The ways and solution to reposition Sylvias bar Essay

The ways and resolving to reposition Sylvias bar - Essay ExampleIn relation to the study the company which has been selected is Sylvias Bar. It was star of the renowned noble street bar and a night club which was situated in Birmingham on the High Street. Sylvias Bar was founded way back in the year 1986 and was segmented as dashing drink and a cocktail bar and primary(prenominal)ly targeted the local bank workers. The Sylvias Bar was able o generate wage and was performing soundly with a healthy turnover. However in the recent fewer years the bar has non been performing up to the expectation and as a response thither has been a decline in the cabbages of the bar and at the same time has become less(prenominal) popular. Sylvias bar which once gathered about 400 to 500 customers on regular basis, however in recent years it has been able to gather on an average 100 to 150 customers. Since Sylvias Bar targeted the higher income level of people, there rates were also high as compared to any early(a) bar in the town. Sylvia hired the best bar staffs and in addition two of Sylvias paladin had also joined the business as assistance manager and claimed 20 per hour. Over the years, many of late night bars and clubs were opened which made the competition tough for Sylvias bar. As a result the customers preferred the some other night clubs over Sylvias bar which resulted in loss for the club. The staffs were also not satisfied with the management and wanted new changes to be implemented. Sylvias Bar had encountered problem which lead to its failure. one of the main problems was that of operational factors. The profits of the firm tend to decline at an increasing rate. In the monetary year 2011, the profit of Sylvias bar stood at negative balance. Sylvias bar was performing well till the financial year 2008 but in 2009 there was a sharp fall of profit and the last two financial years has experienced a declining profit rate. Year Monthly profit / loss (in Pounds Sterling) 2011 -400 2010 -250 2009 325 2008 1200 2007 750 2006 2800 2005 3500 Another problem was that of menu and cost of the products in Sylvias bar. The bar was established targeting the high class people of the society which include the bankers and as a result the prices were charged high. The cocktail menu started with a price range from ?8 to ?12. The wine was also costly and was imported from across the world. Bottles of wine which included the champagne started at about ?25and went up to ?250 while glasses going from ?6 to ?45. The pricing of the wine were seemed to be costly by the visitors and claimed that there were better wines at a cheaper rates in other night clubs. The food menu of Sylvias bar was also expensive and was served during the day. The price starts from ?23 for the main course and the most expensive dish cost ?35. But during the recent years there has been a fall in the demand for the food and as a result the bar often had to give way away ingredie nts. The bar hired classically trained cocktail bar staffs who normally