Business Expansion In Mauritius Harvard Case Solution & Analysis


Mauritius is a tropical island and the strategic global business center is situated in the Indian Ocean. The capital of Mauritius is Port Louis, and the population is 1,259,000 with the workforce of 578,500. Mauritius is one of the most friendly and open economies of sub-Sahara Africa. It is located between the Asia and Africa, its political and socio-economic stability lead the country to sustain its GDP growth rate. Moreover, with the good governance, the beautiful locations, tourism and the wide range of incentives help to boost investment of large and SMEs companies.

Mauritius is considered as the most suitable and recognized as being an excellent place for doing business and to increase the company’s revenue. The country’s best international practices and development policies encouraged and acknowledged many international agencies such as World Bank, the financial action task force TATF) and organization for economic cooperation and development (OECD). The objective of the country is to boost international companies to invest in Mauritius and increase the GPD growth of the country (Durbarry, 2004).

The climate of Mauritius is very pleasant over the whole year and it attracts tourists with mainly its 3s such as the sun, the sea, and the sand. Moreover, the tourism is considered as a most promising growth sector in Mauritius and offers opportunities for economic diversification. The purpose of the promotion of tourism and international business is to accelerate the growth of national income, foreign exchange earnings, gainful employment, more job opportunities, and government tax revenues. Moreover, the other sectors such as agriculture and fishing in Mauritius adequately meet the needs and demands of the people (Padya, 1984).

Shanghai food restaurant, one of the famous restaurants in China, developed a strategy to expand its business in emerging market of Mauritius. Shanghai food restaurant is the key player in China and helps to boost the revenue of the country. Shanghai restaurant offers a wide range of cuisine and provides best dining experience with beautiful ambiance. The restaurant’s strategy is combined with the option of home delivery and positioned to take an advantage of the market need of the people of Mauritius effectively and efficiently. The basic purpose of the restaurant is to provide best quality food and services, to maximize more customers’ satisfaction.

Mostly tourists in Mauritius prefer Chinese cuisine because the cuisine is readily available all over the world, and it is quite affordable to many tourists. The history of the Mauritius Island and its attachment to China resulted in the predominance of Chinese food in most restaurants and hotels. Therefore, Shanghai food restaurant decided to launch their business in Mauritius to expand their product line and increase the revenue of the country. Moreover, tourism would be the huge advantage for the Shanghai restaurant to maximize the customers and its competitive advantage.

However, there are numerous players in the food industry in Mauritius and they have already gained a huge market share. Therefore, it would be a big challenge for the Shanghai to expand their business in emerging market, and develop a strategy to gain competitive advantage. Moreover, it requires a huge capital and time to expand the business successfully and effectively (Archer, 1985). 


The vision of the restaurant is to be the best provider of Chinese cuisine in Mauritius. The restaurant’s mission is to create a friendly and pleasant atmosphere for the customers and staffs. Moreover, the aim is to provide the best value-added services to our customers who desire for great tasting food. Apart from that, we also create a healthy, flexible, creative, and trustful working environment for the employees, in which they fairly compensated and motivated to work effectively and efficiently.


Social and culture

The association of tourism and national cuisine depend upon the role of cuisine in shaping the social culture that creates a national uniqueness. Food is not only basic need for the tourist but also a cultural component. Mauritius comprises of multiple and diversified culture that provide the favorable advantage for the restaurant to expand its business in the country. However, there is also a loophole for the restaurant that mostly local people of Mauritius prefer to eat local food or other fast food. Nonetheless, the local cultural practices sometimes prefer to adopt foreign tastes, which lead to the creation of contrived cultural products..........................

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