Companies with smaller profit margins must create a larger following of loyal customers because they need to rely on the quantity of customers, not the markup, for their profits. Caffe Umbria will charge $2.00 per 16oz cup of coffee to keep it below the national average cost while not compromising quality of the product. Packaging needs to stay small for purchase in store and online for home brewers so that the customer still gets the same fresh taste at home as they do in the cafes and extra care should be taken to ensure the freshness of the coffee, safety of the packaging, and the shrink in the packaging process. The lower the costs in shrink of packaging and
Also, it uses all natural ingredients in its cooking so customers think they are getting a better value along with eating healthier. Lastly, Panera Bread focuses on a higher quality of training towards its employees which allow them to sell a better image to the customers. Panera Bread has weaknesses such as trying to attract its customers to the other conventional eating segments throughout the day such as breakfast dinner. This creates a very short operating window to conduct business throughout the day obviously the company to not reach its full potential in sales. Panera Bread's opportunities lie within its ability to potentially create off-premises and online catering.
Running head: COSTING METHODS PAPER Costing Methods Paper Jane Doe University of Phoenix Accounting ACC/561 Barbara Kantor November 27, 2012 Costing Methods Paper Super Bakery, Inc. was founded by Franco Harris, formerly of the Pittsburgh Steelers, in 1990. The corporation supplies healthy, vitamin enriched doughnuts and other baked goods, out of an initial desire to make a difference in the institutional food market by targeting school systems nationwide (Kimmel, 2009). While, the company experiences positive growth since its inception, Super Bakery is at the point where it needs to explore a costing system that can establish a more accurate product costing method that can, at minimum, improve control of overhead costs. What strategies did the management of Super Bakery, Inc. use? Formed as a virtual corporation, Super Bakery designed a business model that performs key strategic planning and business functions in-house while outsourcing all manufacturing components as a cost reductions strategy.
Executive Summary Starting with a little seed money from the owners, Sift Bakery was founded with the goal of providing a guilt free dessert that delivers an OMG factor to all their customers through superior customer service and trendy décor. With already acquired knowledge in the specialty baking market for California and increasing pressure from competition it is suggested that Sift implement a steady expansion strategy combining retail and baking stores to increase overall sales roughly 35% year over year and maintaining consistent operating expenses. Sift has remained strong in certain demographics to hold their position as a specialty bakery however, with the spawn of new social media and marketing platforms available, Sift is shifting its efforts to accommodate the increase in new marketing tactics and branding strategy. Considering the high level of competition in the Bay Area market, Sift has considered a few options to increase their footprint. As suggested, it is believed that implementing a targeted and focused expansion based on the current business model will accomplish the overall goal while managing the growth based on financial indicators and health of the business.
Sophia Robinson April 1, 2013 BUS/210 SWOT Analysis I chose to do my SWOT analysis on the business plan for Jolly’s Java and Bakery (JJB) located in Southwest Washington. After careful review of this business plan I feel that this particular plan was very well thought out with few weaknesses and threats to the sustenance of the business. The owners, Austin Patterson and David Fields both have broad experience in the industry; Patterson in sales, marketing, and management; Fields in finance and administration. I feel that this amount of experience is a great attribute whenever people are considering pursuing business endeavors. JJB aims to offer its large selection of high quality coffee products and fresh baked goods products at a competitive price to meet the demand of the middle-to higher-income local market area residents and tourists at all times during operating hours.
Q1-1, how attractive is the Keurig system to the typical Office Coffee Distributor? Answer: Since K-Cup represents a new means of packaging coffee which increase shelf life of and assures the freshness of coffee, distributors may able to reduce the frequency of supply and reduce the pressure from delays in transportation. Above features may lead distributors save money on distribution process, thus they may prefer distributing K-Cups over their currently supplying coffee. Q1-2, how attractive is the Keurig system to the coffee roaster? Answer: A long with the changing demand of customers and developing technology, coffee roasters need to catch up industry trend and adjust the change to ensure stay and continuing success in the coffee industry.
When someone says they are going to get a drink from Starbucks, without thinking, you automatically are filled with images of a high-end coffee shop and can maybe even smell the brewed coffee. Without even realizing it, every aspect of Starbucks has been carefully chosen to persuade customers to enter the store, and to buy their coffee (Ruzich 433). In this rhetorical analysis/commentary of Starbucks I will be going in depth on the authors article about Starbucks. Not only does Starbucks persuade a person to buy their coffee, but also the warm, cozy atmosphere makes a person feel at home so it gets them to stay in the coffee shop even longer. Purpose: Ruzich’s purpose in this article is to inform the reader of the reason why Starbucks has become such a sensation.
The customers can be classified into two kinds: the long-standing customers like residents and faculties, and temporary customers like students and visitors. In September 2009, Tim Hortons will open up its first store in the West Mall Complex (WMX) of SFU, replacing Raven's Cafe and Chartwells. Tim Hortons is a fast-serve coffee franchise that serves coffee, espresso products, cold beverages, sweets such as donuts, and breakfast, lunch and dinner meals. The company’s quality products, combined with a strong reputation for service and reliability, allow them to attract and maintain a large and loyal customer base nationwide. Although Tim Hortons and Renaissance Coffee operate in different segments of the coffee market, and differ strongly from atmosphere and business structure, to product quality and product pricing, Renaissance's sales level may still be strongly affected by this opening.
To date, they seem to have accomplished this. Gradually, Starbucks has added semi-automatic espresso machines, dispensing machines and new blends of coffees yearly. Ovens were added to each store to incorporate fresh pastries so patrons wouldn’t have to go to another store for their coffee cake. Breakfast sandwiches were added to the menu to expand to the breakfast food market. For employees, Starbucks has created a partnership attitude and a “Special Blend” (Working at Starbucks, 2011) of benefits.
Financial Statement Analysis Starbucks Vs. Caribou Coffee By: Dan Polak 2/21/11 Which is the better investment? When choosing a company to invest in, it is best to avoid brand name bias and choose the company that, according to its books, is the most efficient and profitable. While Starbucks is the famous brand name, it is also clearly the better company. Not only is it the international fresh brew behemoth, but, year by year, it never ceases to prove just how much the world, especially Americans, love their fresh cup of coffee and how much they’re willing to pay for it. When analyzing the four financial statements, it is easy to see that Starbucks triumphs over Caribou in almost any statistic or ratio.