ASSIGNMENT 3: BURGER BOSS
STUDENT NAME: FAHME
COURSE NAME: MARKETING RESEARCH
COURSE ID: MKTG466
SUBMISSION DATE: 19/SEPTEMBER/ 2013
TABLE OF CONTENTS
INTRODUCTION ………………………………………………………………………………………………………………………………………… 2
LITERATURE REVIEW & HYPOTHESES ………………………………………………………………………………………………………. 4
RESEARCH DESIGN …………………………………………………………………………………………………………………………………… 7
DATA COLLECTION ……………………………………………………………………………………………………………. 8
METHOD OF ADMINISTRATION ……………………………………………………………………………………… 10
SAMPLE FRAME ………………………………………………………………………………………………………………..11
DATA ANALYSIS ………………………………………………………………………………………………………………… 12
CONCLUSIONS …………………………………………………………………………………………………………………………………………. 15
REFERENCES ……………………………………………………………………………………………………………………………………………. 17
Established in 2001, Burger Boss (BB) is a fictional company-owned and franchised operated fast-food chain of
restaurants. The fast-food chain currently operates 50 restaurants located in the metropolitan cities of Miami,
Chicago, Boston and San Francisco. Burger Boss offers consumers with a gourmet alternative to the traditional
fictitious fast-food giants such as Rooneys and Burgernator (equivalent to McDonalds and Burger King respectively).
Since its inception the franchise has enjoyed raved reviews from food magazines and critics, and consumers have
flocked to Burger Boss restaurants to indulge into gourmet custom made burgers that provide fast food lovers a
refreshing alternative to the multinationals. Burger Boss operates under the simple motto of having a few but
appealing options for the burger lovers. This is evident in therestaurants one page eight item menu which ranges
from the “classic” cheeseburger to the franchise special “the meat”: double beef patty, chicken fingers and three
cheese loaded 800 calorie monster burger. To the customers delight, at an extra cost, any order on the menu can be
completely customized, for example chicken fingers on your cheeseburger. Burger Boss prices on an average are
10% steeper than the competitors and unlike the multinationals, currently the Burger Boss menu does not offer any
grilled meat, salad or juice options in its menu.
However, Burger Boss is currently experiencing stagnant growth and profitabilitydue to the economic recession,
increased competition and a growing trend of shifting consumer tastes and wants. Since the recession consumers
are now far more price sensitive and value driven, and there is also an increasing shift towards demand for healthier
menu options. To remain competitive and profitable, Burger Boss wants to analyze the fast-food restaurant
industry (comprehensive analysis of current customer eating trends coupled with study of the competitor strategies)
to determine best direction for the franchise’s future. Prior to recession the annual profit margins for Burger Boss
ranged in the doubled digits which spawned the franchises rapid growth, however since the recession margins have
slimed significantly causing the managers at the Burger Boss corporate headquarters to devise a strategic plan to
improve the financial performance of the fast-food chain. It was also noticed that direct competitors such as
Rooneys and Burgernator seemed to have weathered the recession, inside reports claiming little no loss in profit
margins. Battling a scenario as such the executives at Burger Boss feel the most prudent decision would be to
conduct a marketing research initiative, which they hope will help uncover contingencies to restore the growth and
profitability of the fast food chain.
Burger Boss is faced with a discovery oriented decision problem and the research question to be addressed by
marketing research is:“will introducing healthier menu items aid Burger Boss to improve the financial performance of
the fast-food chain?” Direct competitors Rooneys and Burgernator currently offer meat free salads on their menu as
healthy alternatives but the prices of these salads are approximately 30% more than the most expensive burger on
their menu. Executives at Burger Boss feel this new health conscious value driven target population is potentially a
lucrative target market. The research findings to be presented by this report are critical to decide the potential of
the proposition put forward by the executives.
Through marketing research the following objectives are intended to be addressed:
Objective 1:“The health food versus the fast food industry trends”
What are the changing trends in the fast-food industry? Do customers in fact want new healthier menu items?
Objective 2:“How does Burger Boss attract thecompetitor’s customers?”
Will the addition of new healthy menu options attract competitor customers to Burger Boss? Do customers instead
want cheaper menu prices?
