Strategy question

How would you approach launching Zomato in a new country?

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What this question tests

Market entry strategy, weighing local competition, supply-side logistics, and demand validation.

How to approach it

  1. Pick a target country and justify it briefly, like a Southeast Asian market with growing food delivery demand and less saturated competition.
  2. Assess the competitive landscape: identify the dominant local player and their strengths, like an entrenched logistics network.
  3. Assess demand: urbanization rate, smartphone penetration, and existing habits around food delivery or cash on delivery preference.
  4. Plan supply side first: recruit restaurant partners and delivery riders in one city before expanding, since supply drives the marketplace.
  5. Decide on localization needs: payment methods, language, and menu curation suited to local tastes.
  6. Define success as order frequency and restaurant retention in the pilot city within the first two quarters.

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