BUS251 (BUSINESS COMMUNICATION)

SECTION : 18
SUMMER 19

SUBMITTED TO
HAMIDA MOSHARRAF MONIEA (HMM1)
LECTURER
DEPARTMENT OF MANAGEMENT
BUSINESS SCHOOL OF BUSINESS & ECONOMICS
NORTH SOUTH UNIVERSITY
COMMUNICATION
SUBMITTED BY “GROUP 2”
REPORT ON NAME ID
AHMED SHEFA LAM 1620217030
APPLEBEE’S SADAAT KHAN 1610409030
MAJLISH
BUS251 FINAL PROJECT, SECTION 18, MD NAFIUL KADIR 1610698030
SUMMER19, COMPANY NAME: SAKIBUL HASAN 1610708630
APPLEBEE’S FATIMA AKTER 1612362630
AHMED SHAKYIK 1610591030

SUBMITTED ON: 28 AUGUST 2019

 Business Communication Report on Applebee’s

Letter of Transmittal

28th August 2019

Hamida Mosharraf Moniea (HMM1)

Department of Management

School of Business & Economics, North South University

Subject: Submission of final group project on Applebee’s

Dear Ma’am,

We are pleased to present you the final group report on the business communication of

Applebee’s. For presenting this report, we have tried our very best to include all relevant

information and necessary plans to show clear communication faults, strategies and differences

between Muslim and non-Muslim countries which is informative and detailed. We have gained a

remarkable practical experience which will be helpful in understanding communication further.

We also successfully applied our course knowledge to make the report. We used different

marketing tools to highlight different perspectives too. Thank you for believing in us and giving

us this wonderful opportunity to work in such an exciting project.

Sincerely,

Ahmed Shefa Lam (Group Leader)

Sadaat Khan Majlish

Md Nafiul Kadir

Sakibul Hasan

Fatima Akter

Ahmed Shakyik

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 Business Communication Report on Applebee’s

Abstract

This report is written on different business communication perspectives of an American food

chain company, Applebee’s focusing on the Muslim community. International restaurants or

food chain offer their food and other experience differently which varies from country to country

or community to community. Our focal point is to find out how Applebee’s is different from the

Muslim community than the non-Muslim community in terms of delivering foods, offers,

environment, and overall experience. We also showed diverse marketing strategies and major

mistakes. Promotional campaigns focusing on Muslim communities are also highlighted and

criticized. Discrimination, racism, failed promotional efforts, as well as marketing campaign, are

the major faults of Applebee’s to the Muslim community. SWOT, 7P’s and PEST analysis

showed a different aspect of Applebee’s which is written considering the Muslim community.

We also recommended what can be corrected to operate better for Muslim community so that the

company exists in the long run.

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 Business Communication Report on Applebee’s

Table of Contents

Introduction ..................................................................................................................................... 5

Background of Applebee’s ............................................................................................................. 6

Applebee’s operating countries (Muslim) ................................................................................... 6

Menu differences between Muslim and non-Muslim majority country...................................... 7

Color, logo differences between Muslim & non-Muslim countries............................................ 7

Company Analysis .......................................................................................................................... 8

SWOT Analysis of Applebee’s in Muslim community .............................................................. 8

Marketing Mix 7p’s................................................................................................................... 18

PEST Analysis........................................................................................................................... 26

Communication mistakes made by Applebee’s ............................................................................ 29

Racial Judgment ........................................................................................................................ 30

Marketing campaign fault by Apple bees in Muslim community............................................. 31

Successful campaign by the Apple bee’s in Muslim community ................................................. 32

Applebee’s promotional effort on Muslim community............................................................. 33

Apple bee’s Facebook page content to Muslim community ..................................................... 33

Recommendation .......................................................................................................................... 35

Reference ...................................................................................................................................... 36

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 Business Communication Report on Applebee’s

Introduction

Restaurants and food courts are very popular these days. Almost everyone goes out for

eating and hang out in a nice, clean place and restaurants offer those facilities. Restaurants

provide different kinds of food items and a well-organized place to eat. They offer a place to

hang out and spend some time. But is this same for all countries? What these restaurants offer

and how they offer it differs from country to country, culture to culture. The way restaurants

offer foods and other facilities sometimes are decided by where the restaurant is operating their

business. To know and understand this difference, we showed different aspects of an American

restaurant company called “Applebee’s”. Applebee's Neighborhood Grill + Bar restaurant chain

is developed, franchised, and operated by Applebee's which is an American company. Basically,

Applebee's concept is focused on casual dining, with mainstream American dishes. In this

project, we are focused on two different communities/culture. We’ll be understanding how

Applebee’s operates differently in America or other non-Muslim countries than it does in

Muslim countries. We will see how Applebee’s is operating their business in the Middle East

countries and specifically what their policies in those Muslim majority countries are. Also as a

global food chain restaurant, Applebee’s is analyzed through different tools like SWOT, 7Ps, and

PEST. Different types of business communication-related problems are also discussed in this

report. Successful strategies and marketing campaigns of Applebee’s in the Middle East Muslim

countries are also mentioned and studied.

