...COVER PAGE Group 5 Strategic Management Final Project Report - Five Guys Table of Content Five Guys’ Strategy Analysis - Final Report Industry: Casual-fast restaurant in Canada Company: Five Guys Contact: Michael Oppedisano, from Asst. Controller at Bantam Restaurants Part 1: Organizational Introduction Five Guys has been a Washington, DC favorite since 1986 when Jerry and Janie Murrell offered sage advice to the four young Murrell brothers: “Start a business or go to college.” The business route won and the Murrell family opened a carry-out burger joint in Arlington, Virginia. Their mission was to serve an unparalleled burger made with fresh ingredients, in a clean environment and with a reasonable price. In order to achieve their mission, they sought out the best ingredients: paid top price for meat, bought the most expensive bacon and used peanut oil to cook their burgers. The family drove the direct material costs higher unlike any other burger chain, but spent zero dollars on marketing or advertising. They believe that the best salesman is the customer and as Jerry Murrell’s says “treat that person right, he’ll walk out the door and sell for you.” Five Guys also differentiates itself with the crew system they have developed for their employees that is tied to a bonus pay based on performance. Every crewmember is well aware of his/her responsibilities and knows that the crew’s incentive pay will decrease or increase according to how well he/she fulfills...
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...As a food service company, Five Guys has its own strengths that could see them increase the influence it has in the world market over the other companies. First of all, it has more than seven hundred locations in forty different states and even in four Canadian Provinces (Weise, 2011). An extensive network of a business and its operations is strength in accordance to what their competitors present. They offer a wide variety of foods and drinks in regard of their competitors. Moreover, funny enough, the company offers free peanuts while clients wait for their orders. They have the president’s stamp of approval. The information they provide on the type of foods they produce is equally strength for the company. Five Guys’ Weaknesses All businesses have their strengths and weaknesses. In order to survive and be successful, business should try as much as hard to ensure that their strengths are more than their weaknesses. This increases the chances of succeeding. In the context of Five Guys, the company seems to concentrate more on the production of fries and burgers maximally in disrespect to other kinds of food services (Weise, 2011). For instance, fries are considered to be a health hazard given the amount of fats it increases to the body. Hence, the company should also increase the provision of other types of foods in line with the burgers and fries. Opportunities for Five Guys While engaging in business activities, one should be able to discover the opportunities in the macro...
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...An Analysis of Entrepreneurial Leadership on Five Guys burgers and Fries. Assignment 1 By: STUDENT NAME: Rodino Wright TO: Dr. Evangeline Jefferson Professor: COURSE NAME: BUS 508: Contemporary Business STRAYER UNIVERSITY WASHINGTON, DC October, 2012 Introduction The purpose of this project is to examine Entrepreneurial Leadership at Five Guys burgers and fries. According to Boones and Kurtz (2012), business can be defined as all profit-seeking activities and enterprises that provide goads and services necessary to n economic system. (pg. 5). Likewise, according to Boones and Kurtz ) 2012) , Entrepreneur is defined as a person who seeks a profitable opportunity and takes the necessary risks to set up and operate a business. Leadership, according to Boones and Kurtz (2012), is defined as the ability to direct or inspire people to attain certain goals. (Pg. 233). From these terms we will try to create a meaning for the terms Entrepreneurial Leadership. However, according the Fernald, Solomon and Trabishy (2005) , Entrepreneurial Leadership deals with concepts and ideas which are often related to problems that are not of an organizational nature. As a result, in the upcoming project, I will discuss how these factors, in relation to Five Guys Burgers and fries. How does Five Guy philosophy sets it apart from other fast-food chains? After evaluating the reading, I think Five Guys philosophy was to concentrate solely on food and serve freshly made food...
