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South 2 Mouth: Innovative Fusion Food Deal on Wheel

CASE STUDY, ENTREPRENEURSHIP & STARTUPS
ET Cases, 22 Pages

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South 2 Mouth: Innovative Fusion Food Deal on Wheel

 

India has been known for most unique food cultures in the world and it is hard to imagine Indian cuisine without spices. To add variety in flavour and taste, Indians prefer delicious and economical street foods during their leisure and holidays outings. Street foods are ready-to-eat foods sold on streets sides, which could be on a bicycle, a stall or a small shop. In India, street food vendors or peddles are very common outside schools & colleges, in markets, near bus stands & railway stations, etc. Some of these street foods are authentic regional delicacies; others are fusions of different tastes. This case is about a street-side food joint, South 2 Mouth at Ahmedabad, India (Annexure I). Pradeep Parekh (Pradeep), founder of this food-joint, wanted to pursue his passion as entrepreneur with a vision of providing tasty food to customers as well as employment to the needy. He succeeded in winning hearts of many customers through his unique business model and strategic innovation in fusion menu.

The street entrepreneurs are the persons who offer services (services include foods, apparels, vegetable selling, etc.) or goods for sale to public with temporary infrastructure either static or mobile stalls (pushcarts, cycles, baskets or motorized carts) moving from one place to another. Motive to use the word street entrepreneur instead of street vendor differentiates the class as self-employed person with self-direction, creative vision, imagination and ability in generation of employment. The Government of India had inclusively defined both street entrepreneur and urban vendor as traders or service providers to local/regional public through their static or mobile infrastructure. Other Indian terminology used to describe them are hawker, pheriwalla (cadger, cheapjack, pedlar, rounds man), rehri-patriwalla (packman, pitchman, huckster) etc.1


1 National Association of Street Vendors of India – NASVI, http://nasvinet.org/newsite/defining-street-vendors/, May 3rd 2013 (accessed date: April 18th 2015)

Teaching Note Preview

South 2 Mouth: Innovative Fusion Food Deal on Wheel

 

Synopsis

In October 2014, Pradeep Parekh (Pradeep) decided to leave his 40-year-old transport business, due to certain unavoidable circumstances. As he was a passionate cook, he decided to convert his passion into an innovative business model such as street side entrepreneurship. High competition from street side vendors offering similar types of products and street side location of entrepreneurial ventures were prominent among various issues troubling Pradeep. He explored and found that customers’ perception on street food joints as outlets was characterized by specific factors such as low price, poor hygiene, absence of good ambience, lack of innovative products and owners of such outlets with poor interpersonal skills. The dilemma remained open for Pradeep was whether to go for business expansion and opening more branches to meet the demand or to consolidate business first.

Prerequisite Conceptual Understandings

This case study is mapped to the concepts specifically mentioned in the Exhibit (TN)-I. Accordingly, the participants are expected to have a prior understanding of the following concepts.........

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Abstract

The Kutch region of Gujarat is originator of the most popular street foods such as Dabeli, fafra, dhokla, etc. and the taste travelled across the streets of Indian cities. South 2 Mouth, one of the street food ventures at Ahmedabad, had been able to triumph success as street entrepreneur by offering them twisted street food with fusion of simple south Indian idly and dosa stuffed with northern spicy chana masala, manchurian or cheese. Pradeep Parekh (Pradeep) founded the venture in the October 2014 with start-up fund of INR4 lakh ($25420000). He designed an engine-less auto rickshaw vehicle into an innovative and attention drawing food wagon. South 2 Mouth innovative business model could win thousands of hearts in catering fast food within a span of a year, however the business model had certain threats for existence to be handled daily. The case gives an overview on a new type of entrepreneurship of street venturing leading to quick and effective breakeven. The case will also help in understanding the innovative business model canvased by Pradeep, which reaped him recurring customers. The case offers the participants an overview of how to start a micro entrepreneurship, what could be the possible business model, what are the challenges associate with it, how they could be handled effectively. The case would also offer an understanding of the impact of innovation on consumer behaviour which enables better strategic decision making for a sustainable competitive edge.


Pedagogical Objectives

  • To understand the concept of street entrepreneurship
  • To discuss the critical thwart factors for street entrepreneurs as start-up and then succeeding as innovative business model
  • To apply the theoretical concepts to complex real world situations of street entrepreneur in handling challenges and discuss certain alternatives for managing business in more professional approach

Case Positioning and Setting

Students opted for Entrepreneurship or Business Management studies in Courses like MBA, PGD in Business Management, PGD in Management, PG Programme of Management etc. Also, can be utilized for the course work of Executive MBA. The case is positioned for 2nd year students, who had opted entrepreneurship as a subject of specialization. The case can be best discussed for types of entrepreneurship.



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