ISSN : 2355-9357 e-Proceeding of Management : Vol.10, No.

3 Juni 2023 | Page 1545

The Analysis Of Coffee Shop’s Business Strategy Formulation

(A Case Study at Coffee & Chill, Bandar Lampung)

Ahmad Fadli Saputra1, Siska Noviaristanti2

1
International ICT Business, Faculty of Economic and Business, Telkom University, Indonesia,
Ahmadfadli@student.telkomuniversity.ac.id
2
International ICT Business, Faculty of Economic and Business, Telkom University, Indonesia,
Siskamarhen@telkomuniversity.ac.id

Abstrack
Penelitian ini bertujuan untuk menganalisis faktor internal dan eksternal perusahaan, serta merumuskan
alternatif strategi perusahaan berdasarkan kondisi perusahaan menggunakan Matriks QSPM. Penelitian ini
menggunakan metode deskriptif kualitatif dengan teknik pengumpulan data wawancara, dokumentasi dan
observasi, serta perumusan strategi menggunakan Matriks IFE, EFE, IE, CPM dan QSPM. Hasil penelitian ini
menghasilkan skor matriks IFE sebesar 3,01 dan skor matriks EFE sebesar 3,43 yang mengakibatkan matriks IE
Coffee & Chill berada pada sel I dan strategi yang tepat untuk Coffee and Chill berdasarkan matriks IE adalah
pertumbuhan dan membangun. Dalam penelitian ini, Coffee & Chill menempati peringkat 2 dengan total bobot
skor 3, sedangkan untuk Café Kiyo dan Kopi 20 dengan bobot skor 3,14 dan 2,91. Berdasarkan rumusan alternatif
strategi pengembangan bisnis, diketahui bahwa strategi prioritas yang akan diterapkan Coffee and Chill dalam
bersaing dengan para pesaingnya adalah (1) Memindahkan lokasi bisnis baru ke pusat kota yang strategis dengan
nilai TAS sebesar 2,807 . Berdasarkan dari beberapa strategi yang diketahui, Coffee and Chill disarankan
memindahkan lokasi usahanya disertai dengan mempertahankan keunggulan dan peluang bisnis yang
sebelumnya ada di lokasi lama, yaitu terus menciptakan fasilitas coworking space, pemindahan lokasi usaha ke
pusat kota yang strategis dan tetap mengutamakan pelayanan yang berorientasi pada pelanggan.

Kata Kunci-IFE, EFE, CPM, QSPM, coffee.

Abstract
This study aims to analyze the company's internal and external factors, and formulate an alternative company
strategy according to the company's condition using the QSPM Matrix. This study uses a qualitative descriptive
method with interview, documentation and observation data collection techniques, and strategy formulation using
IFE, EFE, IE Matrix, CPM and QSPM Matrix. The results of this study resulted in an IFE matrix score of 3.01
and an EFE matrix score of 3.43, which resulted in the IE Coffee & Chill matrix being in cell I and the right
strategy for Coffee and Chill based on the IE matrix was the grow and build strategy. In this study, Coffee & Chill
is ranked 2 with a total weighted score of 3, while for Café Kiyo and Kopi 20 it has a total weighted score of 3.14
and 2.91. Based on the formulation of alternative business development strategies, it can be seen that the priority
strategies to be implemented by Coffee and Chill in competing with its competitors are (1) Moving the new
business location to a strategic city center with a TAS value of 2,807. It can be concluded that from a number of
known strategies, Coffee and Chill in moving its business location is accompanied by maintaining the advantages
and business opportunities that previously existed in the old location, namely continuing to create coworking
space facilities, maintaining a relaxed and comfortable cafe atmosphere, moving business locations to a strategic
city center and continue to prioritize customer-oriented services.

Keywords-IFE, EFE, CPM, QSPM, coffee.

