...March 20, 2014 GBA 490-005 Written Case #2: Panera Bread Company Table of Contents Executive Summary……………………………………………………….Page 3 Recommendations and Justification……………………………………..Page 4-5 Appendix…………………………………………………………………..Page 5 External Analysis of Industry Exhibit 1: Economic Characteristics & Driving Forces…………….Page 5 Exhibit 2: PESTEL Analysis……………………………………… .Page 7 Exhibit 3: Five Forces Analysis…………………………………….Page 8 Exhibit 4: Key Success Factors……………………………………..Page 9 Exhibit 5: Driving Forces…….……………………………………..Page 10 Internal Analysis of Yammer Exhibit 6: VRIN(E)……………………………………………… …Page 11 Exhibit 7: Weighted Competitive Strength Analysis.…. …………...Page 12 Exhibit 8: SWOT(TOWS)…………………………………………...Page 13 Exhibit 9: Strategic Group Map……………………………………..Page 14 Exhibit 10: Financial Analysis………………………………………Page 15 Executive Summary In 1981, Louis Kane and Ron Saich founded a bakery-café named Au Bon Pain that were opened up in airports, shopping centers, and malls throughout the east coast. Au Bon Pain found stiff competition from fast-food competitors, so they initiated a company overhaul and opened re-concepted restaurants which would soon become nation-wide. In August of 1998 they announced the sale of Au Bon Pain for $73 million in cash and the company changed its name to Panera Bread Company. Panera Bread Company was founded during a time of growth in the economy when customers were more willing to spend the few extra...
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...CASE TEACHING NOTE 8 Panera Bread Company OVERVIEW AS PANERA BREAD COMPANY HEADED INTO 2007, IT WAS CONTINUING TO SWIFTLY EXPAND ITS MARKET PRESENCE. THE COMPANY’S STRATEGIC INTENT WAS TO MAKE GREAT BREAD BROADLY AVAILABLE TO CONSUMERS ACROSS THE UNITED STATES. IT HAD OPENED 155 NEW COMPANY-OWNED AND FRANCHISED BAKERY-CAFES IN 2006, BRINGING ITS TOTAL TO 1,027 UNITS IN 36 STATES. PLANS WERE IN PLACE TO OPEN ANOTHER 170 TO180 CAFÉ LOCATIONS IN 2007 AND TO HAVE NEARLY 2,000 PANERA BREAD BAKERY-CAFÉS OPEN BY THE END OF 2010. MANAGEMENT WAS CONFIDENT THAT PANERA BREAD’S ATTRACTIVE MENU AND THE DINING AMBIANCE OF ITS BAKERY-CAFÉS PROVIDED SIGNIFICANT GROWTH OPPORTUNITY, DESPITE THE FIERCELY COMPETITIVE NATURE OF THE RESTAURANT INDUSTRY. Panera Bread competed with specialty food, casual dining and quick service restaurant retailers including national, regional and locally owned restaurants. Its closest competitors were restaurants in the so-called “fast casual” restaurant category. Fast casual restaurants filled the gap betweeen fast-food and casual, full table service dining. A fast casual restaurant provided quick-service dining (much like fast-food enterprises) but were distinguished by enticing menus, higher food quality, and more inviting dining environments; typical meal costs per guest were in the $7-$12 range. Some fast casual restaurants had limited table service and some were self-service (like fast-food establishments). Between January 1999 and December 2006...
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...Background Macro-environmental Analysis Governmental Technology Demographic Societal Economic Competitive Analysis General Economic Characteristics of the Industry Driving forces in the Industry The Five Forces Model of Competitive Analysis Strategic Group Mapping Competitors Analysis Key Success Factors in the Industry Attractive/Unattractiveness of the Industry Company Situation Analysis Company Strategies Company’s Performance/Financial ratios SWOT Analysis Competitive Strength Assessment Key issues or problems Strategy Alternatives Final Recommendations Implementation Concerns Work Cited Page Background Panera Bread is a company with over 1,300 locations and $94 million in net income per year. They are a leader in the food service industry and continue to incorporate new and innovative ways to keep current customers and attract new customers. They have been in business since 1981, though they have undergone several name and owner changes. Their headquarters are in Richmond Heights, Missouri, and Ken Rosenthal is the founder. They are considered to be a Fast Casual Bakery-Café and their signature item is their fresh baked bread. Throughout this paper we will discuss the strengths and weaknesses of Panera and their competitors to get a better understanding of their market position and where they go from this day forward. Macro-Environmental Analysis Governmental, technology...
