THE FRANCHISE OF JAPANESE RESTAURANT
Franchising is a way of doing business whereby a "franchisor" approves established procedures of undertaking commerce to a "franchisee" for a charge and a proportion of transactions or earnings. Franchising of business can be any business as long as a franchisor of a business permit to have franchisees for the people who are interested to invest and start this business by using a set of regulations regarding to the brand of the franchisor‘s company. In this coming era, there is an increasing amount of franchising businesses which are invested in Malaysia. This has created an opportunity to the public to discover and to try new things in the world. Therefore, we have thought of an idea to franchise a business categorized under the food industry. The food industry that we are going to franchise is Yo! Sushi. This Japanese Restaurant or Bistro offers Japanese cuisine in a contemporary ambience.
Beneath here, this segment will depict information or history on Yo! Sushi Restaurant, the restaurant concepts: about Yo! Sushi, requirements of setting up, franchisor offers and as well as the cost of setting up a franchise.
Yo! Sushi, first began its commerce in Poland Avenue London, year 1997. It was set up by the founder, Simon Wardroff and then it has been bought by primary capital and is sold to Quilvest which is leaded by Robin Rowland, CEO of the company. By 2001, Yo! Sushi has become the market leader in U.K sushi restaurant (unnecessary). It then took the step to expand its business into franchising as a business model. Till now, it has several franchises in different countries worldwide. In Malaysia, two franchises are available only in Gardens and Pavilion Mall. So, there is still a lot of potential of business growth if we set up another franchise in a favorable area in Malaysia.
These segments brief about the different concepts of Yo! Sushi.
The concept of this restaurant is based on a modern contemporary interior design concept particularly for customers to relax and unwind while satisfying their stomach. The décor or design of the restaurant is simply nice with dim lighting, amusing surroundings and clean. Its dining concept is fully emphasizes on conveyor belt system known as “kaiten” sushi bar while its kitchen concept is positioned openly surrounded by the rotating belt. This is where the dishes are prepared by the chefs in front of the guests. Customers or guests can simply enjoy their dishes while watching them preparing food.
In regard to the restaurant’s menu, there are about 91 dishes consist of soup and broths, sashimi, iso, nigiri, maki, handrolls, gunkans, salads and desserts for customers to order and also to pick up the dishes they favour in. Their menu changes once a year and in some countries the menu changes according to season. For further reference on what dishes is available, a set of Yo! Sushi restaurant menu will be attached in the appendix.
Rules of food preparation
The regulation or instruction of this restaurants in regards to the food is that, the food or dishes must be fresh prepared daily by their trained chefs and fish dishes on the conveyor belt is placed for maximum two hours and must not longer than that period.
Pricing of this restaurant dishes is based on the colour code dish pricing system which enables customers to control the amount of dishes they have taken. The price of the dishes varies according to the colour code; they are green RM 3, blue RM 5, purple RM 8, pink RM 16 and Grey RM 18.
This restaurant’s service concept is a partial service which involves self- service and also serving customer at the same time for orders. However, payment is self-service, customer are required to walk to the booth counter to settle up their payments.
To set up a franchise, a franchisee basically needs to have resources such as capital, assets and a group of qualified chef and well- trained workforce in order to conduct the business. Franchisee must have the proficiency to locate a strategic location and improvise an appropriate marketing strategy to operate the business. Besides that, franchisee will also need to have Yo! Sushi brand license prior to begin as well operate the business. There is a list of requirement that Yo! Sushi franchisee must fulfill. A franchisee will need to have a minimum 3 years experience as the proprietor or workers in normal dining. It’s also a must to follow the structure of the franchise which resembles the advancement of their brand. Furthermore, a franchisee also need to confirm that they have the appropriate qualities such as operational ability, local knowledge, understand customers, real property, government rules, and workers issues. Moreover, as a franchisee of this restaurant, they would have to bear the losses if the losses sustain for two to three years and yet go on to acquire extra entity. It is also a must to retain or remain the culture of Yo! Sushi. Besides, it is also a compulsory to provide a compilation of application and relevant financial history in order to understand the financial capability of the franchisee. Agreements like “Non-disclosure agreement” and also “Development and Franchise Agreements” has to be signed. The individual is also required to visit at least 6 restaurants that are possessed by companies. A personal visit to the location is also needed in order to study the market and real estate.