Objective 3:“Cost, Profit and Risk Analysis”
What is the profit margin for introducing healthy menu options? Will the addition of healthy options cause Burger
Boss brand confusion among consumers? What is Burger Boss’s position compared to its competitors?
This report will examine various fast food industry and consumer trending insights and the observations will be
conveyed in the Literature Review section which is followed immediately after this segment. These insights are
intended to uncover information that will assist in devising hypothesis that will serve as central components to
evaluate and realize the research question and objectives at hand. Furthermore, the report will detail the research
plans approach to capture important primary and secondary data to support or refute the hypotheses. Data
collection and analysis procedures and techniques will be addressed to ultimately offer the executives conclusive
answers in regards to the findings of the research. The primary goal of the research plan and report remains to
furnish the decision makers at Burger Boss with evidence (or lack off) that the research question and objectives in
hand will ensure a criterion for improved financial and competitive performance of the fast-food chain.
LITERATURE REVIEW & HYPOTHESES
In order for the executives at Burger Boss corporate headquarters to reach a judgment into the direction to
undertake to improve the profitability of the franchise, extensive research (industry literature review) has to
evaluated and considered to form the foundations of Burger Boss’s research plan. The literature review on the
trends and the conditions of the fast food industry will allow the researches to develop hypothesis and variables to
test and experiment during the research plan itself, which anticipates establishing conclusions for the franchise to
consider as course of action.
The fast food industry is definitely trending into serving healthy alternatives on their menus. Market research
published in 2011 found an 86-percent increase in the term "healthy" and a 33-percent increase in the term "low-
fat" on fast-food menus. (Wanjek, 2013) This substantial surge of the healthy buzz word is reflective of the growing
health conscious attitudes of consumers. Reports indicate 39% of consumers choose salads for an entree, 28% pick a
healthier protein, 19% don’t eat the full meal, and 16% request sauce or dressing on the side. (Watrous, 2013)
Customer's interest in healthier food seems to be growing. Some 78% of restaurants in the "quick-service" category,
which includes fast food, are seeing more orders for entrée salads, according to the National Restaurant Association
(NRA), an industry group. In fact, entrée salads have shown the biggest increase of all menu items, in both quick-
service and sit-down restaurants, the NRA say.With obesity reaching near-epidemic levels in the United States,
corporations and the media are paying more attention to health, nutrition, and anti-obesity efforts. "We have sold
300 million salads in the U.S., equaling 600 million vegetable servings," says Cathy Kapica, PhD, RD, global director of
nutrition for McDonald's. (Zelman, 2005) A recent Harris study of restaurant patrons found that while 90% choose a
restaurant based on price, “healthy menu items” are also a top motivator for 58%. The second study comes from
the Natural Marketing Institute (NMI), which researched and segmented U.S. consumers by their attitudes about the
health aspects of food. NMI found that 17% of consumers could be classified as “well-beings,” passionate about
eating healthier foods and willing to pay more for it. Another 14% are “food actives,” who want to eat better but are
more price-sensitive. Together these three groups make up 52% of restaurant customers, a group too big to ignore.
(Leadership, 2013)Such enthusiasm within consumers for healthier diets has translated into momentous revenue for
the fast food retailers offering demanded options. An article in the Nutrition Business Journal reported total sales of
healthy foods in 2006 at $120 billion, or 21% of total food sales. That’s double the numbers from a decade
earlier.(Nerac, 2013) The fast food industry has also understood the importance of keeping with the consumer’s
demand of healthier options and the implications that come with failing to entertain these mandates. A new report
from the Hudson Institute has found that between 2006 and 2011, chain restaurants that increased their low-calorie
offerings sold nearly nine percent more products, while those that decreased their healthier options witnessed a
sixteen percent drop in total sales. (Tao, 2013)
Furthermore, reports indicate more parents are starting to spread their eating habits to their newborns. While some
argue that this method stops kids from receiving proper nutrition, parents are feeling more confident about raising
vegan babies and some health experts see no problem with it.(Huffington Post, 2012) Parents advocating veganism
as healthier lifestyle ultimately means these children (the future consumers) will demand salads and vegetarian
alternatives on fast food menus to satisfy their diets.