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 Business Communication Report on Applebee’s

Background of Applebee’s

Applebee’s is an American company founded in 1980 (38 years ago) by Bill Palmer and

T. J. Palmer. It has 1,830 (March 31, 2019) operating restaurants all over the world. It works

under the food industry. Applebee’s headquarter is located in Glendale, California, U.S. About

28,000 (2013) active employees are working for the company.

Applebee's International, Inc. develops, franchises, and operates casual dining

restaurants. The Company offers beverages, sweet desserts, burgers and sandwiches, seafood,

chicken, pork items, beef, appetizers, and salads. Applebee's International serves its products to

customers worldwide.

Parent company: Dine Brands Global (2007–present).

Revenue of Dine Brands Global: 780.9 million USD (2018)

Dine Brands owns Applebee’s since 2007. And since then it's operating under the Dine Brands.

Applebee’s operating countries (Muslim)

Indonesia (opening soon)

Jordan (opening soon)

Kuwait

Lebanon (opening soon)

Qatar

Saudi Arabia

UAE (70% Muslim)

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 Business Communication Report on Applebee’s

Menu differences between Muslim and non-Muslim majority country

In listed Muslim countries they offer steaks, chicken items, pasta, seafood, desserts,

burgers, ribs, salads, and refreshers. All of them are halal foods. They offer meat of cow, buffalo,

goat, sheep, camel, etc. There is no meat of pork. Applebee’s offers handcrafted cocktails in

Qatar and UAE which is an exception. Jordan has no menu yet. Applebee’s is about to start its

operation in Jordan.

In non-Muslim countries, they offer appetizers, steaks & ribs, chicken, seafood, pasta,

salads, sandwiches, wraps & tacos, burgers, desserts, etc. They also offer kid menu. Differences

between Muslim and non-Muslim country’s menu is sandwiches, wraps & tacos and kid menu

that are offered in non-Muslim countries. Also in non-Muslin countries, they offer bacon burger

made of pork meat.

Color, logo differences between Muslim & non-Muslim countries

Applebee’s official logo contains an apple. In non-Muslim majority countries, its logo is

more or less the same. But in Muslim countries in the logo of Applebee’s it contains an Arabic

word in Arabic letter. The color is the same (red) in all countries.

Room design: Room design for Applebee’s is pretty much the same like any dining

restaurant. A big room, well lighting, multiple ACs, smoke zone, a TV or projector to give the

customers something to watch, a bar, etc. However, there is no bar in Muslim majority countries

because in Islam drinking is not allowed.

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 Business Communication Report on Applebee’s

Company Analysis

Applebee’s has been analyzed using SWOT, 7Ps and PEST. Through these tools we’ll be
observing its different perspectives running the business especially in Muslim countries. Their
operation is different for Muslim countries as well as their offerings. We discussed these in
details.

SWOT Analysis of Applebee’s in Muslim community

Strength Weakness

 Offers menu for kids in the Middle  Poor monitoring.

East.
 Lack of market knowledge.

 Popularity of applebee’s is
 Poor customer services (PR).
increasing.
 Inefficient executives (Top
 Ability to start operating in different
management failed to take right
new Muslim countries financially.
action & decisions at the right time).

 Brand value.
 Maintains only one Website and a

 Good Online Presence. Runs a good Facebook page for 5 Middle East

Facebook Page and a Website countries.

 Variety of food items.  Brand Managers are less

professional.

 Less focus on customer’s choice

when it comes to food.

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 Business Communication Report on Applebee’s

Opportunity Threat

 Acceptance of Applebee’s in Muslim  Lack of operation in Muslim countries/

community is increasing. communities. (others can take

 They are serving halal food which is advantages in this case)

accepted in Muslim community and  Halal/Haram food. ( potential to cause

has its market demand. conflict over the matter)

 Can target special time of the year  Not considering menu preference

(Ramadan, Eid-ul-Fitre, Eid-ul-Adha coming from customers. ( may lose

etc) to make extra revenue. customers)

 Poor decision making.

 Can target the Vegetarians. It can be
 Could lose customers & spread
a new segment.
negative word of mouth due to
 Population of Muslims is increasing.
unprofessional behaviour from
(2nd largest community)
employees.
 Muslim countires are h\getting
 Critical terms and policies of the host
richers.
country.

 Huge competition with other renowned

restaurant.

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 Business Communication Report on Applebee’s

Strength

Offers menu for kids in the Middle East. Applebee’s offers a wide variety of choices

for growing children. They offer grilled chicken, salad, pizza along with tasty slides. Their kids’

menu is divided into two parts. They are “Really Hungry” & “Really Really Hungry”. The

“Really Hungry” menu offers chicken tenders, New chicken grillers, KRAFT Macaroni and

Cheese, New Cheese Quesadilla, Mini cheeseburger or hamburger, New cheesy bread pizza, Hot

dog, Grille Cheese Sandwich, The “Really Really Hungry” menu offers New cheesy grilled

chicken, New chicken mac ’n cheese, New Cheese Quesadilla, 2 mini cheeseburgers or

hamburgers, New cheesy bread pizza, fried shrimp, 4 oz Sirloin.

