RestaurantGoing to pubs, clubs, and bars is one of the most popular activities in the UK with almost 80 percent of the population visiting the pubs thrice a month on an average (Mbplc, 2006). The annual sale of the UK pub market was approximately £20 billion in 2005. The pub market has grown faster than the GDP. The increase in demand for eating out has concentrated in the neighborhood joints so new pubs can exploit these opportunities. The local pubs usually have low amenity standards and food offers are limited. Since this market is growing and highly competitive, quality food has to be offered, and giving the customer value for money can help drive sales.The British are rich in cash but poor on time, hence they prefer to ‘graze’ over food. Hence competition comes from fast-food centers that offer, price, convenience, and speed especially during lunch-time (IC, 2005). Competition is high while customer loyalty is low in the restaurant sector. Competitive edge can be derived from the service and the atmosphere. The interiors have to be tastefully planned. Thus it is important that SMEs develop originality as well as maintain a high level of personal service to cope with ever-changing market trends and larger (corporate) competitors’ e.g. Chains of bars such as Wagamamas etc.Since inception, the turnover at Zen has increased gradually, but has yet to reach the levels forecast in the business plans. It requires effective strategy and marketing techniques to survive. Zen faces various issues including market changes and shifting consumer tastes. Market research is essential as it may allow Zen to anticipate market trends rather than just react to them.Zen has a number of direct rivals within the area, with whom it competes for the market share. These include one pub, 3 CIU Clubs (Working Men’s Club and Institute Union), and one Chinesetakeaway outlet.