The fast food industry is still a large and diverse industry with plenty of opportunity. Consumers are now on the
look-out for new ways to eat fast and healthy. And as the industry continues to evolve and the economy
strengthens, fast food franchise profitability will continue to grow. (Sena, 2013)Experts such as Matthew Corrin, the
CEO of healthy fast-casual chain Freshii, couldn't agree more. He expects the next decade of hyper growth in the
restaurant business to focus on "health casual" dining in fast food franchises. (Durisin, 2013) When analyzing the
demographic aspects of fast food trends studies show that nutrition and healthy eating habits are top meal planning
priorities for Baby Boomers. Boomers are all 50+ and health is a bigger concern as people age. (Henderson, 2013) As
the nationwide advertisement and education of obesity continues, the baby boomers (also one of the largest dining
and spending target market) will look to find healthier dining alternatives on menus. The geographical importance of
food trends is also necessary to understand the diet regimes of the consumers situated within the 50 Burger Boss
locations situated in the Northeast and Pacific coast of the United States (Miami, Chicago, Boston and San
Francisco). A breakdown of U.S. consumers' nutrition-seeking habits by geographic region revealed consumers in the
Northeast and Pacific regions cared the most about nutrition. On the other end of the spectrum, consumers in the
Southwest and Central regions cared considerably less, with only 18.2% and 17.8% of those surveyed saying
"nutritional value is the most important factor in the food they eat," respectively. (Savenije, 2013)
However, the realities of recession and global economic downturns impact on commodities to deliver consumer
demands also have to be realized. Rising commodity prices have also significantly crunched many fast food
franchises. With food and beverage inputs making up approximately 33% of costs, higher prices for livestock, corn,
wheat and more have seriously shrunk margins over the past decade. With vegetable prices overwhelming scales
and in such a fiercely competitive space it is impossible to force a price increase on customers, so profit margins are
often south of 10%.In fact, there was some increase in consumer visits as people choose cheaper fast food options
over fast casual or traditional restaurant choices.(Sena, 2013)
Undeniably the presence of offering healthier options for consumers is vital for the survival and continuity of the
fast food industry. The literature review offers valuable insight into consumers who are constantly looking to adapt
into their lifestyle healthier diets as the world educates consumers to the risks of food related obesity. This
consumer trend has to be understood and catered to by the fast food industry as the articles suggests the fast food
retailers marketing the health movement are favored far better over the franchises who do not. However, the
realities for franchises cannot be overlooked. As presented by the article, the continuous rise in prices of commodity
is making it difficult for fast food retailers to offer value as consumer keep demanding for variety and reduced
prices. Although mass producing multinational fast food franchises have been able to keep prices relatively
truncated, franchises such as Burger Boss who operate at a much smaller scale have found it difficult to keep prices
competitive and be profitable at the same time. For the research plan to develop and commence, certain
assumptions have to be recognized and hypotheses have to be derived. For the research question at hand, the
research plan at the preliminary stage will center on the following consequent hypotheses:
1. Keeping up with the fast food consumer trend and consumer demand, Burger Boss must introduce healthier
options on their menus. 80% of the respondents to the survey will prefer the introduction of new healthier
options on the Burger Boss menu.
2. The addition of healthier menu options will retain existing and attract new consumers.However, lone
addition of healthier menu options will notbe the key contributing factor to improving financial performance
of the franchise.
3. The cost of commodities and scale of production puts Burger Boss at a disadvantage to larger competing
multinational corporations. Rather than competing on price,the executives should strategize on
repositioning Burger Boss’s branding. Marketing Burger Boss as a traditional burger joint with healthier
4. Consumer will opt for Burger Boss based on value and selection. Profitability will result through a
combination of continuously improving the menu with consumer diet trends and competitive pricing of
RESEARCH DESIGN- The research plan has been articulated to consist of six steps, they are as follows:
Step 1: Defining the research problem and objectives (presented in the Introduction section)
Step 2: Developing hypotheses (presented in the Literature Review section)
Step 3: Data collection& Method of Administration (to be discussed in this section)
Step 4: Sample frame(to be discussed in this section)
Step 5: Data Analysis(to be discussed in this section)
Step 6: Conclusions (to be presented in the subsequent section)
DATA COLLECTION: One of the most integral and influential factors of the research plan will the data collected. This
data will provide the executives at Burger Boss with the knowledge (industry and consumer) to determine the most
effective direction to undertake. For the research plan to answer the research question, objectives and tackle the
hypotheses a combination of both primary and secondary data will be required.