Popularity of Applebee’s is increasing. Joyce an insider of Applebee’s said that

Applebee’s have resonated with the 99 percent of the American public that they represent. He

also told that about 60 million customers visit IHOP and Applebee’s every year. And that the

company has about 1,900 Applebee’s locations and roughly 1,800 IHOP restaurants.

Financially capable of establishing new operation. Dine Brands, that additionally

operates IHOP, saw its stock pop over 12 % weekday following the Wall Street-busting results to

a three-and-half year high. Earnings per share of $1.70 beat accord estimates by thirteen cents

and revenue of $214 million came prior to skilled calls by seventeen million.

In the fourth quarter, same-store sales upraised three.5 percent, marking the fifth

consecutive quarter of sales growth for Applebee’s. There are another results that support the

turnaround and sure buoyed capitalist trading: Dine Brands’ ratio jumped by over half-dozen

proportion points to forty five.9 percent, as higher revenue and tight value controls provided the

corporate with in operation leverage. For the year, systemwide sales of each brands combined to

hit $7.6 billion, Associate in Nursing improvement of three % over 2017. Applebee’s strategy of

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 Business Communication Report on Applebee’s

shuttering underperforming locations took it down five.1 % to one, 837 units (1,693 domestic).

IHOP, meanwhile, expanded 2.5 percent, year-over-year, to 1,831 (1,705 domestic) stores.

The other note is that Dine Brands provided healthy full-year earnings steering for 2019.

It expects same-store sales growth of 2–4 % at IHOP and Applebee’s, that answers a matter of

whether or not or not Dine Brands may stack positive results on prime of every different, as

critical simply spiking performance off weak quarters from the previous year (like it did within

the middle of 2018). Dine Brands is additionally career for income between $104 million and

$113 million, with diluted EPS between $6.15 and $6.45. That centre would showcase a major

improvement of forty four % over the $4.37 in diluted EPS attained in 2018.

Brand value. According to NetBase (Top 100 brand lovelist) in 2016 Applebee’s was

ranked 85. In the previous year it was ranked 64. In 2010 according to YouGov (Top U.S

BrandIndex Buzz Ranking) it was ranked 34. In the previous year it was ranked 30. According to

Vitrue (The Vitrue 25 Top Social Restaurants) it was ranked 23. As we can see, their brand value

kept on increasing.

Good Online Presence. Runs a good Facebook Page and a Website. Their website is

excellent. It is very organized. Anyone can find the necessary information just by searching in

the website. Their facebook page is also very good. They reply to their customers query almost

instantly. And it’s also very detailed.

Variety of food items. They offer different types of food. In the breakfast time they offer

sandwich, French toast, waffles, pancakes, eggs and omelets etc. For lunch and dinner they offer

salad, steaks, ribs, chicken, pasta, seafood, burgers and sizzling entrees. They also offer different

types of refreshment drinks. And for dessert they offer chocolate chip cookie sundae, blue ribbon

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 Business Communication Report on Applebee’s

brownie, sizzling apple pie, triple chocolate meltdown, maple butter blondie, churros & different

types of sweets.

Weakness

Lack of market knowledge. As the people of the world-changing their food habits, it has

become quite difficult to cope up with them. And that’s what causing Applebees the main

problem. Applebees mainly serves meat dishes, they are more prone to deliver the heavy calorie

and protein mixed food than serving healthier food like vegetable and salads. But since the

people are becoming more and more health-conscious about their health and started eating

healthier foods, it had impacted their market. And the five Middle East country in which

Applebees is serving are family-oriented. It means they aren’t like western countries where

children leave after a certain age. The people of Middle Eastern families live together. And to

grab the market their main target should’ve been the family.

Poor customer services. Applebees in the Middle Eastern country has very poor

customer service. For a restaurant to have bad customer service is like having nothing at all.

Because customer service is one thing that can bring a lot of customers. And for restaurants, it is

necessary to have a good service because when a group of people goes into a restaurant, they

always go with expectations of good service and food. So, it’s really important to have good

customer service, because if a customer gets their expectations unfulfilled they may return to that

brand. And by reading the comments from the internet we have observed that Applebees doesn’t

have a good customer service in Middle Eastern countries.

Inefficient executives (Top management failed to take right action & decisions at the

right time). The inefficiency from the top management has caused this brand a lot. People have

started taking healthy foods and are more concerned about their health, and the top management

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 Business Communication Report on Applebee’s

has failed to notice this. Applebees has always been a meat place for people. But as people are

becoming more vegan than before, meat has become their second choice on the menu. And for

this reason, Applebees has lost a big portion of their locations. They have closed a lot of

locations because they couldn’t do well. And if the top management can’t get out of their “meat

menu” and bring something for the vegans, the might not be able to stay in this taste changing

the market.