I. INTRODUCTION
Coffee is a commodity that has a very large role in contributing to the Indonesian economy, throughout 2020
coffee production in Indonesia reached 762,380 tons. Most of this amount was donated from smallholder
plantations to Indonesia's total coffee production of 99.33 percent. Lampung occupies the second position as a
province that plays a major role in coffee production in Indonesia, which is 117,311 tons in 2020, the amount of
coffee produced is produced from 156,460 hectares of land (Fauzia,2021).
The corona pandemic changes the trend of the coffee business in 2021. It is estimated that coffee shop
business owners will increasingly compete for customers with quality coffee drinks, affordable prices, and more
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straightforward outlet concepts. The chairman of the Indonesian Coffee Exporters Association, Moelyono Soesilo,
said that the corona pandemic caused the demand and consumption of coffee from upstream to downstream to
decline. (Ekarina,2020)
The past few years have been very tough years for Coffee & Chill because there are more and more new
entrants who continue to enliven the market competition, even though with many competitors, coffee & chill
owner believes that they can still survive and compete with new entrants, therefore innovation must continue to
be done to be able to compete in the local market. Market and therefore, one of the strategic management tools
that are suitable and can help Coffee & Chill management to be able to investigate and map the position of the
main competitors compared to other competitors through the critical success factors they need is the EFE matrix,
IFE matrix, IE matrix, CPM matrix and QSPM matrix to indicate which is the best alternative strategy.
With the many competitors in the culinary industry in Bandar Lampung, the competition for Coffee Shops
has become very tight and the social trend of the people themselves who are now inclined to hang out at culinary
places. Although Coffee & Chill has several main strengths, such as the price offered and Modern Coffee Machine
and the problem is the number of customers who come is still minimal and there are still many people who do not
know information about Coffee & Chill. With these conditions, it encourages the author to conduct an analytical
study of Coffee & Chill strategy as an established Coffee Shop so that it is expected Coffee & Chill in the future
can become a good Coffee Shop and become the choice of people who like coffee or just hang out. For this reason,
the author gives the title of this study "THE ANALYSIS OF COFFEE SHOP’S BUSINESS STRATEGY
FORMULATION (A Case Study at Coffee & Chill, Bandar Lampung)=so owners can pick the right decision for
their business.

II. LITERATURE REVIEW

A. Understanding MSMEs
According to Tulus (2009: 2) MSMEs are productive business units that stand alone, which are carried out
by individuals or business entities in all economic sectors. According to Law no. 20 of 2008 concerning Micro,
Small and Medium Enterprises are:
1. Micro Enterprises are productive businesses owned by individuals and/or individual business entities
that meet the criteria for Micro Enterprises as regulated in this Law.
2. Small Business is a productive economic business that stands alone, which is carried out by individuals
or business entities that are not subsidiaries or not branches of companies that are owned, controlled or
become part of either directly or indirectly from Medium Enterprises or Large Businesses that meet the
criteria for Small Businesses. as referred to in this Law.
3. Medium Enterprises are productive economic businesses that stand alone, which are carried out by indi-
viduals or business entities that are not subsidiaries or branches of companies that are owned, controlled
or become part of either directly or indirectly with Small Businesses or Large Businesses with total net
assets or proceeds. annual sales as regulated in this Law.

B. Understanding Strategy
According to Pearce II & Robinson (2013:4) Defined strategy is a large-scale plan with a future orientatioact
with competitive conditions to achieve company goals. As stated by Ritson (2013:9), <strategy is a kind of future
action plan, usually understood as being carried out by senior management at a high level of abstraction.
According to Hariadi (2003: 34), business strategy is a strategic plan that occurs at the divisional level and
knows how to build and strengthen the competitive position of the company's products and services in the
particular industry or market served by the division.
According to Quinn (1999: 10) defined strategy as a form or plan that integrates the main objectives, policies
and courses of action within an organization in a unified whole. A well-formulated strategy will help the
organization and allocation of the company's own resources uniquely and sustainably.