For Burger Boss to identify the trend and demand characteristics of fast food consumers, primary data will have to
be collected. A questionnaire will be devised to capture and identify key concepts. The questionnaire formulated will
anticipate to uncovering and understanding primary data of consumer demands and ultimately answering the
objectives of the research question. The questionnaire will be designed to capture relevant concepts such as;do
Burger Boss consumers in fact want healthier items on the menu? Do people choose a fast food restaurant based on
the lowest priced value meals? Will people pay a premium for healthier options on the menu? Would consumers
prefer healthier items or lower priced meals? Does the availability of healthier menu options serve as a deciding
factor when choosing a fast food franchise to dine? Can Burger Boss improve business by concentrating on
convenience such as longer operating hours, more locations, etc., rather than adding healthier options? What is the
fast food consumer’s brand perception of Burger Boss in comparison to its immediate competitors? What is Burger
Boss’s competitive positioning in comparison to the fast food competition in the minds of the fast food consumer?
The goal of the primary data to be collected will be to tabulate the voice of the consumer. The questionnaire
developed should be surveyed within both existing and non-Burger Boss consumers to conceive a realistic non-
biased outlook of fast food consumers.
Numerous third party companies offer survey services explicitly geared towards franchises. Such third party
companies manage, organize and analyze data for the researchers to evaluate the results of the questionnaire. The
administrating third party company consults with the management and researchers to develop the questionnaire
with the wording, question sequence, format and layout.
For fast food or quick serve industry and competitor analysis, secondary data has to be acquired. Secondary data
collected will emphasis on:
Estimating cost, profit and viability of introducing new menu items for Burger Boss
The collaboration with suppliers is essential to the success of any business. Any new direction that Burger Boss
initiates will require commitment from suppliers; hence, the supplier has to be introduced to the possibilities
brainstormed by both the researchers and executives at Burger Boss. The suppliers will be able to compute cost of
raw and produced materials that will be required to assemble the proposed new menu items. This will help
determine the cost to produce to the new items, estimate the consumer price of the item (including markup),
forecast sales(based on internal and competitor analysis) and ultimately the profit margin.
An integral position on the success of business is how well the managers understand and respond to competitors.
The competitor analysis not only allows to identify profit ventures but also to study projects that have failed.
Competitor annual reports for at least the last five years have to be acquired and studied. The researchers should
construct reports on competitor’s menu pricing, the category of items that are the most profitable and graphs
depicting the trending of growth and profits/loss of new introduced items. The researchers should also inquiry into
any studier published or available on competitor research. Key information such as how new introduced items have
performed, growth of newly introduced items, marketing strategy, pricing strategy and future undertakings. This
may result in valuable information for researchers to develop and test the research hypotheses on hand. Competitor
analysis will also help to analyze if alternate strategies implemented by competition has resulted in driving more
consumers into their franchises such as promotions, convenience (increased locations, operating hours, automation
of process, etc.), and/or increased presence through marketing/advertising.
Fast Food Industry analysis
Similar to competitor comprehensive knowledge of the fast food industry is essential for the success and continuity
of Burger Boss. Researchers have to attain industry reports, articles and journals. The industry reports will indicate
the position of franchises, information on new entrants, competitor sales and revenue information, consumer
demographic statistics, consumer growth and spending rate forecasts, industry growth rate forecasts, economic
growth rates forecasts, and industry expert opinions & forecasts. For researchers to render management with such
comprehensive industry insights coupled with cost versus profit and competitor analysis allows executives to
consider the implications and deliver on the research question.