Maintains only one Website and a Facebook page for 5 Middle East countries.

Applebee’s maintains only one website and for five Middle East countries, whereas they have

separate websites for western countries. And also, the website they have for the Middle East

countries doesn’t provide much information about their products. Likewise, they only maintain

one Facebook page for five countries. And this could lead to confusion among customers

because it doesn’t give the focal viewpoint to the customers

Brand Managers are less professional. By surveying the Facebook page and reading

the comments section, we found that their managers don’t play a vital role in maintaining the

restaurant. And this type of information can mislead consumers regarding the brand. From the

comments section, we found out that their service is not that great. For a food restaurant service

is the main thing and if not maintained it could lead to a disaster for the brand.

Less focus on customer’s choice when it comes to food. Applebees have tried to stay

true to their original menu, which is mainly a “meat menu”. But the world is changing and so are

the people of this world. In this changing environment, the urge to taste meat has decreased. And

eating healthy green vegetables has become an important thing. Why? Because customers are

now more conscious about their health, and they have changed their preference for food. But,

Applebees is still focused on their original food menu and less focused on customer’s choice, for

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 Business Communication Report on Applebee’s

which they are losing their market. But in the culinary world if a restaurant has to survive they

must know their customer better and their preferences.

Opportunities

Acceptance of Applebee’s in Muslim community is increasing. Around 34 Applebee’s

restaurants are there in the Middle East. And the number of restaurants are about to open.

Applebee’s is focusing the Middle East as their opportunity. Applebee’s started their new

operation in Jazan in Saudi Arabia, Sahara Centre in Sharjah which is the first Applebee’s in

Egypt. Number of new outlets are opening which indicates the fact that Applebee’s is being

appreciated by the Muslim community. People started to love their foods and demand is pretty

high. This is a great opportunity for Applebee’s. Authentic food and American dining experience

are making Applebee’s popular there. Regional manager of Applebee Gary Moore said: “As the

restaurant business continues to boom in the region, Applebee’s sees more opportunities and

growth here.” High demand and appreciation from people in the Middle East prove that Muslim

community is positive towards Applebee restaurant and that’s a huge opportunity for the

company.

They are serving halal food which is accepted in Muslim community and has its

market demand. Halal food has a great demand in Middle East Muslim countries and also in

Muslim communities in general. Due to the religion Muslims always prefer to eat foods which

are halal according to the religious aspect. In Muslim countries, there is a certificate that ensures

that the restaurant serves authentic halal foods. Applebee’s serves halal foods in the Muslim

countries and to Muslim community which is being accepted by the Muslims. They also have the

certificate to show the fact that they’re consistent in serving halal food. Halal foods has always a

demand to Muslims. And thus market demand for Applebee’s foods is increasing.

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 Business Communication Report on Applebee’s

Scope to target special time of the year (Ramadan, Eid-ul-Fitre, Eid-ul-Adha etc) to

make extra revenue. Applebee’s offer discounts on Ramadan, Eid-ul-Fitr and Eid-ul-Adha

which is only for the Muslim community. They have the opportunity to make a handsome profit

by offering extra favor in these festivals which is important for Muslims. Especially in Ramadan,

they offer verity types of iftar menu and Shahari menu. Those are very appealing for Muslims as

well. Thus they can make extra profit. Also, those offers can be a part of the marketing and

promotion of the brand.

Can target the Vegetarians. It can be a new segment. Muslims all over the world are

becoming more health-conscious. In the Middle East Muslim countries, there are many Muslims

who are vegetarians. Applebee’s has a huge potential market in this field. Health-conscious

people can be targeted as their new customer. Food for vegetarians will be profitable in the

future. So booming the business in the Middle East would be a good idea considering different

tastes of potential Muslim customers.

Muslim population is increasing. (2nd largest community). Muslim community is the

second-largest community in the world. And Islam is spreading rapidly. So targeting Muslims

for selling products and serving would not be a bad idea for sure. Wherever Applebee operates

their business there is Muslim community for sure. A huge number of the population indicates

more people to sell the service. Investing in the Middle East will bring more profit to Applebee.

Coming up with Muslim favorable menu will attract the Muslims and that would be good for the

business. So the increasing number of Muslims is a good sign for Applebee’s and it’s a big

opportunity.

Muslim countries/ Muslims are getting richer. We all know which countries supply the

oil. With this natural recourse, comes money. Most of the Middle East countries are already rich

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 Business Communication Report on Applebee’s

and some are getting rich. If we look at the Muslim community, we’ll see the same. Muslims are

getting richer means they’re more favorable to spend money. As they are getting rich, they will

be starting to spend more money on food and a healthy lifestyle. This is an opportunity for

Applebee’s. Because foods will be sold no matter the price which may benefit Applebee’s to

earn a bit more. Rich community is always a preference to sell products or services.

