Factors to consider

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Profit potential in terms of long-term return on the invested capital. The food service industry in London has profit potential in terms of long-term return on the invested capital.

Overcome customer loyalties & brand identification via selling a good quality product, coupled with the niche environment & good service. The new entrant can open the restaurants and overcome the customer loyalties and brand identification through serving the unique and good quality product, coupled with the niche environment and good service.

Little capital requirements. Li could also be benefited through little capital requirements to run the sole proprietorship operations, also it could expand the business operations through franchising.

Highly realizable government policies. the policies of the government are highly realizable due to which it does not create a great threat of entry to the operators in the foodservice industry.

Limited entry barriers. The industry has been accomplishing healthy revenues as well as market growth, coupled with the limited entry barriers.

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