METHOD OF ADMINISTRATION
For the collection of primary data the consumers will directed to the web based cross sectional questionnaire within
the Burger Boss’s website. The company website is a great way to not only directly capture the feedback from
consumers but also allows for Burger Boss to showcase and promote their brand and menu as well. There are a few
ways to direct consumers to the questionnaire prepared by the research team:
In store – when customers pay for the meals at Burger Boss, the cashier/server should be trained to inform
each paying customer of the questionnaire currently being sponsored by Burger Boss. The receipt should
include brief details under the meal total. Particulars should include Burger Boss’s website, reminder to fill in
the questionnaire, short details on the incentive to complete survey (to be discussed below) and disclaimer
such as following “for details please visit the website”. The goal will be entice existing customers to visit the
website to not only complete the survey, but also to educate the customer on the company, the menu
selection, provide location information, offer transparency on calorie counts, and promote web exclusive
Social Media– The most powerful instrument to promotion awareness in modern advertising campaigning is
through social media. Burger Boss will be required to utilize their FaceBook, Twitter, Instagram, Flickr and
FourSqaure pages to inform their page members on the questionnaire and direct them to the questionnaire
link. These members are Burger Boss enthusiasts and are the most likely to respond to promotions from the
company. The incentive for completing the questionnaire should remain identical for both the store
customer and social media page member.
Blogs/Deal websites – The feedback of non-Burger Boss customers are equally important. Hence, to attract
new customers’ food blogs and survey websites such as Red Flag Deals should be utilized. These websites are
frequented by millions of people a month who are looking for deals or incentives in exchange for their time
or input. The addition of input by non-Burger Boss customers will give the researchers an unbiased view of
fast food consumer opinions that can support or offer arguments to pro Burger Boss consumer feedback
result obtained through the questionnaire.
The desired flow of administrating the Burger Boss questionnaire is as follows:
Consumers are made aware of the Burger Boss questionnaire through the outlets mentioned above
Participants visit Burger Boss website and click on the questionnaire link within the website
Disclaimer, instructions and purpose of the questionnaire are presented to the participant
On completion of the questionnaire the participant is provided with a code for the pledged incentive that
can be redeemed at a Burger Boss franchise
The secondary data can be purchased, viewed, downloaded and analyzed through a host of outlets. Though some
articles may have to be purchased, the web offers a wealth of complimentary information. Competitor annual
financial reports can be downloaded directly from their websites, competitor menus and pricing can also be attained
from their websites or from websites such as FastFoodMenuPrices.com which offers comprehensive menu listings
and prices of all geographically competing fast food franchises regardless of size. The fast food industry website such
QSRmagazine.com provide complete information of the industry size and progression rates , consumer size and
growth rates, consumer spending reports, new entrant reports, and semi-annual forecast on the food fast industry
and consumers. Fast food industry expert opinions are readily available on the web and considering the expert and
their opinions on the discretion of the researcher. Supplementing the primary data, all the facts obtained through
secondary data will enable the researchers to derive a solid conclusion to the validity of the hypotheses, and
ultimately retorting the research question and objectives.
SAMPLE FRAME–The fictitious Burger Boss annual financial report stated the 50 franchised locations served 5
million customers in 2012. The annual report also indicated 30.3 million hits on the company website in the year.
Current Burger Boss social media statistics indicate 500,000+ members in the FaceBook page, 120,000+ members in
the Twitter account, charted by a following of 150,000+ combined members in other social media application
including but not limited to FourSqaure, Flickr and Instagram.
Visitation analytical bar on the RedFlagDeals.com website indicates a browser-ship of 4.3 million fast food
promotion seekers. With such an enormous sample size and target population, the sample frame rests on the
promotional incentive budget of the Burger Boss management. According to research studies the average response
rate of online surveys is 30% (IAR, 2011) Hence, an ideal a target sample frame for this research study would be of
5,000 Cluster, Quota and Stratified random sampling participants. For sheer number of potential samples, the ideal
scenario would be post the questionnaire and incentive on the FaceBook and Twitter accounts, and on
RedFlagDeals.com. The benefit of this strategy is twofold: Firstly, cost savings. Posting and delinking on FaceBook,
Twitter and RedFlagDeals.com incurs absolutely no cost and time to Burger Boss, in comparison to adding the details
of the questionnaire on the receipts. Secondly, since the questionnaire is administered to be conducted online,
recruiting participants from FaceBook, Twitter and RedFlagDeals.com confirms internet accessibility. This may not be
true for all customers visiting the stores, even though they may be directed to the website, completing the
questionnaire may be irrelevant to them because of inaccessibility of internet. Within the target population, the
sample should be comprised of approximately 75% existing and 25% non-Burger Boss consumers. Hence, a filter
question is required to be incorporated within the questionnaire that would allow the determined set number
respondentsto participate confined between the two groups’designated (existing and non-Burger Boss customers).
