Еconomic factors of the marketing environment of restaurant business enterprises

Karabaza, Irina and Карабаза, Ірина Анатоліївна and Карабаза, Ирина Анатольевна (2020) Еconomic factors of the marketing environment of restaurant business enterprises. Галицький економічний вісник (2 (63)). pp. 208-213. ISSN 2409-8892

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Abstract

The paper deals with the investigation of the economic marketing environment factors influence on the restaurant business enterprises activity. Тhe main economic factors of the marketing environment affecting the restaurant business enterprises activity are identified in this paper. They include: GDP dynamics, changes of the country's inflation index, changes of the consumer price index for restaurant services, changes of the personal income level, the volume of investment needs during restaurant business setting up, changes of the unemployment rate, introduction of all-Ukrainian quarantine during COVID-19 virus pandemia ext. The vector of each factor influence on the restaurant business enterprises activity and on the state of the restaurant services market as a whole are determined. It is defined that the following factors have positive impact on the development of restaurant business in the country: GDP growth, inflation decrease, increase in consumer spending on out-of-home meals, personal income rise, sufficiently low investment needs for restaurant business setting up. The following factors have negative impact on the development of the Ukrainian restaurant business: the lack of out-of-home culture of Ukrainian consumers, consumer price index increase for restaurant services, unemployment rate growth, the introduction of all-Ukrainian quarantine followed by restaurant business enterprises closing. The global COVID-19 pandemia has the greatest impact on the restaurant industry, forcing it to reconsider completely the prospects for the development of the Ukrainian restaurant services market, since the negative impact of the factor completely deletes the favorable trends in the market. The consequences of factors influence on the restaurant business enterprises activity, such as, the interruption of active industry development, the recession in the field of restaurant business, the decrease in consumers amount, the decrease in business profitability, rising lending rates for entrepreneurs and the reduction of franchise activity in the sphere of restaurant business, the development of services for the restaurant product delivery are substantiated. The paper is of considerable practical importance for effective marketing strategies formation for restaurant business enterprises in Ukrainian market.

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