CLOUD KITCHEN: FEASIBILITY, VIABILITY, AND PATHWAYS TO PROFIT IN BANGLADESHS URBAN FOOD DELIVERY REVOLUTION

This study investigates the feasibility, operational viability, and critical success factors for establishing and scaling cloud kitchens delivery-only food preparation facilities in Bangladesh, an emerging economy characterized by rapid urbanization, increasing internet penetration, and evolving consumer lifestyles. Cloud kitchens, also known as ghost or virtual kitchens, eliminate the need for dine-in spaces, reducing overhead costs while leveraging digital platforms for order fulfillment and third-party delivery services. This model has gained traction globally, with the sector projected to reach USD 120 billion by 2027, driven by digital transformation, consumer demand for convenience, and post-COVID-19 shifts toward contactless services. In Bangladesh, the food delivery market is expanding, supported by over 130 million internet subscribers as of 2024 and platforms like Foodpanda, Pathao Food, and hungrynaki. However, local adoption remains nascent, hampered by inconsistent demand patterns, infrastructural limitations, regulatory ambiguities, and capital constraints.