Analysis of restaurants using SWOT analysis: A basis for strategic framework

Abstract

This study examines the competitiveness of medium-scale restaurants in Nueva Ecija, Philippines, and proposes a SWOT (strengths, weaknesses, opportunities, and threats)-based strategic framework for strengthening marketing, technical, and financial management practices. Grounded in strategic management and SWOT analysis perspectives (Benzaghta et al., 2021), the study employs a quantitative descriptive-correlational design using survey data from 70 owners, managers, and supervisors of local restaurants. Findings indicate strong internal capabilities, particularly in technical operations, food quality, sanitation compliance, workflow efficiency, customer responsiveness, brand recognition, and financial control. However, competitiveness is challenged by gaps in digital marketing, customer acquisition, partnership development, technology integration, revenue diversification, and external threats such as rising costs, changing consumer preferences, supplier instability, and intensified competition. The study identifies marketing innovation, operational standardization, supplier collaboration, digital adoption, and financial planning as strategic responses for improving resilience and long-term sustainability. Its central contribution is an integrated strategic framework that views restaurant competitiveness as a capability-driven and adaptive process rather than a purely market-based outcome. By aligning internal strengths and weaknesses with external opportunities and threats, the framework offers practical guidance for restaurant owners, managers, policymakers, and development stakeholders seeking to enhance competitiveness, operational resilience, and sustainable business growth in Nueva Ecija.