This term refers to the things or equipment that the franchisor offers. Usually, when one was to franchise a business the franchisor will offer Yo! Sushi as the brand name to the franchisee. They also provide raw ingredients and equipments and even the furniture that is from the suppliers. The design or concept used in the business is being provided by the franchisor. The franchisor will take over the work of advertising. The franchisor will provide the management aid and trainings. The software such as the accounting system and the recipes are all given to the franchisee.
Based on most interviews with experienced people, the cost of setting up a franchise usually falls under the estimation of RM800000. The franchisee need to allocate the money for building equipments, inventory purchase, advertisement, renovations and so forth. However, there is no exact amount of this allocation is revealed due to company policy.
The goals of this particular report are to:
1.2.1 Acknowledge people about the franchise of a Japanese restaurant to guide them as well as participate in involving in this business line.
1.2.2 To explore and review about the ideas and carrying franchising a Japanese restaurant.
1.2.3 To detail the people about this great Japanese restaurant or cuisine concept by recommending this business particularly for business partners who are interested in setting up food business industry.
1.2.4 This report is hopefully useful and particularly meant for people or food industry partner who would like to invest as this provide more information to them in order to clarify and put into consideration whether to invest or not. This project also describes the benefits of franchising so that it would attract more investors to invest.
Throughout our investigations, we have classified the background and elaborate more about Yo! Sushi Restaurant. It has stated that there are limitations which we could not get to know more information about the cost of setting up this restaurant. Besides that, this investigation also denote that there are several responses where Yo! Sushi Restaurant was not truly recognized by the majority of Malaysian civilian. This is because Yo! Sushi Restaurant is a new Japanese restaurant which is recently moved in to the market where it has also least of put on view about this restaurant to public.
There are several types of methods in order to obtain different types of sources or information about Yo! Sushi Restaurant. We have uses the website to learn and understand more about Yo! Sushi Restaurant.Next, we have also conducted an interview with Yo! Sushi Restaurant Manager Mr. Ryan, the Operation Manager Mr. Eddie, and the Head Chef of the restaurant, Mr. Alex. Questionnaires are also distributed to the public during our survey.
The findings of the survey and interview responses will be presented in this section.
Questionnaire forms were randomly distributed to the people who have been encountered at summit shopping mall and Segi College in Subang Jaya. A number of 70 respondents generously spent their time to participate in our survey. From the 70 respondents, 36 were Chinese, 18 Indians, 11 Malays and 5 other races. The complete details of questionnaire response are as follows:
2.1.1 Of the 70 respondents who answered the questionnaire, 37% of the
respondents knew about Yo! Sushi in Malaysia whiles the rest, 63 % of the respondents did not know about it.
Figure 1: Show the percentage of respondents who can recognize Yo! Sushi restaurant
2.1.2 It has been found that 61 %( 43) respondents preferred to eat sushi for their meal, while the rest 39 %( 27) did not eat it for some reasons. The overall responses have obviously showed that most Chinese respondents are preferred to eat sushi with 89 %( 32
respondents out of total 36 respondents), Meanwhile, the majority of Indian and Malay respondents are not preferred to eat sushi which is represented in percentage with 33 % (6 respondents from total 18 Indian respondents) and 36 % (4 of respondents from total 11 Malay respondents).
Figure 2 illustrated the preferences of respondents towards sushi
2.1.3 It was found that the number of respondents who go for sushi once a week is greater than the other three choices of everyday, 2-3 times a week and rare. It is more accurately represented through percentage which showed that 60 respondents prefer to go for sushi once a week, meanwhile 2 respondents willing to eat sushi for everyday and one respondent go for it 2-3 times a week. Whereas, the rest of 7 respondents rarely to go for sushi.
No. of respondents
Figure 3 showed the amount of how frequent respondents preferred sushi
2.1.4 Most respondents answered that lunch time is the best for them to have sushi. According to questionnaire responses, 40 respondents have supported to lunch time, while the rest 30 respondents have responded to dinner.
No. of respondent
Figure 3 Number of respondent on different time periods
2.1.5 Throughout this statistic, it has revealed that 52 numbers of customers prefer enjoying their meals in an environment which consists of traditional and modern ambience whereas there is 13 numbers of customer who prefer to have their meals in a traditional ambience and 4 customers prefer having meals in modern ambience.
No. of races
No. of respondents
Figure 5 Statistics on different races of respondents towards 3 different ambiences
2.1.6 This pie chart has shown that there is 57% of guest agreed that sushi is expensive whereby 43% of guesses disagreed that sushi is pricey.