C. Strategy Management
According to Pearce II & Robinson (2014:3) Point out that Strategic management is determined as the set of
decisions and actions that outcome in the formulation and implementation of plans and to perform and obtain
company’s objectives. David (2017:33) Defined Strategic management is the art and science of formulating,
implementing, and evaluating cross-functional decisions that enable an organization to achieve its objectives.

D. Strategy Formulation
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According to Pearce II & Robinson (2014:21), Strategy formulation guides executives in defining the
enterprise their company is in, the ends it seeks, and the manner it's going to use to perform those ends. The
method of method formulation is an improvement over that of traditional long-range making plans. According to
David (2017:34) strategy formulation includes developing a vision and a assignment, figuring out an company’s
external possibilities and threats, figuring out internal strengths and weaknesses, organizing lengthy-time period
objectives, producing opportunity techniques, and deciding on precise strategies to pursue. strategy-system issues
encompass deciding what new agencies to go into, what agencies to desert, whether to increase operations or
diversify, whether or not to go into international markets, whether or not to merge or form a joint venture, and a
way to avoid a antagonistic takeover.

E. Competitive Advantage
According to David (2017:36), competitive advantage is vital for long-term achievement in an company, and
Strategic management is all approximately gaining and preserving competitive advantage. This time period can
be described as any activity a firm does in particular properly as compared to sports executed by rival corporations
or any resource a firm possesses that rival firm’s choice.
According to Pearce II & Robinson (201:231) Businesses that create competitive advantages from one or
both of these assets generally enjoy above-common profitability within their enterprise. Business that lacks a
value or differentiation advantage usually enjoy common or under-common profitbaility.
According to Michael A. Hitt & R. Duane Ireland &. Robert E.Hoslisson (2005:72) To develop a competitive
advantage, the firm must consider numerous factors within the global economy, along with the rapid improvement
of the internet's capabilities, which have made it more and more tough for companies.

F. IFE Matrix
According to David (2017:204), A summary step in carrying out an internal strategic-management audit is to
assemble an internal factor evaluation (IFE) Matrix. This strategy-formulation device summarizes and evaluates
the primary strengths and weaknesses inside the practical areas of an enterprise, and it additionally affords a basis
for identifying and evaluating relationships among those areas. Intuitive judgments are required in developing an
IFE Matrix, so the appearance of a scientific technique must not be interpreted to mean this is an all-powerful
method.

G. EFE Matrix
An external factor evaluation (EFE) Matrix permits strategists to summarize and evaluate economic, social,
cultural, demographic, environmental, political, governmental, legal, techno- logical, and competitive information
(David,2017). The External Factor Evaluation (EFE) Matrix is used to evaluate the company's external factors.
External data is collected to analyze matters relating to issues: Economy, socio-culture, environment, politics,
law, technology, competition in industrial markets (Sedarmayanti,2014).

H. IE Matrix
According to Rangkuti (2018:207) Defined before the strategy is implemented, the strategic planner must
analyze the external environment for various possible opportunities and threats. Strategic issues that will be
monitored must be determined, because it is estimated that these issues can affect the company in the future. After
using the IE matrix analysis model, then you can use the space matrix to sharpen the analysis.

I. CPM Matrix
According to David (2017:236) The competitive Profile Matrix (CPM) identifies a company’s primary
competitors and its par- ticular strengths and weaknesses in terms of a sample company’s strategic role. The
weights and overall weighted scores in both a CPM and an EFE have the identical meaning. however, criti- cal
success factors in a CPM consist of both internal and external issues. The critical success factors in a CPM are
not grouped into possibilities and threats as they're in an EFE. In a CPM, the rankings and overall weighted ratings
for rival companies can be compared to the sample company. This comparative evaluation offers essential internal
strategic information. keep away from assigning the same score to companies included in your CPM evaluation.