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...Assignment 1: Five Guys Entrepreneurial Leadership “Five Guys Burgers and Fries: Ingredients for Success” Five Guys Burgers and Fries has become a major contender for the forefront of the fast food market. The Company was founded by the Murell brothers in 1986 in Washington D.C. They created a fast food chain that quickly grew to become one of the largest revenue producing chains and franchises in the country. Five Guys was created with a very simple plan that has helped to set it apart in the fast food business. The founders adopted a philosophy that at the time was a leader on the fast food market. They created the business on the philosophy of “Sell a really good, juicy burger on a fresh bun. Make perfect French fries. Don’t cut corners” (Boone, 2012) This philosophy was extremely simple and helped to guide the future of the business. Five Guys puts extreme emphasis on providing the highest quality of food possible for the customer. The company uses grass fed 80% lean beef for their burgers. They also never freeze the meat. Everything that is prepared at the restaurant is fresh. The company spends extra money on quality ingredients such as Idaho Potatoes, and even takes the extra effort to prepare them in a way as to minimize the amount of oil the fries absorb when being made. Five guys have also followed the mentality that the customer will be the company’s best salesperson. The typical fast food chain spends 3% of revenue on advertising. Five Guys does not put...
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...BUSINESS Assignment #1 Five Guys Burgers and Fries: Ingredients for Success By Ignatius B. Perry Sr Presented to Professor Lundondo Mumeka Five Guys Burgers and Fries: Ingredients for Success Introduction What if you woke up one day and said I would like to make the very best hamburger there is. In your mind you said I don’t want to be like McDonald, Burger King, Wendy’s or any other hamburger maker that is out there. You decided that you didn’t want to people to have the ‘normal” experience of going to a fast food restaurant when they cam into your hamburger shop. Not only that you didn’t want your customers to be confused with tons of choices on your menu. So instead you would keep it very simple and be the most customer friendly establishment out of all burger joints there where. If this was you then you would be the owner and visionary behind the restaurant know as Five Guys. We will take a look at what set the Five Guys restaurant apart from the other fast food chains. We will look at the values of the food chain and how they are still growing strong today just like when they first started. We will look at a few of the factors that have made Five Guys so successful and it’s effect on an all ready crowded market. We will look at the company’s ethical and social practices and see how it affected its success. Factual Analysis Five Guy’s philosophy sets apart from other fast food chains because of their ideal burgers. “Five Guys goal is to sell the best...
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...Janie Murrell’s four sons. Soon thereafter Five Guys Burgers and Fries was born. The Murrell family opened the restaurant in Arlington, Virginia in 1986, quickly becoming an institution in the area. From 1986-2001 the Murrell family business went from one location to five in the Washington – DC metropolitan area. In 2003 the Murrell’s decided to give franchise opportunities and have exploded nationally, becoming America’s Fastest Growing Fast-Food Chain. In this analysis I will determine the Five Guys philosophy and differentiating factors from its competitors. I will also analyze the firm’s original values, and other factors that have contributed to its explosive success as a start-up and over the last 10 years. The Philosophy and Original Values The philosophy of Five Guys Burgers and Fries has been to “sell a really good, juicy burger on a fresh bun. Make perfect French fries. Don't cut corners. (Welch)” Five guys competes in what is known as the fast-casual restaurant market. This is a mix of the traditional fast-food / quick service restaurant like McDonalds and more casual dining entities such as Applebees. By focusing on quality as a primary driver rather than speed it creates a sub-set within the restaurant industry. Five Guys has a very a limited menu and focuses its attention towards creating the highest quality burgers and fries at a reasonable price point. Jerry Murrell, founder, chief executive and father of the “Five Guys” is committed to nothing less than the best...
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...“Entrepreneurial Leadership” Abstract This paper will show the analysis of how successful this business has been setting itself apart from other fast food chains in relation to their philosophy, their original values as a family run business all the while giving contributions of success. You will see how the ethical and social practices of this family business as paved a customer appreciated restaurant of today with old fashion hard work and common sense. Assignment 1 – “Entrepreneurial Leadership” Determine how Five Guys’ philosophy sets it apart from other fast-food chains? In today’s fast food market chains businesses have to focus more on nutrition as well as making profits. Today within our health conscience world we now live in and with all the media hype about overweight people in the United States fast food chains need to really market themselves in a way to stand out above others in order to compete. Although the number one goal of any business model is to maximize profits and minimize costs in order to meet shareholders expectations as well as growing the business to maximize profits they now have to be thinking of creative ways to grab the customers and make them feel they are making a well educated guess in eating healthier even though it is still considered fast food. The Five-Guy business model has really been creative in certain ways to capture this. The owner Jerry Murrell believes in order to gain a market edge he focused on quality of the products they use...
