S.W.O.T ANALYSIS
STRENGTH
Brand
Secret Recipe has strong term on brand building earlier on by building easy to remember logo, corporate colour, marketing strategies, uniforms and menu layout. Interior design and customer service standards of secret recipe differ than others. The strength added they have the ownership of utilizing a strong, unique and distinctive brand than competitors.

Product
Secret recipe offered high standard and quality which specially crafted and tailored. The products are monitored to maintain their quality at the production plant in Klang Valley and the restaurant also offers several of homemade cake, baked desserts, beverages, fusion foods. For example, preserved Nasi Lemak Ayam Rendang is their special menu and maintain excellent of hygiene level.

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Marketing
Secret Recipe has the strength in terms of cost as well as the marketing channels. They have utilized various methods such as advertising and marketing through internet, brochures, catalogues, flyers, newspapers and television advertisement. Secret recipe also offered special cakes and menus during special occasion such as Valentine’s Day.

Franchised System
Secret Recipe had advantage on franchise system which is they have the rights and access to data from the headquarters. All the tailored operational systems, purchasing systems, storing, products, services standards, marketing and it bring ease of operations for Secret Recipe and minimize the drawbacks.

Customers
Secret Recipe has long list of loyal customers which give the main contributors to their strength. Loyal customers are easier to handle and cost lower to maintain compare to acquiring new customer. The recognized brand of Secret Recipe had the chance to serve bigger market especially to the tourists who visit to Malaysia.
WEAKNESS
Price
The range prices offered at Secret Recipe is affordable but it only focused to serve the middle income and higher group. Lower income may not able to try on the product and it decreases the number of customer they could acquire.

Staff Turnover
Secret Recipe has witness high staff turnover. Even the problem is synonym with the industry; it will increase the cost of operation in terms of acquiring new employees and training cost.

Language Barrier
The employees at Secret Recipe are lack with communication skills especially English. It will create problems to serve international market such as tourist that come to eat at Secret Recipe. Company should train their staffs in term the way of communication so they can communicate confidently and fluently to the customer. This will make the customer fell welcomed.
Choices of menus
Malaysian customer did not have variety in order to choose on the menu. It is because Secret Recipe offers more on Western Menu such as spaghetti and chicken chop. They will not able to choose or prefer to have food in Secret Recipe.

OPPORTUNITY
Trends
Nowadays, people love to dine out and try new thing which is to pamper them with small affordable luxuries. Secret Recipe had the opportunity to serve large market and increase on the profit. As the trends is fluctuates over the time, the opportunities may become their biggest threat.

Increase number of branches
Secret Recipe has the opportunity to open another branch in the area due to high and increasing demand from the customer. It will help them to serve the market better and will increase on the profit. For example, open branch in airport will gain a lot of customers whenever flight was delay and customer can enjoy on their meal while waiting for the flight.

Promotion
Secret Recipe always had a promotion during some occasion or certain month. This is to attract the customer on having their meals. For example on October, Secret Recipe offers on buy 3 slices of cake and free one slice. Other than that, on Merdeka which is sweet 60 whole cakes is price RM60 and one slice is RM6. Customer will grab on the promotion because it offer the cheaper price than normal day.

THREAT
Competitor
There are competitors which offer similar product like Secret Recipe. For example, the competitor is Baker’s Cottage and Starbucks. This is because; they provide the same type of food such as cakes. Customer will compare with their competitor based on taste and price. The best taste will be preferred by the customer.

Food waste management
Secret Recipe faces on this threat because the cakes that are baked on a daily basis at Secret Recipe will unable to sell all the cakes and it became stale. While being unable to sell the cakes, Secret Recipe has to come up with proper ways to manage its food waste. Examples by reducing the amount of baked cakes on a daily basis or only bake the cakes upon demand to prevent such wastage occur. These measures should be given a higher emphasis to prevent this threat from harming its business operations as a whole.

PEST ANALYSIS
PEST framework is an effective marketing model crucial to implement for analysing the macro-environmental of the up growing company of Secret Recipe. It included political, economic, social and technological factors.

1. Political
Malaysia is a multi-racial country that consisted majority more than 70% of Malay Muslim civilian. It is also a modern Islamic country. Muslim food must be approved Halal by Department of Islamic Development Malaysia (JAKIM,2011). Halal certification tells Muslim that the food is produce, prepared and storage of the food is handled under monitored of Jakim Committee. Political factor to Secret Recipe is not giving more impact like alcohol industry. Understanding of the government activity towards the country deem significant. New update from the industry will bring positive and negative impact to the industry and market. In Malaysia, government gives low interest loan to certain industry and encourage business walk out of Malaysia via free tax of 5 years. This shows easier for Secret Recipe in order to expand their business in other country.

2. Economic
Business trend revise at least 2 times in a decade due to global or local factors/ influences. The change usually brings challenge to the business to excel or to quit. To do a business, owner need to adapt the new environment and improved environment. The demand makes market and influence buying behaviour. Malaysia is upper middle income country and ranked by the World Bank as the 8th wealthiest nation in the East Asia. Malaysia economy is grown and total unemployment rate was decreasing. It shows, every individual have good income and can predict strong purchasing power on the market. Most people enjoy higher living standard and eating away from home is a part of Malaysia lifestyle. Thus, Secret Recipe entering the market by offering on what foodservice market that people need and wants.
3. Social
Due to improvement of economy over the past year, living standard has been changed. Dining out has been a habit or trend to Malaysian people. Many food service retail industries popped up because of increment of eating out habit. Malaysia as a multi-racial, lingual country, naturally have multi type of food. Secret Recipe operated and provides several of food such as nasi lemak and western food. It shows, Malaysian people can taste variety type of food. Majority of Malaysian people are Muslim and the most important things is halal issue which is symbol of Halal.
4. Technological
Wi-Fi availability is now mandatory, speed is vital. Due to heavy use of smartphone and mobile internet, people will seek on Wi-Fi. Implementation of Wi-Fi, sometimes draw customer in not the food but Wi-Fi. They are individual do business under the Wi-Fi environment. There also customer come in and play game. So, Secret Recipe will provide Wi-Fi in every branch.