Threat

Lack of operation in Muslim countries. The number of operation of Applebee’s in

Muslim countries is not that much if we compare to other market-leading brands. Currently,

Applebee’s is operating in only 3 Muslim countries which are Qatar, Saudi Arabia & Kuwait. If

we think about MacDonald’s it is operating in 21 Muslim countries. So, Other companions

taking the gap by operating more in Muslim countries where Applebee’s cold have done the

same.

Not considering menu preference coming from customers. Applebee’s should pay

more attention on what their customer want from them. Applebee’s does not research a lot about

the menu preference of the customers. It is not a customer friendly attitude which indicates a

unsustainable future. In Muslim countries customers are very conscious about their food choice

in terms of halal and haram.

Could lose customers & spread negative word of mouth due to unprofessional

behavior from employees. If we take a look on a recent incident of Applebee’s a Muslim

customer got physically attacked by an employee in a Applebee’s restaurant might create a very

negative impact towards the Muslim communities of Applebee’s through negative words of

mouth.

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 Business Communication Report on Applebee’s

Critical terms and policies of the host country. Launching operation in foreign

countries is not that easy for a brand. Barriers are government-induced restrictions on

international trade, which generally decrease overall economic efficiency. Despite international

trading laws and declarations, Multinational companies face challenges around trading and

business practice. Unethical practice like Red tape which is a derisive term for regulations or

bureaucratic procedures that are considered excessive or excessively time- and effort-consuming.

So, for those reason of Applebee’s is not expanding that much globally.

Huge competition with other local and international restaurant. In this restaurant

business, competition is always high. Market leaders like MacDonald’s, KFC, Burger King,

Dominos, etc. are already created a strong position globally. So without a strong loyal customer

base sustaining, in the long run, can be a great threat for Applebee’s.

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 Business Communication Report on Applebee’s

Marketing Mix 7p’s

Products

In most non-Muslim countries Applebee’s offer the following foods:

Refreshers

Appetizers

Salads

Steaks

Ribs

Sizzling entrees

Chicken

Pasta

Seafood

Burgers

Desserts

Each of this category contains several food items they offer.

In listed Muslim countries they offer steaks, chicken items, pasta, seafood, desserts,

burgers, ribs, salads, and refreshers. All of them are halal foods. They offer meat of cow, buffalo,

goat, sheep, camel, etc. There is no meat of pork. Applebee’s offers handcrafted cocktails in

Qatar and UAE which is an exception. Jordan has no menu yet. Applebee’s is about to start its

operation in Jordan. There is no bacon burger and beer or alcohol offering by Applebee’s in the

Middle East.

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 Business Communication Report on Applebee’s

Physical evidence

Physical evidence includes elements that are incorporated into a service to make it

tangible and measurable. It also helps to position the brand and target the right kind of customers

at the same time.

Ambience. Apple bees has set their layout and ambience as neighborhood grill where

people will come and they enjoy the environment like neighborhood houses.

Furnishings. Apple bee’s has set their Furnishing like a way so that people don’t feel that

they are far away from home or they can feel like they are in friend’s home.

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 Business Communication Report on Applebee’s

Staff. Applebee’s is famous for their good staff and they are bound to ensure that

consumer doesn’t feel they are outside the home or in an unknown place.

Internet presence. Applebee’s has internet presence through their Facebook page and

website: www.applebees.com. The site provides company information such as menus, offerings,

history, and location.

People

Recruitment process (Application Information). Minimum Age Requirement: If

anyone wants to work for Applebee’s in any position they need to be at least 18 years old. Some

places allow 16 years old applicants. Hours of Operation in Applebee’s restaurants is at 11AM

and closes at midnight. Some places open at 10.30 AM and closes at 1 AM in Friday or

Saturday. About methods that Applebee’s apply is that there are two ways to apply. Offline &

online. In offline method one must go to an Applebee’s restaurant store and fill up an

application.

Applying Online. When applying online, one should start from the Applebee’s home

page, scroll down, and select “Careers.” On this page one can search for nearby stores by zip

code and select the position one wants to apply for. Once one gets into the online application, it’s

fairly straightforward. One has to create an account and enter his personal information, his

desired schedule, his education, past employment, and references. Once one input all of this

information, the application will be saved and sent to the local Applebee’s he has applied to. He

will receive a confirmation email that it has been saved.

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 Business Communication Report on Applebee’s

Individuals on customer contract. Applebee’s is a sit-down venue, so many of the

available positions are basic food service jobs. All of the non-management positions are called

“Crew Members” or “Team Members,” but they each have a specific job to perform.

Server: Brings food to customers, take orders, deliver and refill drinks. $2.13/hr (plus tips).*

Bartender: Serves drinks to adult customers, mixes beverages as requested. $7/hr.

Host/Hostess: Manages seating arrangements, takes customers to tables. $7/hr.

Line Cook/Food Prep: Cooks and prepares food. $11/hr.

Food Expeditor: Manages food line, arranges food items together according to orders. $12/hr.

General Utility: Washes dishes, clears tables. $7/hr.

