Chatar Patar: The Scaling-Up Dilemma

Description

Chatar Patar was a quick service eatery in India that prided itself on serving tasty panipuri that was prepared hygienically from healthy ingredients. The venture was started in 2012 with the plan to first develop a popular and established brand, and then to expand to a multi-store outlet in 2018. The team had prepared expansion plans, favouring franchising as the mode of expansion. Despite their research, in 2016, the team was still undecided about which expansion route to take. The managing director wondered whether it was too soon to expand, and whether the team and the company were sufficiently prepared. Should the company proceed with expansion? And if so, how should the managing director and his team proceed?

Learning Objective

This case is ideal for undergraduate and graduate courses on entrepreneurship in management. It traces the life of a new venture, starting with a small eatery and then developing the business with a franchise model. The story of Chatar Patar raises a wide range of issues that entrepreneurs need to address in a venture's life cycle—conceptualization, start-up, growth, and harvesting. After working through the case and assignment questions, students will be able to do the following: ·Understand the entrepreneurial process. ·Assess new venture opportunities. ·Analyze the various options for scaling up.

Keywords

Entrepreneurship franchise new venture growth scale-up