The ratio is rationalized by the concept that existing Burger Boss customer are the ideal judge of the conditions and
offering through their direct interactions with the stores and would provide realistic feedback based on their
experiences. The research plan concludes that 5,000 participants feedback would be satisfactory to generalize the
findings as the collective prospective of Burger Boss on the minds of fast food consumers.
DATA ANALYSIS–Once data has been collected and prepared for analysis, several statistical procedures can help to
better understand the response. (Hair, 2010) To test the four null hypotheses derived for the research study the
following statistical analysis techniques will be applied to each of the hypotheses:
Hypothesis 1:80% of the respondents to the survey will prefer the introduction of new healthier options on the
Burger Boss menu.
This null hypothesis tackles an important objective set as a defining parameter to address the research question.
While this hypothesis will determine the decision to introduce healthier item to the existing Burger Boss menu, the
percentage of response (for example 90% say yes add healthier items) will allow for researchers to understand
people trend and prospective towards healthier diets and meals. To test the null hypothesis the researchers will
conducted a Univariate Statistical Test. Univariate statistics uses only one variable at a time to generalize about a
population from a sample. Univariate tests of significance are used to test hypotheses when the researcher wishes
to test a proposition about sample characteristics against a known or given standard. (Hair, 2010) The level of
significance for rejecting the null hypothesis and accepting the alternative hypothesis is set at 65%. This essentially
means that when the statistical test is executed and the result of the data for this particular question are tabulated,
Burger Boss will consider to add healthier items only if more than 65% of the participant preferred the introduction.
Otherwise, any figure below 65%, the alternative hypothesis will be accepted and the potential of healthier items on
the Burger Boss menu will be scraped.
Hypothesis 2:The addition of healthier menu options will retain existing and attract new consumers.
The volume of consumers to stores determine the revenue generation for any franchise. The primary emphasis of
this hypothesis is to forecast the volume of consumer that can be expected to visit Burger Boss stores, this in turn
will help estimate the revenue and profit margins associated with the introduction of healthier items. Cross
Tabulation will be used to test this hypothesis. Cross Tabulation is useful for examining relationships and reporting
findings for two variables. The purpose of the cross tabulation is to determine if differences exist between
subgroups if the total sample. Testing this hypothesis will indicate an estimated profitability of new items to into the
Burger Boss menu. By testing and accepting this hypothesis the researchers will be able to support the objectives
and research question for this study. For Burger Boss to improve financially the most simplistic attribute would be to
increase the traffic of consumers into its stores, this volume of consumers which is constituted in combination of
both the existing customer return business and attracting new customers to the franchise. If the null hypothesis is
rejected the alternate hypothesis would be to consider marketing and branding efforts.
Hypothesis 3:Rather than competing on price,the executives should strategize on repositioning Burger Boss’s
When identifying the prospective of brand image in the minds of the consumers, perceptual mappingfor image
measurement which provides a visual presentation of a brands position in comparison to its competition. Perceptual
map is a graphic representation of respondent’s belief about the relationship between objects with respect to two
or more dimensions. (Hair, 2010) Researchers can determine the variables they consider most important as Burger
Boss’s brand differentiation. For example if Burger Boss feels the franchise significantly provide better value meals
and has a great selection, a perceptual map can be created with the grid variables value and selection. The
consumers will then be asked to rate both these variables on a scale that best represents value and selection for
Burger Boss and its direct competitors. Now a two dimensional map supports as a visual presentation of the
tabulated results can be generated which will plot the franchises on the grid. This visualization representation of
consumer interpretation of fast food franchises provides the management to focus on tested variables that feel
differentiates them from the competition. The graph of perceptual mapping can be utilized to either market a
certain franchise as the best value fast food franchise or used as manuscript to improve on the variables that are
resulting in competitive advantage for the competition.