J. QSPM Matrix
The relative attractiveness of every strategy within a set of alternatives is compute by figuring out the
cumulative impact of every external and internal aspect. Any number of units of alternative techniques can be
included inside the QSPM, and any number of methods could make up a given set. However most effective
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strategies within a given set are evaluated relative to each other. for instance, one set of techniques may
additionally include diversification, while some other settings may also include issuing inventory and selling a
department to elevate needed capital. These units of techniques are completely one of a kind, and the QSPM
evaluates techniques best inside sets (David,2017).

K. Theoretical Framework

Figure 1. Theoretical Framework

III. RESEARCH METHOD

A. Structural Equation Model
This study uses qualitative methods with descriptive purposes, where the data collection using Interview and
literature study, and also processed using IFE matrix, EFE matrix, IE matrix, CPM matrix, and QSPM matrix.

B. Data Collection
In this study using primary and secondary data. Primary data collection were obtained through interviews
with 7 sources who have direct relationships. While secondary data sources were obtained through documentation
and literature study techniques, such as studies of company profiles, government and organizational publications,
books, journals and the internet.
Data collection tools in this study were carried out by the method of unstructured interviews (in-dept
interview) with informants. The purpose of unstructured interviews is to find deeper problems, where the
interviewee is asked for his opinions and ideas.

IV. RESULT AND DISCUSSION

A. IFE Matrix

Table 1. IFE Matrix List

Coffee and Chill
Strenghts

Key Internal N1 N2 N3 Average Rating x

NO Weight
Factors (Owners) (Manager) (Kitchen) Rating Weight

Prioritizing
1 customer 3 3 3 3 0,1 0,3
friendliness
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Operational
management
of Coffee &
Chill that has
2 3 3 3 3 0,05 0,15
been running
well and
remotely
controlled

Inventory
procedure and
quality
3 control that 3 3 4 3,333333333 0,06 0,2
has been
implemented
accordingly

Coffee and
Chill has
4 short, medium 3 3 3 3 0,08 0,24
and short term
business plans

Coffee and
Chill's
operations are
aided by the
5 use of 3 3 3 3 0,1 0,3
technology
that
summarizes
work

Coffee and
Chill still
6 consistently 3 3 3 3 0,07 0,21
sellsmanual
brew

Location
Coffee and
Chill is
7 4 4 3 3,666666667 0,18 0,66
located in the
city center
and strategic

Weaknesses
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Coffee and
Chill haven't
8 touched Brea 4 4 3 3,666666667 0,1 0,366666667
Even Point for
4 years

Narrow
9 3 2 3 2,666666667 0,08 0,213333333
parking lot

Budget for
marketing has
10 3 2 2 2,333333333 0,08 0,186666667
not been
effective

Small place
11 1 2 2 1,666666667 0,05 0,083333333
size
Promotion
12 strategy is not 2 2 2 2 0,05 0,1
maximized
Total 1 3,01

Based on the picture above, it can be seen that the total score of the IFE Coffee and Chill matrix is 3,01 which
belongs to the category of strong internal position. This shows that Coffee and Chill is able to take advantage of
its strengths to run its business in the Coffee shop industry. Based on the IFE matrix, the biggest strength that
Location Coffee and Chill is located in the city center and strategic 0,66. Meanwhile, the main weakness of Coffee
and Chill is that Coffee and Chill haven't touched Brea Even Point for 4 years with a score of 0,366.

