Firms in the fast food industry and home meal replacements have to continuously innovate to maintain various product differentiations and high quality of food and service in order to stand out against competitors. Otherwise, their product is easily substituted. Bargaining power of buyers: The bargaining power of buyers is high since customers have low switching costs. Thus, each firm within the industry is susceptible to losing customers. To address this,
* Meets the desire of Paul Livoria * Additional revenue source ( appendix 4) * Increasing franchising trend, 70% of restaurants in Dawkins are franchises * Takes advantage of population growth and high family disposal income in Dawkins * A strong motive for franchise managers to make their restaurants as profitable as possible * An opportunity to improve menu base on local demand, shared innovative ideas and success stories among franchisees that can help strengthened growth Cons * Risk of losing sandwich quality as managers might not comply to standard procedures or invest in people or maintenance * Additional cost of finding and monitoring company managers * In case of failure to comply to franchise agreement, terminating the contract can be costly and difficult * Increasing strict quality heath control in Dawkins and risk of losing franchises that do not adhere to these quality
IPO Project –Chipotle Mexican Grill, About company Chipotle Mexican Grill, Inc. and its subsidiaries has operated 1,084 restaurants in the United States, two in Toronto, Canada and one in London, England till December 31, 2010.Over the past five years, company has experienced grown up greatly and substantially, and expect to their big rally of 2011, new openings between 135 and 145 restaurants are expected to operate in 2011. Chipotle is working to change the way people think about and eat fast food by looking to fine-dining restaurants for inspiration. Chipotle use high quality ingredients, classic cooking methods to make good tasting food, have top performing people to take care of each customer, and make restaurants operationally
PANERA BREAD CASE STUDY MARKETING FUNDAMENTALS 62.501.032 PHUONG LE APRIL 16, 2012 I. Executive Summary Since its inception, Panera Bread ‘s focus has been on the Specialty Bread/Bakery-Café category. The company ‘s goal has been to make Panera Bread a nationally dominant brand name. Toward that end, the focus has been primarily on expansion into additional suburban markets, going from 66 to 485 cafes in just 4 years. As of 2006, the restaurant industry was growing by 5% a year.
An automated ordering system will help with this issue, as well. Having qualified people in positions such as the baker, wine steward and butcher, are essential to the core values of Kudler Fine Foods. Having to pay them, does make the payroll higher, but it is a cost, that this business will have to pay. Having these people is one reason customers shop there, for the advice, and interaction these people provide. Qualified in store experts, is something that sets this business apart from other stores.
Mario’s Pizza Simulation Sean Payne OPS/571 - Operations Management Boone January 11, 2012 Introduction This simulation looks at the fast food pizza industry. The pizza simulation specifically looks at the pizzarias located in malls. During peak hours, groups of 2-4 customers arrive every 3-5 minutes. This scenario asks how long is a reasonable wait time for a customer to wait to receive his or her pizza. Using the learning curve concept one can help determine the necessary changes or improvements to improve productivity and profitability.
* Computerized Point of Sale system is top of the line * Strong supply chain – Leader in casual dining seafood category for distribution. Certified suppliers direct to restaurants through overnight deliveries. * Over 690 restaurants in N.A. | Weaknesses: * Outdated restaurants * No clear vision of who their customers are * Perception of food safety | Opportunities: * Expand product line (broaden food items and wine selection) * Expand or target new customer base; increasing profits * Expand geographic reach (ie: Europe, Asia-Pacific) | Threats: * Supply Chain pressure due to high cost of seafood * Economic state; causing more consumers to eat at home * Aquaculture * Intense competition in category | CURRENT MARKETING PLAN When Kim Lopdrup recognized the need to improve their positioning; a three phased plan was launched immediately. This plan was developed to improve the Red Lobster brand and focused on
Introduction / Thesis Panera Bread Company is a very successful business that has the potential for continual growth and upward opportunities. It was founded in 1993 and established in May 1999 as a national restaurant, Panera Bread. The company operates or franchises 1,362 bakery-cafes in 40 states and 17 facilities that deliver fresh dough to the bakery-cafes every day. In 2005, Panera ranked 37th on Business Week’s list of “Hot Growth Companies”, earning $38.6 million with a 42.9% increase in profits. In 2008, the restaurant expanded into Canada.
The restaurant was opened as a means to raise funds to open a gourmet restaurant. Based on the success of the first restaurant, Ells opened 8 more Denver area Chipotle Restaurants by 1996. Mc Donald’s Inc. became a major investor in 1998. In 1999, Chipotle opened its first two restaurants outside of Colorado in Minneapolis, Minnesota and Columbus, Ohio. Mc Donald’s became the largest investor in Chipotle and when the company decided to concentrate on its core business, Mc Donald’s divested all
He knew American consumers wanted a new type of store. Sam and his wife Helen invested in 95 percent of their income to open the first Walmart store in Rogers, Arkansas. Other stores such as Kmart quickly started expanding. Walton only had enough money to build fifteen Walmart stores. However, in 1972, Walmart was offered on the New York Stock Exchange for the first time.