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With any B-Plan Purchase
425 Page Capital Directory
Through Apr. 30


Custom Business Plan
$425 Flat Rate
No Templates Used
7 Day Turnaround

All Purchased Plans
Are Updated for 2017

Food Truck SWOT Analysis

 

Strengths

 

Unlike a restaurant, a food truck has the ability to simply move to new locations. Food service businesses often struggle because their owners do not acquire highly visible retail locations from which to serve their prepared foods. Food trucks have the ability to generate revenue in a number of different ways. Foremost, a food truck owner can drive around heavily populated areas during breakfast, lunch, and dinner hours.

 

Frequently, operators of mobile food service businesses will park near nighttime entertainment venues in order to generate more substantial revenues. Another benefit of operating a food truck is that these businesses are able to provide catering services, which can be a large profit center for these companies. The barriers to entry for an aspiring food truck entrepreneur are low.

 

Weaknesses

 

Over the past 10 years, food trucks have exploded in popularity. There are now TV shows and a substantial amount of media dedicated to the quality of fare offered by these businesses. As such, the competitive issues that are faced by these businesses are substantial. Regulations regarding food service businesses are always an issue that must be addressed on an ongoing basis.

 

Opportunities


Despite their popularity, the opportunities for food truck operators is somewhat limited. Very well known food truck businesses will often capitalize on their established brand name by establishing a fixed location restaurant. Commonly, most food truck owners that are looking to expand their businesses focus on acquiring additional trucks that can service a densely populated metropolitan area. Finally, for specialized businesses - owners of these businesses can often package their signature dishes that are sold within local or regional food stores.

 

Threats

 

The only real ongoing threat faced by food truck businesses are ongoing competitive issues. There are currently no laws that would negatively impact the way that a food truck conducts business. However, it is extremely important that owners of food trucks effectively differentiate themselves within their target markets. While both a strength (for new food service entrepreneurs) and a weakness - the costs of starting a food truck business are low.


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