Five Forces Analysis of the Hospitality Industry Research Paper

Five Forces Analysis of the Hospitality Industry - Research Paper Example In the hospitality industry, there is a moderately low threat from suppliers. Many of the players in the industry contribute to the percentage of suppliers since they need to have access to quality supplies (Pizam, 2010). Mama’s can benefit from identifying reliable suppliers who provide quality goods since it intends to continue serving delicious meals to customers. Threat of BuyersIn the hospitality industry, buyers have a strong bargaining power because there is a very low switching cost between one restaurant and the other. Customers are well aware of the prices as well as the expected quality of products (Enz, 2010). For this reason, Mama's on Washington Square needs to develop strategies for addressing the threat of buyers in the industry.Threat of SubstitutesIn the hospitality industry, there is an increasing threat of substitutes. Many players are likely to provide customers with substitute products that are of similar quality to Mama’s and within the same price range. Therefore, customers would register a limited switching cost. There is a salient need for Mama’s to develop strategies for surviving in the highly competitive Industry.Ethnic Cuisine in the United StatesThere is an increasing demand for ethnic cuisine in the United States. Specifically, Asian cuisines are gaining popularity and slowly becoming part of the mainstream food. Therefore, the hospitality industry has to specialize in providing customers with a diverse range of ethnic cuisines.