B. EFE Matrix

Table 2. EFE Matrix

Coffee and Chill
Opportunities
N6 N7 Ratin
Key N1 N4 N5 Averag
N (Faiza (Naufal Weigh gx
External (Owner (Yusrez (Rikbiand e
o Rizqia Rizkullo t Weigh
Factors s) a) o) Rating
) h) t
The
economy
1 2 3 3 3 3 2,8 0,1 0,28
has started
to recover
Consumers
are satisfied
with the
2 4 3 2 3 3 3 0,1 0,3
Coffee and
Chill
service
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The level of
coffee
consumptio
3 4 3 3 4 4 3,6 0,1 0,36
n in
Lampung is
high

Variety of
4 menus 3 3 3 3 3 3 0,03 0,09
served
Brand
attractivene
5 4 3 4 4 4 3,8 0,05 0,19
ss of
business

Atmosphere
6 Coffee and 3 3 3 4 3 3,2 0,1 0,32
Chill

Coffee and
Chill
coworking
space
7 facilities 4 4 4 3 4 3,8 0,15 0,57
support the
work from
cafe
lifestyle
The
existence of
a lifestyle
trend of
8 drinking 3 3 3 4 3 3,2 0,05 0,16
coffee helps
the
Coffeeshop
business
Threats

Businesses
suffer losses
1 3 3 3 3 4 3,2 0,1 0,32
during the
pandemic

High
inflation
rate causes
2 fluctuating 4 3 3 4 4 3,6 0,1 0,36
raw
material
prices
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The
massive
growth of
coffeeshops
3 makes 4 4 4 4 4 4 0,12 0,48
business
competition
increasingly
fierce

Total 1 3,43

Based on the picture above, it can be seen that the total score of the EFE Coffee and Chill matrix is 3,43
which belongs to the category of high or strong external position. This shows that Coffee and Chill is able to
respond to opportunities and face threats that exist in the Coffee and Chill external environment, especially for
the Coffee Shop industry well. Based on the EFE matrix, the biggest opportunity that Coffee and Chill has is the
Coffee and Chill coworking space facilities support the work from cafe lifestyle with a score of 0,57. While the
biggest threat to Coffee and Chill is The massive growth of coffeeshops makes business competition increasingly
fierce with a score of 0,48.

C. Competitive Profile Matrix

Table 3. Competitive Profile Matrix

Competitive Profile Matrix
Kopi Kiyo Kopi 2.0 Coffee and Chill

Critical Success Factors Weight Rating Score Rating Score Rating Score

Place Atmosphere 0,1 4 0,4 3 0,3 3 0,3

Product Quality 0,1 3 0,3 4 0,4 2 0,2
Price Competitiveness 0,1 3 0,3 2 0,2 4 0,4
Human Resource 0,09 3 0,27 2 0,18 2 0,18
Promotion 0,09 3 0,27 3 0,27 3 0,27
Customer Loyalty 0,09 3 0,27 3 0,27 3 0,27
Brand Reputation 0,1 4 0,4 3 0,3 3 0,3
Marketing Budget 0,07 3 0,21 3 0,21 3 0,21

Business Financial Condition 0,07 2 0,14 3 0,21 3 0,21

Business Attractiveness 0,09 2 0,18 3 0,27 4 0,36

Hospitality 0,1 4 0,4 3 0,3 3 0,3
Total 1 3,14 2,91 3
The CPM Matrix items were obtained from owner and each competitor were assign a rating to indicate their
perceptions of that firm’s strength or weakness in terms of each key success factor. Based on the results of the
interview Coffee & Chill's strength lies in hospitality, Coffee & Chill opens early at seven o'clock in the morning,
new menu innovations, and good communication between top management and employees, Coffee & Chill still
consistently sells manual brew, a comfortable place. However, the main strength of Coffee & Chill lies in its
excellent service, and it can be seen from the baristas that they can make consumers comfortable and make Coffee
& Chill as the initial choice of place to hang out.
The weakness of Coffee & Chill lies in less instagramable places. Although, in today's era, consumers are
looking for coffee shops with instagramable architectural designs, Coffee & Chill places are small, and Coffee &
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Chill has a small parking lot compared from its competitors. Kopi 20 weaknesses they only sell beverage coffee
they don’t have snack and main courses, for Café Kiyo the service is not good enough, the place is not friendly
because it's crowded and noisy, expensive.