Individuals on marketing activities. Restaurant Manager: Manages local restaurant and

makes sure customers are taken care of. $14/hr. manages one or more Applebee’s locations. Has

the same duties at each location as the Restaurant Manager. $14/hr.

Promotion

Lack of market knowledge. As the people of the world-changing their food habits, it has

become quite difficult to cope up with them. And that’s what causing Applebees the main

problem. Applebees mainly serves meat dishes, they are more prone to deliver the heavy calorie

and protein mixed food than serving healthier food like vegetable and salads. But since the

people are becoming more and more health-conscious about their health and started eating

healthier foods, it had impacted their market. And the five Middle East country in which

Applebee’s is serving are family-oriented. It means they aren’t like western countries where

21
 Business Communication Report on Applebee’s

children leave after a certain age. The people of Middle Eastern families live together. And to

grab the market their main target should’ve been the family.

Poor customer services. Applebee’s in the Middle Eastern country has very poor

customer service. For a restaurant to have bad customer service is like having nothing at all.

Because customer service is one thing that can bring a lot of customers. And for restaurants, it is

necessary to have a good service because when a group of people goes into a restaurant, they

always go with expectations of good service and food. So, it’s really important to have good

customer service, because if a customer gets their expectations unfulfilled they may return to that

brand. And by reading the comments from the internet we have observed that Applebee’s doesn’t

have a good customer service in Middle Eastern countries.

Inefficient executives (Top management failed to take right action & decisions at the

right time). The inefficiency from the top management has caused this brand a lot. People have

started taking healthy foods and are more concerned about their health, and the top management

has failed to notice this. Applebee’s has always been the meat place for people. But as people are

becoming more vegan than before, meat has become their second choice on the menu. And for

this reason, Applebee’s has lost a big portion of their locations. They have closed a lot of

locations because they couldn’t do well. And if the top management can’t get out of their “meat

menu” and bring something for the vegans, the might not be able to stay in this taste changing

market.

Maintains only one Website and a Facebook page for 5 Middle East countries.

Applebees maintains only one website and for five Middle East countries, where as they have

separate websites for western countries. And also, the website they have for the Middle East

countries doesn’t provide much information about their products.

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 Business Communication Report on Applebee’s

Likewise, they only maintain one Facebook page for five countries. And this could lead to

confusion among customers, because it doesn’t give focal view point to the customers

Brand Managers are less professional. By surveying the Facebook page and reading

comments section, we found that their managers don’t play a vital role maintaining the

restaurant. And this type of information can mis lead consumers regarding the brand. From the

comments section we found out that their service is not that great. For a food restaurant service is

the main thing and if not maintained it could lead to a disaster for the brand.

Less focus on customer’s choice when it comes to food. Applebees have tried to stay

true to their original menu, which is mainly a “meat menu”. But the world is changing and so are

the people of this world. In this changing environment, the urge to taste meat has decreased. And

eating healthy green vegetables has become an important thing. Why? Because customers are

now more conscious about their health, and they have changed their preference for food. But,

Applebee’s is still focused on their original food menu and less focused on customer’s choice,

for which they are losing their market. But in the culinary world if a restaurant has to survive

they must know their customer better and their preferences.

Place

Distribution Areas. Applebee’s served areas are United States, Canada, Mexico, Brazil,

Qatar, Saudi Arabia, and Kuwait. Applebee cover many Muslim countries for build up their

distribution channel.

Distribution Channel. The appropriation channel of Applebee’s is different and

complex. The most significant advantage for Applebee’s and different organizations is their

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persevering worker. Guaranteeing that worker is glad and dealt with in a manner guarantee

chief’s representative are making visitor are upbeat and dealt with the return. The inventory

network with crude material-packaging, new produce pressing which incorporates set principles

from organizations, for example, American Meat Institute, United Egg Makers, National

Chicken Chamber, and National Park Brand starting their items are taken processors and

afterward cool stockpiling, redistribution. The following stage in the Applebee's item chain is

item going out through the conveyance system to the restaurant where it is served to the clients

by the servers. As deals develop, Applebee’s will move more efficient framework utilizing

merchant who offers the item to the retail chain.

Distribution Strategy and network. By staying with similar supplies enables the visitor

to make a trip to one of 2,000 establishments and receive a similar nature of the item. Offers

wide evanescent of setting alternatives including the bar, corners, table, high-tables, enabling

Applebee’s to oblige a gathering of 2 to a party of 22. To extend achieve Applebee's is intending

to set up areas in wants locations such as airports, train stations, shopping centers, and lodgings.

US eatery network Applebee’s is one brand to perceive this, utilizing it as the reason for its

online life advertising technique. Applebee invite their customers to upload their food pictures

and giving feedback. On the back of the battle, Applebee’s increased 4,500 new adherents on

Instagram, while levels of commitment rose 25%.

Process

The delivery of service is usually done with the customer present so how the service is

delivered is once again part of what the consumer is paying for. In terms of Applebee’s the

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process allowed to obtain an efficient service delivery. Applebee's both server their food both

offline and online.

