Urgent SPSS Case Analysis-Needs Fixing

1 Database/Case Study Overview Santa Fe Grill The Santa Fe Grill Mexican restaurant was started 18 months ago by two former business students at the University of Nebraska, Lincoln . They had been roommates in college and both had an entrepreneurial desir e. After graduating they wanted to start a business instead of working for someone else. The students worked in restaurants while attending college , both as waiters and one as an assistant manager, and felt they had the knowledge and experience necessary to start their own business. During their senior year they prepared a business plan in their entrepreneurship class for a new Mexican restaurant concept. They initially intended to start the restaurant in Lincoln, Nebraska. After a demographic analy sis of that market, however, they decided that Lincoln did not match their target demographics as wel l as they initially thought it would. After researching the demographic and competitive profile of several markets, they decided Dallas, Texas would be t he best place to s tart their business. In examining the markets, they were look ing for a town that would best fit their target market of singles and families in age range of 25 to 50. The population of Dallas was almost 5.5 million people, of which about 50 percent we re between the ages of twenty- five and sixty . This indicated there were a lot of individuals in their target market in the Dallas area. They also found that about 55 percent of the population earn between $35,000 and $75,000 a year, which i ndicated the market would have enough income to eat out regularly . Finally, 56 percent of the populati on was married and many of them had children at home, which was consist ent with their target market . The new restaurant concept was based upon the freshest ingredients, complimented by a festive atmosphere, friendly service, and cutting -edge advertising and marketing strategies . The key would be to prepare and serve the freshest “ made- from -scratch ” Mexican foods possible. Everything would be prepared fresh every single day. In addition to their freshness concept, they wanted to have a fun, festive atmosphere and fast, friendly service. The atmosphere would be open, brightly lit and bustling with activity. Their target market would be mostly families w ith children, between the ages of 18 to 49. Their marketing programs would be ahead of the pack, with the advertising designed to provide an appealing, slightly off -center, unrefined positioning in the market. The Santa Fe Grill was not successful as qu ickly as the owners anticip ated. To improve the restaurant operations , the owners needed to understand what aspects of the restaurant drive custom er satisfaction and loyalty, and where they were falling short in the minds of the customers. They came up wit h a few questions that could be researched. Are the cust omers satisfied and if not, why are they not satisfied? Is the problem the food or the atmosphere or something else (e.g., employees or service )? Is the target market correctly defined or do they need to focus on a different niche? What 2 are the common characteristics of the satisfied customers? The owners determined that answering these questions and other similar questions would help them to focus their marketing efforts to generate more success in the restaurant.

Despite the slow start for the restaurant, the y managed to break even and have enough money to conduct a customer survey. The restaurant was located on an outparcel on east side near the main entrance of the Cumberland Mall – which has 75+ stores in it and is considered very successful for the area. A market research company was located in the mall so they decided to use a mall intercept approach to collect data. Another Mexican restaurant that had been in business longer and appeared t o be more successful was also on an outparcel at the same mall, but its location was on the west side of the mall . Their goal wa s to complete interviews with 250 individuals who considered the Santa Fe Grill their favorite Mexican restaurant and 150 individuals who considered Jose’s Southwestern Café their favorite Mexican restaurant . Over a period of two weeks, a total of 405 interviews were completed – 152 for Jose’s and 253 for the Santa Fe Grill. They believe the survey will help them to identify the restaurant’s strengths and weaknesses, enable them to compare their restaurant to a nearby competitor, and develop a plan to improve the restaurant’s operations . The topics of the questionnaire are reviewed below. Screening Questions 1. Do you regularl y eat out at casual dining restaurants ? Yes = 1; No = 0 2. Have you eaten at more than one Mexican restaurant in the last six months? Yes = 1; No = 0 3. Is your gross annual household income $15,000 or more? Yes = 1; No = 0 4. What is your favorite Mexican restaurant to eat at ?

a. Santa Fe Grill – Yes, continue. b. Jose’s Southwestern Café – Yes, continue. c. Other – thank them and select another respondent. Life Style Questions = Variables 1 – 11 ( Scale = 1- 7 ) 1. I often try new and different things. 2. I like parties with music and lots of talk. 3. People come to me more often than I go to them for information about products. 4. I try to avoid fried foods. 5. I like to go out and socialize with people. 6. Friends and neighbors often come to me for advice about products and brands. 7. I am self -confident about myself and my future. 8. I usually eat balanced, nutritious meals .

9. When I see a new product in stores, I often buy it. 10. I am careful about what I eat. 11. I often try new brands before my friends and neighbors do. 3 Restaurant Perceptions Questions = Variab les 12 – 2 1 (Scale = 1- 7 ) 12. Friendly Employees 13. Fun Place to Eat 14. Large Size Portions 15. Fresh Food 16. Reasonable Prices 17. Attractive Interior 18. Excellent Food Taste 19. Knowledgeable Employees 20. Proper Food Temperature 21. Speed of Servi ce Relationship Questions = Variables 22 – 25 22. Satisfaction (1 – 7) 23. Likely to Return (1 – 7) 24. Likely to Recommend (1 – 7) 25. Frequency of eating at your favorite Mexican restaurant (1 – 5) Classification Questions = Variables 2 6 – 3 0 26. Distance Driven (1 – 5 ) 27. Ad Recall (1 – 0) 28. Gender (1 = Female; 0 = Male ) 29. Number of Children at Home ( categories 1 – 3) 30. Age (categories 1 – 5)