PROPOSED OF PIVOT STRATEGY FOR RESTAURANT BUSINESS DURING COVID-19 PANDEMIC WITH BUSINESS MODEL CANVAS ANALYSIS; CASE STUDY D’COLONEL HERITAGE BANDUNG

• Main Author: Faqih Koswara, Muhamad
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/53026
• Institution: Institut Teknologi Bandung

The creative economy in Indonesia contributes to GDP, reaching 7.28%, the third-largest in the world. The culinary business is the business that contributes the most to the creative economy, with a contribution ratio of up to 41.47%. Creative economy growth occurs in several regions in Indonesia, one of which is in the city of Bandung, which has grown to 10% annually. However, since March 2020, when the corona pandemic entered Indonesia, many businesses have experienced a decline in turnover. This is due to the recommendation of WHO to maintain social distance and interaction, which makes all activities carried out only from home. It is evident from 17 cities in Indonesia, 13 of them, including Bandung, have experienced a significant decline. D’Colonel Bandung Restaurant is one of the culinary business players in Bandung who is feeling the impact. During one year, D’Colonel Bandung experienced a significant decline in turnover coupled with pandemic conditions that made it lose revenue and customers. D’Colonel needs to pivot into his business strategy. This research was conducted to help D’Colonel Bandung pivot his business strategy. This was done so that D’Colonel Bandung could increase its income and adapt to the current pandemic conditions. This research was started by modeling the business run by D’Colonel Bandung using the Business Model Canvas (BMC). BMC is used as a modeling tool because it is considered to properly describe, visualize, assess, and change a business model. The BMC that is made is then performed a SWOT analysis (strength, weakness, opportunity, threat) both internally and externally, using the SPACE Matrix. The SPACE matrix is a method for analyzing the competitive position of an organization. The result of this analysis is a strategic posture suitable for D’Colonel Bandung. This strategic posture became the foundation for D’Colonel Bandung in pivoting his business strategy. That way, the pivot is reliable and can be done by D’Colonel Bandung. Based on the SWOT analysis results, from the internal side, D’Colonel has 19 aspects of strengths and 25 aspects of weaknesses in the business model being run. D’Colonel Bandung has 17 aspects of opportunity from the external analysis side and 17 aspects of threats in the business model that it runs. Based on the SWOT mapping results in the SPACE Matrix, D’Colonel Bandung has a defensive strategic posture. This required D’Colonel Bandung to remove the weaknesses it had in its business model and avoid the threats that followed. That way, D’Colonel can maintain his business. Based on this strategic posture, four pivots are suitable to reduce weaknesses and avoid the threat of D’Colonel Bandung, namely: zoom-out pivot, which is adding some products or services for customers; customer need pivot, which is changing customer needs to be resolved without eliminating previous customer solutions; the engine of growth, namely by changing how a business can get new customers; and channel pivot, which is to remove and add several new channels so that they are still relevant and suitable for customers. The pivots carried out in D’Colonel Bandung's business strategy were then mapped back into a new BMC alternative. This research also explains how the proposed implementation of the new BMC for D’Colonel Bandung.