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...off in the future. One of the most well known fast-food chains, Five Guys Burgers and Fries, started its business in 1986 in Arlington, Virginia. Jerry Murrell and his sons opened four other locations over the next 13 years. As years went on, Five Guys started to franchise. Now, they have more than 1000 stores with approximately $483 million sales as of 2009 (Five Guys, 2012). The reason why Five Guys is growing so much is because it has philosophies that set it apart from other fast-food chains, such as, their recipe, and quality and customer. The Company has had strong business philosophies since its origin. Two of the main ideas that separate Five Guys from its competitor are its quality and recipe. Aside from their juicy hamburgers and fries which appealed to the masses; Five Guys also have a unique recipe and fresh marketing tactics to appeal to the market. The recipe in itself differentiates the product from that of its competitors; the major ones being McDonalds; Wendy’s and Burger King. The company does not serve frozen or dehydrated products to customers which sets its taste apart from the other companies' products (Inc, 2013). Today, it is showing everywhere how frozen food are unhealthy and should not be consumed. The company also makes their fries from real potatoes that make the taste better and healthier. Therefore, people who care about eating healthy and fresher food prefer to go to Five Guys to eat. Besides this, the company sells burgers; only what they...
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...strategy to gain a win-win situation between Levon, and Zenur. If this style will not work, mix-motive negotiation style will be our back up plan. To be at par with Zenur's vision and mission of expanding the business, the negotiation skills will be based on Levon's long term plans focusing on interests. The four stages of negotiation will be based on a solid foundation of understanding about Zenur. Regardless which stage we are at, we should be in the know of Zenur's business movement. The better we know every detail of the company, the better we can respond to their actions. Our negotiation strategies will focus on salami strategy and good guy/bad guy strategy through our negotiation process to push the deal towards the direction of what Levon wants where both companies will gain profit and reach a common goal. After thorough analysis and evaluation, we, as...
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...world of Accounting has seen several major scandals since the early 1990s. These include major accounting failures such as Enron, WorldCom, Adelphia, Tyco, Phar-Mor, Cendant, Computer Associates, AOL, Freddie Mac, ImClone, Qwest Communications, Royal Ahold, Health South Corporation, AIG, Lehman Brothers, and most recently the Olympus Corporation. Some of these have resulted in the collapse and dissolution of the company – Enron, Adelphia; others have resulted in a major restructuring of the company – AOL, AIG, Freddie Mac. Whatever the result, they have all been caused by accounting fraud – either “cooking the books” to hide major losses or to hide the theft of funds. It has also resulted in the failure and absorption of the one of the Big Five Accounting firms – Arthur Anderson. Besides the whistle blower who brought most of these to public view and the lawyers who have been involved their dismantling one of the other major role players, though unsung and unknown, has been the Forensic Accountant. We will be taking a look at this last individual or groups of individuals in most cases. We will look at what they do, their “required” skills and role in courtroom and possibly examine their role in a couple of the noted scandals. The Forensic Account What is a forensic accountant? Bolgna...
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...STRATEGY DISCUSSION Question 1: Red Ocean Analysis Explain why anyone applying Michael Porter’s “Five Forces” competitive analysis in 1984 would have told Guy Laliberté not to start another circus. Explain your reasoning. Applying Michael Porter’s Five Forces to Guy Laliberté’s decision to start ‘another’ circus would lead individuals to come to one of two conclusions, depending on how in-depth they understood Laliberté’s plan. On the surface level, his plan seems to be an inevitable failure - trying to become a new player in a market that is declining and facing new challenges in sustainability daily. Laliberté’s plan fits almost all of the criteria for struggle and potential failure according to Porter’s Five Forces. Breaking down each of Porter’s forces, it is clear that starting a new circus lends very little promise for Laliberté. First, Laliberté was facing supply issues to find talented circus acts that would draw in an audience. In order to acquire a high caliber of talented performers, a circus at the time was forced to put financial strain on their profits from ticket sales just to afford the acts themselves. Additionally, the power of buyers produced a real challenge at the time, as audiences were only interested in attending the circus if compelled by acts that were in turn too expensive for the circus to make a profit on. Laliberté was also facing tough competition in entering the circus industry. This space had been established by the century-old...