D. IE Matrix

Figure 2. IE Matrix

Based on the calculation of the total weight between internal and external strengths taken from the IFE and
EFE matrixes, it is known that the IFE score matrix is 3,01 the EFE score matrix is 3.43, so that if the line is
drawn the point is found in quadram I which is the growth and build quadrant. Cell I proposes a grow and build
strategy. In this case, the tactical strategy of the business is to focus on market penetration and product
development. The prescription for divisions that fall into cells I, II, or IV can be described as grow and build.
Intensive (Market Penetration, Market Development, Product Development) or integrative (backward integration,
forward integration, and horizontal integration) strategies can be most appropriate for these divisions. This is the
best region for divisions, given their high IFE and EFE scores. Successful organizations are able to achieve a
portfolio of businesses positioned in Region 1.

E. QSPM Matrix
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Figure 3. QSPM Matrix

Based on the QSPM analysis above, it can be seen that the priority strategies to be implemented by Coffee
and Chill in competing with its competitors are (1) Moving the new business location to a strategic city center
with a TAS value of 2,807 (2) Market Penetration with a TAS value of 2,696 (3) Fully Renovate Existing Store
with a TAS value of 2,181 (4) Product Development with a TAS value of 1,84. It can be concluded that from a
number of known strategies, Coffee and Chill in moving its business location is accompanied by maintaining the
advantages and business opportunities that previously existed in the old location, namely continuing to create
coworking space facilities, maintaining a relaxed and comfortable cafe atmosphere, moving business locations to
a strategic city center and continue to prioritize customer-oriented services.

F. Discussion of Research Results

Based on the results of the two interviews with Ahmad Sofuan Dwi Saputra as the owner of the Coffee and
Chill Coffee shop above, it can be concluded that the priority strategy for Coffee and Chill is location movement,
but of course it is recommended by researchers for Coffee and Chill owners to promote franchises through social
media or direct relationships. investors so that Coffee and Chill can implement its strategy. According to Ahmad
Sofuan Dwi Saputra, the alternative strategy produced by this research is good and will likely be carried out until
the resources owned by Ahmad Sofuan Dwi Saputra are sufficient to implement the alternative strategy of this
research. Coffee and Chill is expected to be able to implement the results of this research optimally so that Coffee
and Chill can compete with more and more competitors and feel the positive impact of this research.

V. CONCLUSION
A. Conclusion
Based on all the results of the analysis and discussion with interviews and observations as well as
questionnaires that were distributed directly to sources from both internal and external Coffee and Chill parties,
it can be concluded that the results are as follows:
1. The total score of the IFE Coffee and Chill matrix is 3,01 which belongs to the category of strong internal
position. This shows that Coffee and Chill is able to take advantage of its strengths to run its business in
the coffee shop industry. Based on the IFE matrix, the biggest strength that Location movement Coffee
and Chill is located in the city center and strategic 0,66. Meanwhile, the main weakness of Coffee and
Chill is that haven't touched Brea Even Point for 4 years with a score of 0,366.
2. The total score of the EFE Coffee and Chill matrix is 3,43 which belongs to the category of high or strong
external position. This shows that Coffee and Chill is able to respond to opportunities and face threats
that exist in the Coffee and Chill external environment, especially for the coffee shop industry well.
Based on the EFE matrix, the biggest opportunity that Coffee and Chill has is the Coffee and Chill
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coworking space facilities support the work from cafe lifestyle with a score of 0,57. While the biggest
threat to Coffee and Chill is The massive growth of coffeeshops makes business competition increasingly
fierce with a score of 0,48.
3. Based on the results of the calculation of CPM matrix where the data obtained from the interview Coffee
& Chill's strength lies in hospitality, Coffee & Chill opens early at seven o'clock in the morning, new
menu innovations, and good communication between top management and employees, Coffee & Chill
still consistently sells manual brew, a comfortable place. However, the main strength of Coffee & Chill
lies in its excellent service, and it can be seen from the baristas that they can make consumers comfortable
and make Coffee & Chill as the initial choice of place to hang out.
4. Based on the calculation of IE matrix where the data obtained from the total weight between internal and
external strengths taken from the IFE and EFE matrices, it is known that the IFE score matrix is 3,01 the
EFE score matrix is 3.43, so that if the line is drawn the point is found in quadram I which is the growth
and build quadrant. Cel I proposes a grow and build strategy. In this case, the tactical strategy of the
business is to focus on market penetration and product development. The prescription for divisions that
fall into cells I, II, or IV can be described as grow and build. Intensive (market penetration, market
development, and product development) or integrative (backward integration, forward integration, and
horizontal integration) strategies can be most appropriate for these divisions. This is the best region for
divisions, given their high IFE and EFE scores. Successful organizations are able to achieve a portfolio
of businesses positioned in Region 1.
5. Based on the QSPM analysis, it can be seen that the priority strategies to be implemented by Coffee and
Chill in competing with its competitors are (1) Moving the new business location to a strategic city center
with a TAS value of 2,807. It can be concluded that from a number of known strategies, Coffee and Chill
in moving its business location is accompanied by maintaining the advantages and business opportunities
that previously existed in the old location, namely continuing to create coworking space facilities,
maintaining a relaxed and comfortable cafe atmosphere, moving business locations to a strategic city
center and continue to prioritize customer-oriented services.