Offline process. In this part customer usually comes physically in the restaurant.to order

their respective meal. This process can be done through dining or take away. Customers order

their food by going through the food menu then they place the order. Waiters usually take the

order. Within a few moments they always try to serve customer’s desired order.

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Online process. People can order food online by using Applebee’s website or mobile

app. which is very efficient. Applebee’s food delivery provider Door Dash. Door dash handles

all the food delivery system of Applebee’s. Customers can choose a range of items from the

restaurant’s regular and limited-time menus and customize orders through Door Dash. By using

the Applebee's app people can also track their order.

PEST Analysis

Political

The political situation of a country is very important to grow a business and its

sustainability. Trends have an impact on the food industry. Restaurants add "healthier

alternatives" to their menus as they push for products with reduced intakes of sodium and sugar

from the public policy by the government. Another side there is halal food phenomenon from the

Muslim community which is still the fastest-growing market. To come in halal food industry

companies need to pay tax for a halal sign. Which fall under the umbrella of political impact. In

recent years the fastest-growing religion of the US is Islam and It has more than the 20-Billion-

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dollar halal market. As a family restaurant, Apple bee’s had to focus on this huge market which

is worth more than 20 Billion dollars. Besides this, there is some regulation which is strictly

maintaining by the government as example halal sign need to be displayed where the restaurant

sells both halal and non-halal food, but halal food certification will be necessary. Though some

political restrictions and problems were there when Donald Trump became US president the

scenario has been changed the way it was before. "Donald J. Trump is calling for a total and

complete shutdown of Muslims entering the United States until the country’s representatives can

figure out what is going on.” Which indicates that the halal industry might get affected by this

decision.

Economic

The economic condition of a countries people has a direct impact on the restaurant

industry or any other industry. The modern-day businesses have shown that most people who are

in the middle bracket of economic space can afford the evenest luxuries.

In most non-Muslim community Muslim participation is gradually growing. Not only that

they are also becoming richer according to the research. Which enables apple bee’s to come up

with more verity to their menu but the problem is that for the halal certification it may affect the

pricing of the food but they cannot just increase their food price because of that. Which at the

end of the day will affect the profitability of Applebee's.

But it is a fact that the halal food industry is becoming more profitable. “In 2016,

Bloomberg reported that sales of halal food in grocery and convenience stores reached $1.9

billion in the U.S., a 15-percent increase from 2012.”

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Social

The social perspective of America is different than other cultures. All types of religion

and culture are practiced in America. Because of that, the kind of menus is catering in the

restaurant has to cater seriously since some religions do not partake in some food. Other side

Restaurant chains trends shift based on what customer wants. As people nowadays becoming

more concern about their healthy diet. Vegetarian, vegan and fish-eating are becoming less of a

fad and more of a lifestyle choice. But in most Muslim culture beef is their first choice to eat.

They want meat in almost all dishes. Which makes it a little bit challenging for apple bee’s to

maintain social pressure on its business.

Technology

In every industry, technology plays a major role. Any traditional way of doing business is

disrupted. New technology facilitated operation in manufacturing machines and made it easy for

businesses to market their products online with a growing amount of smartphones, computers

and the Internet. Same goes with Applebee’s. As a marketing technique, they show images of

promotional beverages and fresh foods. They also provide information on allergy, calories, and

promotions through their website. With technology advancing, it helps food corporations reach

consumers in new and easier methods.

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Communication mistakes made by Applebee’s

Applebee’s announced they would close 135 locations in 2017. What had happened to

the once-popular chain? Known for their affordable somewhat gentle menu, with low-calorie

options, they were a mainstay of Middle America for 30 years. The main mistake they have

made so far starting from 2010 with a “revitalization” concept which includes

New Positioning related issues are there. They were positioned in people’s mind as a

neighborhood place for middle age people. Suddenly they try to communicate with the customer

as a cool place to hang out for millennial.

There are other problems. Applebee’s went half-done. It aims to attract Millennial

through menu items and decor. Not with the brand itself. The Applebee’s brand would have to

completely transform itself to work for that audience. The brand stays the same, with only noise

around it evolving.

Failed to communicate with longtime fans: They didn't realize what was going on with

their longtime fans as they ran desperately after this new segment. Suddenly, the cost-conscious,

slightly older consumers at Applebee's was no longer comfortable. The prices were greater,

many of their favorite items were no longer on the menu and they felt distinct from the

restaurant.

Social Media PR Disasters is always a concern for the company. Not communicating

precise and clear statement.

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Complications

Different working days compare to western countries. The standard Western work week

runs from Monday to Friday where Saturday and Sunday are weekend. In 2013, Saudi Arabia

switched its Thursday/Friday weekend to a Friday/Saturday weekend. This change matches the

weekend in the UAE and also syncs with the Arab culture. So Applebee’s has to be careful about

when they offer extra on weekends.

Middle East market is huge and is expanding rapidly because of its demographic

advantage. Demographic structure is playing a big role here. Approximately half of the

population in Middle Eastern countries are currently under the age of twenty-five (2018 report).

