiwan has a favorable political climate. It is stated that previously, the state was governed by the Nationalist Party, but the power was given to the Democratic Progressive Party in 1986 in a peaceful manner (Central Intelligence Agency). However, there are ongoing political issues with China, including the question of Taiwan’s sovereignty, as well as with several other countries (Central Intelligence Agency), which might pose a threat to the business.
It is stressed that Taiwan features a dynamically growing economy of the capitalist type and that the state tends to practice the policy of deregulation, which offers an opportunity (Central Intelligence Agency). Noteworthy, youth unemployment (Central Intelligence Agency) might allow for finding workers easily.
People of Taiwan are known to be generally busy, which means that they require places where they can buy food while working or during their lunch breaks. The local culture is open to accepting such foods as the ones proposed by Taco Bell.
The country is widely known as one of the Four Asian Tigers for its rather high rates of economic and technological development (Central Intelligence Agency). It has strong communications, including telephone and the Internet, which provides the technological conditions that are needed for the successful entry of Taco Bell into the local market and its promotion.
The country is run by a government that is democratic; the president is elected (Chan). Currently, there exists a tendency towards increased market deregulation (Central Intelligence Agency). Also, there exist several free trade agreements with other countries. Therefore, it might be possible to state that the legal atmosphere for opening a business in Taiwan is favorable in general.
There are several environmental threats such as the hazards of earthquakes or typhoons (Central Intelligence Agency), which might be harmful to business. Also, there exists the problem of contamination of the supplies of drinking waters (Central Intelligence Agency), which might also create an additional challenge for Taco Bell.
Central Intelligence Agency. “The World Factbook. East & Southeast Asia: Taiwan.” Central Intelligence Agency. 2017, Web.
Chan, Mignonne Man-Jung. “Taiwan in the Global Economic Landscape.” Brookings. 2012, Web.
Welcome to Tacobell.com! Taco Bell, 2017, Web.