Hypothesis 4: Consumers will opt for Burger Boss based on value and selection.
This hypothesis serves two purposes. Firstly, the hypothesis will aid in understanding the decision making initiative
of the fast food consumer. In essence the goal is to determine the influence of value meals and selection of menus
has on customer when they choose a fast food franchise to dine in. Secondly, the variables value and selection will
be tested as dependent variables, the existing and non-Burger Boss customers although related sampleswill be
treated as dependent variables to test any variance in opinions. For example if Burger Boss customers consider
selection over value versa. The same test will be conducted for non-Burger Boss customers to discover similarities or
difference in opinions. If the variances are high and a significant difference is observed, the test will additionally
support Hypothesis 3 and the alternative hypothesis will be to focus strategy on marketing rather than on menu and
pricing because the variance of customer differences in independent variables will be difficult for Burger Boss to
deliver upon. To test Hypothesis 4 the ANOVA (Analysis of Variance), specifically f-Test will be used. ANOVA is a
statistical technique that determines if the tested means are different from each other. f-Test is used to statistically
evaluate the differences between the group means in ANOVA. The objective of test is to statistically prove that both
the dependent variables demonstrate similar variance towards the independent variables and that in fact no
differences exist between the groups (existing and non-Burger Boss customers) when opting for Burger Boss based
on value and selection.
After the hypotheses are tested, the results analyzed and a final report will be generated summarize the material for
the Burger Boss executives to consider. The results obtained from the research will be a principal factor in
influencing the answering the research question and determining the course of action to be undertaken by the
executives. The results of the hypothesis will establish key aspects to address the objectives of this study which will
ultimately retort the fundamental component of this study the research question.
Hypothesis 1 was specifically developed to address Objective 1, to establish if in fact fast food consumer really did
want Burger Boss to include healthier items on their existing menus. The null hypothesis proposed 80% of the
participants would favour the addition of healthier items. The result of testing the hypothesis will be the building
block for the researchers to analyze the next three hypotheses. If the null hypothesis is rejected, than the outcome
will suggest that the proposition of introducing healthier item is redundant and Hypothesis 2 irrelevant.
Hypothesis 2 and 4 has been formulated to address Objective 2. Null hypothesis 2 and 4 were developed to estimate
and forecast the traffic of potential customers that the inclusion of healthier items to the Burger Boss menu would
attract. Since the entirety of this research study is to address the financial progression of the franchise based on the
addition of healthier items. The response of the participants is fundamental in forecasting potential revenue
generation. If the null hypotheses 2 and 4 are accepted the researchers can then suggest to the executives to
consider the addition of new healthier items because the response of the participants can be translated into
forecasted revenue, these figures can then be assessed for financial profitability. If significant revenue estimation is
predicted the executives can then consider executing the decision to adding new healthier items on the menu.
Hence, answering the research question.
Similarly, Hypothesis 3 was developed to address Objective 3. If null hypothesis 2 and 4 are rejected then hypothesis
3 will provide the researchers to suggest to the executives that brand management and marketing may be an
alternative for Burger Boss to improve financially. The image measurement in perceptual mapping will enable
researchers to propose the competitive advantage factor that can be communicated as the Burger Boss brand
differentiation to the fast food consumers. Even if hypotheses 2 and 4 are accepted the researchers may still
recommend further strategies based on the perceptual mapping that may contribute to further financial success for
Furthermore, the secondary data will also be analyzed to determine the cost of new product to Burger Boss and
subsequently to the consumer. The secondary data can also recommend retail prices that are both competitive and
profitable for Burger Boss. This information can be compared with the revenue estimated in Hypotheses 2 and 4 to
provide a cumulated figure against the Burger Boss corporate goals.
Once the report is finalized the research question will be satisfied based on the testing of the hypotheses addressing
the objectives of the research study. This report will support executives at Burger Boss to make an informed
decision before investing in new healthier items.
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