But Applebee’s is not expanding the way it is expected to expand based on demographic aspect

due to insufficient structured planning.

Racial Judgment

The headline goes with “Woman pleads guilty to hitting immigrant with beer mug”

which is reported in October 19, 2016. Jodie Marie Burchard-Risch was accused of attacking

Asma Jama, a Somali immigrant, at the Coon Rapids Applebee's in October 2015.

According to Asma Jama, She and her family were having dinner at Applebee’s. And

they were speaking in Swahili a language the adults often use when children are around so the

kids do not know what the adults are saying. While the group walked past Burchard-Risch's

table, she said, "In America, we speak English." Jama tried to ignore the insult and move on. But

it went beyond control when Burchard-Risch yelled at her to go back to her country. "She was

yelling at me in my face, and I will admit I stood toe to toe with her. I wasn't screaming, I was

talking to her calmly," Jama told CNN, recounting the incident. According to authorities, that is

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the time when Burchard-Risch took a beer mug and threw it at Jama's face and then fled the

restaurant.

So here the incident took place at Applebee’s. And the question arises about the

monitoring and controlling the situation which could be taken by Applebee’s. We go to a

restaurant to eat safely. It was Applebee’s responsibility to make sure all the customers are

quality treated regardless of their race or identity. While the white women were insulting the

Muslim women what was Applebee's rule? Didn’t they see something bad coming? Or that was

just too much for them to care. There should be a strong monitoring system to make sure the

safety of the customers who come to eat and Applebee's successfully failed to ensure that.

Marketing campaign fault by Apple bees in Muslim community

As they have been successful in Muslim community through their campaign so far but

they also made some terrible mistake. Which is much unexpected from them and very

unprofessional. They came up with the idea of Ramazan tips to their customer so that it helps

them but it went wrong due to the timing.

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Successful campaign by the Apple bee’s in Muslim community

Though Applebee’s is not that old in the Muslim community although they have done

many successful campaigns through their effective way of communication. They have run a

communication campaign in Eid, Ramzan and the important days of the Muslim community.

Some of them were very successful like “Dine in and Drive” They have given a Chevrolet car to

one of their lucky customers.

Applebee’s did not stop in just campaign, they are also super active in personal

interaction through their social media page. They value their customer emotions in Muslim

community through personalized message.

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Applebee’s promotional effort on Muslim community

Apple bee’s website to Muslim community. Applebee’s gave a tremendous effort to

attract the Muslim community. They have designed and delivered the communication differently

than they used to do in the non-Muslim community. If we see the website of Apple bee’s in the

Muslim community and the non-Muslim community, we can see the significant changes they

have made. In the non-Muslim community, they have named themselves as Apple bee’s Grill

and Bar but in Muslim community it is only Apple bee’s as Muslim don’t drink alcohol and seek

for halal food.

Apple bee’s Facebook page content to Muslim community

Apple bee’s also communicating differently in Muslim community through various social

platform as an example we can take their Facebook content where they are showing a

grandfather is giving food to his grandchildren and a family is having dinner. It is connecting

with the Muslim cultures and values as Muslims are more family orientated and the authoritative

figure is always male. But we did not find the same way of communicating in the non-Muslim

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community. In non-Muslim community they are showing an independent women taking her

children to Apple bee’s which completely different than what they are doing in Muslim

community.

Besides these things Apple bee’s also change their menus for the Muslim community.

In all of non-Muslim community they are serving drinks with alcohol and pork meat. But for the

Muslim community they are not serving such things so they have customized their

communication accordingly.

Content: Non-Muslim Community Content: Muslim Community

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Recommendation

There are several mistakes made by Applebee’s when it comes to run the business in the

Middle East or serving the Muslim community. Mistakes could be handled professionally but

Applebee’s failed to do so. Possible recommendations are given below.

1. A Muslim woman was beaten brutally inside the restaurant but Applebee’s didn’t involve

itself even after the incident. Applebee’s showed no special care for the Muslim

community. Applebee’s can make strong policies for any kind of violation to make sure

that kind of incident never happens to any Muslim again.

2. Promotional offers for Ramadan or eid should be handled professionally. They can hire

marketers who know Muslim festivals and their preferences to ensure not to make the

same marketing mistakes.

3. Applebee’s should choose right communication channel. Applebee’s offered Ramadan

offer after ending of Ramadan. In this case they could email their consumers for their

mistakes to make them understand their fault which could be a better solution than not

responding regarding this matter at all.

4. Applebee’s had a disastrous social media feedback. They can spread positivity in social

media by highlighting their positive, promotional, good stories and events.

5. To buildup long term good relationship with customers, Applebee’s can offer extra favor

beyond expectation like offering extra food for being regular customers.

6. For reducing discrimination between Muslims and non-Muslims, Applebee’s can

promote advertisements and also join social movements to reduce hatred. Promoting

positivity and making the Muslim community feel like they are being counted and cared

by the company can take Applebee’s a long way.

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