B. Recommendation
1. To Coffee and Chill
a. Based on the result of the research considerations and discussion, most appropriate solution for internal
problem is as follows :
1) The place is small and the parking lot is also small
The owner of Coffee and Chill has invested in land that is still not sure what will be built, Coffee and
Chill can move its business location to a new place which of course has a bigger place and also a bigger
parking lot, but Coffee and Chill needs investors to can execute it because Coffee and Chill is short of funds.

2) The place has an interior design that is less Instagram able

To anticipate this, it is recommended for Coffee and Chill to renovate their place or move their business
location.

3) Lack of product innovation

Actually Coffee and Chill already has good products but Coffee and Chill still lacks innovation, it is
recommended that Coffee and Chill recruit a research development team to focus on product innovation.

4) Still has not maximizing the use of social media

To overcome this problem, Coffee and Chill is expected to be able to conduct recruitment for social
media specialists who have an understanding of social media Facebook, Instagram and Tiktok in order to
maximize the promotions that are carried out.

5) Lack of capital to move the business location

To overcome this problem, it is recommended for the owner to promote the franchise through social
media or through direct people, of course with interesting proposals, interesting concepts and also clear profit
sharing and stock splits.

b. Based on the result of the research considerations and discussion, most appropriate solution for external
problem is as follows :
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1) Possibly entry new competitors in this industry

To deal with this problem Coffee and Chill must implement a pricing strategy using competitor analysis,
Coffee and Chill can do research and see the performance of its competitors. By using this method Coffee
and Chill can determine a price that is more pleasing to consumers so that consumers prefer Coffee and Chill
when compared to its competitors.

2) Economic conditions that are experiencing a downturn

To overcome the economic downturn in Indonesia, Coffee and Chill can implement promotions for its
products and apply a bundling pricing strategy in order to attract consumers back.

3) High inflation in Indonesia

To overcome this problem, Coffee and Chill is advised to increase the cost of goods sales of the product
or reduce the quality of the ingredients in order to overcome the high price of raw materials.

4) PPKM regulations that affect sales

To overcome this, Coffee and Chill can increase its promotions on social media and also focus sales on
Gofood, Shopeefood, and Grabfood so that it can improve sales performance.

2. To Further Researchers
a. Adding tools at the matching stage, namely the Boston Consultant Group (BCG) Matrix, Strategic
Position and Action Evaluation (SPACE) Matrix, Grand Strategy Matrix and Strengths-Weaknesses-
Opportunities-Threats (SWOT) Matrix, So that further researchers can examine more related sources and
references.

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