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...Porter’s Five Forces Model versus A Blue Ocean Strategy Porter’s Five Forces Model, provided by Michael Porter, is an external environmental analysis tool for a specific market. This model emphasizes that in any existing industry, there are five competition forces: threat of new entrants, power of suppliers, power of customers, threat of substitute products, and intensity of competitive rivalry. In addition, these five forces can influence and determine the profitability of the enterprise. Using the five forces model, one can analyze the industry attractiveness and the level of competition, which can then help the company to develop the business strategy. In the real world, strategic analysis and strategy formulations are important for company to gain the profitability. For example, IKEA focuses on operating efficiently and developing new product continuously for their business strategies. Also, the Five Forces Model has helped IKEA to maintain its low cost and obtain the huge profitability in the furniture industry over the years. The Blue Ocean Strategy takes the view that innovation, innovation that creates new market space, taps into unsatisfied consumer demand that finds uncontested market space in the hope of finding a blue ocean. A blue ocean exists where no firms currently operate, leaving the company to expand without competition. The core strategy is the value innovation, which means that the company should create new demand and make the competition irrelevant....
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...------------------------------------------------- The Sports guy Key Events / Case Synopsis The Sports Guy is an independent sporting goods store operating outside the GTA owned by Bob “Rocky” Rhodes who is a considerably high profile personality in the local sports community. He has been a star player on local teams his whole life and has always made it a priority to show support for all things related to his sports community. Most of The Sports Guy’s sales consist of equipment and uniforms to local teams. Around 70% of their sales are made up by purchases from hockey, baseball, football, soccer teams with the remaining 30% made up from walk-in retail trade. Rocky has problems with inventory management, low ratio of sales by walk in customers and his major source of sales for teams declining due to lack of registration in local teams. Despite being located in a prosperous neighborhood with little competition except a small, older Canadian tire that offers low prices but lacks in quality and customer service, The Sports Guy is having financial troubles. Problem Statement and Objectives The Sports Guy’s profitability has not been growing sufficiently enough to provide Rocky with the means to grow his company as the town develops. A lack of inventory system which affects his most profitable sales group: walk-ins has also increased his short term debt and interest expenses which all eat away at the already tight profit margins. Decline of popularity for kids’ leagues...
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...Media Executive Summary Objectives Situation Analysis.......…………………………………...5 Historical Context Industry Analysis Market Analysis SWOT Competitor Analysis Objectives…………………………………………….…12 Quantitative Benchmarks & Time Frame Budgeting……………………………………………..13 Method & Amount Strategy …………………………………………………14 Target Market Campaign Strategy Execution…………………………………....…………17 Creative Objectives & Strategies Creative Testing Media Plan………………………………………37 Objectives Strategies Choices Scheduling and Budgeting Integrated Marketing Communications Evaluation………………………………………………46 Criteria for Success-Measurement Methods Marketing Recommendations Conclusion……………………………………………..48 1 INTRODUCTION Mojo Media MoJo Media is a full service advertising agency dedicated to providing companies with creative, executable, and effective ideas. We specialize in helping brands take their company to a whole new level. By working personally with each client, we are able to develop creative solutions to transform the brand. We would like to thank Naked Juice for inviting our advertising agency to design an advertising campaign. We are confident that our advertising ideas will put some mojo into the way consumers see your juice products. 2 INTRODUCTION Executive Summary Naked Juice presents an affordable and unique way for consumers to maintain healthy eating habits in an on-the-go environment. The brand has relied on its healthy share of the market along the West Coast since its inception in 1983...
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...Sports Guy and raised capital from obtaining a bank loan and an equity investment from friends and family. His family and friends own 40% of the business while he owns the rest. Mortgage help him purchasing land in small town outside of GTA that consists of two lots on a corner in which one is used to build a store, and another one was planned for the parking lot but never executed the plan because of the surrounding activities. Local sports team account for 70% of the sales whereas 30% comes from regular walk-in customers. Problem Statement & Objectives The major problem is reducing profitability of the business and there is no proper management of the inventory, which leads to sale of inventory at discount rate. Also labor wages are also too high and reducing creditability of business lead to reduce in the trust of the business and loss of the customer due to improper inventory management. The objective is to get access to bank credit to finance high Analysis the financial health of the business and recommend the various way to get the business right on track Situation Analysis Summary The company sell retail sports product to the sport team and children’s. Also there is around 30% of walk-in customer, who help the business to manage inventory. This might not be attractive industry because buyer’s and potential entrants have high power in the market. Company strength out weight the weakness and opportunity and threats are evenly balanced. Porter’s Five Powers...
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