Figure 6 The view of respondents whether sushi meal is costly
Referring to the findings from the survey conducted, it can be deduced that most people are not aware of Yo! Sushi because it just penetrates into the market, thus, measures need to be taken to acknowledge people about this restaurant. Many Chinese customers like sushi more than other ethnics due to the taste, flavors, size of sushi. Improvements are needed on the flavors so to diversify various flavors offers to each different ethnic. We found out that, many people favor in having sushi during lunch time rather than breakfast and dinner. This is because sushi meals are healthy, light enough: not stuffy.
Out of the survey that we have done, many people stated that sushi is an expensive meal because the portion is very small, does not give satisfaction to their stomach and not affordable by youngsters. Sushi is expensive as what the people agreed because the materials are imported from other country especially Japan and fishes from Norwegian and also the sushi meals is qualify as quality food.
Traditional and modern ambience is preferred the most by the customers because some of them like to preserve the traditional culture as well as to enjoy the modern ambience that makes them easy go.
Raw dishes are not desired by the guests because they are not used to consuming raw food and it is not the cultural practice for them. Most Malay guests are not delighted with sushi meals because sushi restaurant does not emphasize thoroughly “Halal” food like Yo! Sushi they do offers and provides alcoholic beverages.
It is the recommendation of this survey that shows the following recommendations that can be implemented:-
4.1 For further recommendations YO! Sushi could implemented WIFI system that can enchased better benefits while eating and on net that you can enjoy significantly.
4.2 Enhanced better service for the customers like giving discount vouchers and special rate for members.
4.3 Special rates for certain customers like anyone aged 50 years and above gets special dish with special rate.
4.4 Flexibility and innovative environment makes customers more enjoying and deserve the life of hard work that they do with special music and video clips that makes them go.
4.5Since it’s a new franchise, so it should be advertise n newspapers and billboards so that further recommendation can be done.
4.6 Different culinary delights should be improved on sushi meals. Diversification on the food can attract customers from different ethnics.
5.1 The future implementation on Yo! Sushi on new dining concept is an additional extra feature used to serve the customers known as “Body Sushi”. “Body Sushi” is known as “Nyotaimori” where the sushi is served on a human body as an art of dining. Usually, they are served on well decorated naked body. However, a slightly change need to be implied due to the country’s culture. Therefore, the “Body Sushi” will not be served on a totally naked body but one with cloth covered on some parts of their body. This “Body Sushi” will be catered for VIP guest or during any special functions.
5.2 The second way to improvise this Yo! Sushi restaurant would be based on entertainment during the night life. The ambience would be dimmer with some grand lighting while playing the current hip hop or R&B musics for the people to enjoy their night time. The entertainment time would fall on 12 midnight till 3 pm. Sushi buffet would also be held at the particular time slot.
5.3 Besides, customers can also experience the fish reflexology while enjoying their cuisine upon request. Occasionally, it is meant for regular customers. The fish would only consume the dead skin, which directly makes the feet smoother and healthier.
Yo! Sushi Restaurant
* Please tick with one answer and fill in the comments as below
Name: Age: Occupation: Gender: Race:
1. Have you ever heard of Yo! sushi restaurant located in Gardens and Pavilion Shopping Mall?
2. Do you like to have sushi for meals? Why?
3. How frequent would you go for sushi?
Every Day 2-3 times a week Once a week
4. Which is the peak daily time would you prefer for sushi meal?
Breakfast Lunch time Dinner
5. What do you think about sushi cuisine?
Healthy Nutritious Delicious Others____________________
6. Is having sushi considered an expensive meal? Why?
7. Price range of sushi per plate. Which range do you prefer most?
RM 3-5 RM 8-10 RM 18-20
8. Which kind of sushi restaurant’s ambience or atmosphere would you go for?
Traditional Modern Traditional & modern Others_____________
9. Monthly income range
< RM 500 < RM 3000 > RM 5000
10. Besides sashimi, noodles, teriyaki, gyoza and others, what kind of culinary delight
Would you prefer it in sushi restaurant?
Vegetarian sushi Tea leaf sushi Non-halal sushi Others_____________
Yo! Sushi restaurant in Kuala Lumpur Pavilion
The ambience of Yo! Sushi Restaurant
Wasabi Dill Sashimi
Yo Roll, a great combination of creamy Avocado, Salmon and coated with fish roe.
Body Art Sushi
Night life Sushi
Source: ChinaStones - http://china-stones.info/free-essays/business/franchise-japanese-restaurant.php