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...I. Strategic Profile and Case Analysis Purpose: Chipotle Mexican Grill, Inc. is a chain of restaurants, which serve quality and taste food across United States, United Kingdom, Canada and France. The name Chipotle was derives from the Mexican Spanish name for a smoked and dried jalapeno chili. Steve Ells founded the company in July 13, 1993. Its headquarters is located in Denver, Colorado, USA. There are 1430 restaurants operating in 4 countries and have 37,310 employees as of 2012. It is one of the fastest growing U.S restaurants. Chipotle had a net income of $278 million in 2012. The Company’s restaurants serve menu of burritos, tacos, burrito bowls and salads. The main goal of Chipotle is to serve high quality, delicious food quickly with an experience that not only exceeded, but also redefined the fast food experiences. The always focus on sourcing the best possible ingredients, serving the tastiest food, and the most capable team. In past Chipotle only advertise on radio, billboards but recently they are using television and social media to advertise. They are also running various program, events and promotions giving out free food to potential customers. Chipotle has the quote " Food with Integrity". The " Food with Integrity" refers to the people, animals, environment and FWI facts. Food with Integrity is good in order to help out with the health, economic condition of the surrounding the restaurant. We can find the food use by the different food industries but where...
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...| | Panera Bread Company | The observation and analysis of a fast food restaurant | Panera Bread Company | The observation and analysis of a fast food restaurant | Background Information Rationale I chose to observe operations at Panera Bread Company (Panera) based on two factors: 1) I like the food and overall ambiance – I think Panera uses ingredients that are fresher and of higher quality than more traditional fast food restaurants. I also like that customers can sit down to eat using proper silverware and plates rather than using plastic utensils eating off of paper wrappers and plastic forks. Many Panera locations also have a patio, for al fresco dining, a cozy fireplace, for the winter months, and a small section with upholstered chairs and sofas. 2) Panera offers free Wi-Fi – this was an important factor because I wanted to take notes during each visit without bringing attention to myself. Because Panera offers Wi-Fi, it is not unusual to see customers with laptops. Visits I visited three different Panera locations over the course of several weeks and spent approximately 2 hours at each location. Location | Date and time of visit | Order Placed | | | | 5600 Urbana Pike | April 6, 2010 | Cuban Chicken Panini with chips as a side, an unsweetened iced tea and a Toffee Nut Cookie | Frederick, MD 21704 | 2:40 PM | | 136 Nassau Street | April 11, 2010 | Tuna Salad Sandwich (standard condiments replaced with Dijon mustard and...
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...Introduction Inventory turnover, the ratio of a firm’s cost of goods sold to its average inventory level, is generally used to measure performance of inventory management, analyze short-term liquidity, and assess performance improvements over time. In general, a higher value of inventory turnover indicates better performance in controlling inventory levels. And a lower value may be an indication of over-stocking which may pose risk of obsolescence and increased inventory holding costs. Inventory Turnover=cost of good sold/average inventory Average Inventory=(beginning inventory+ending inventory)/2 Gross profit percentage, the ratio of a firm’s gross profit to net sales, often used to judge operating profitability.The higher the gross profit percentage is, the healthier the business is. The gross profit percentage is a statement to measure how efficient the business is in making profit during the production process. Gross profit=revenue-cost of good sold Gross profit percentage=gross profit/revenue*100% Industries with higher gross profit percentages tend to have lower inventory turnover, and those two figures are different for different industries. There are several factors affecting those two ratios in different industries. First, the products’ price.High prices lead to high gross profit percentage, on the other hand, high prices lower the demand and sales, thus decrease the inventory turnover. Second, length of products’ life cycle. Businesses which produce...
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...Economics & Institutions TReNDS Martin Pitek MGMT - 7730 March 20, 2009 Starbucks Coffee Table of Contents Introduction 3 Product Analysis 3 Product Overview 3 Market Structure 4 Competition 5 Dunkin Donuts 7 Krispy Kreme 3 McDonalds 8 Panera Bread 8 Elasticity Estimates Pricing Strategy 10 Forecast 12 Determants of Demand 13 Forecast Model 15 Forecast Error! Bookmark not defined. Summary 15 Works Cited Introduction With the economy in trouble, the stock market tanking it is important to start your day with a good cup of coffee to take on these challenges. Can Starbuck’s sustain it business model and place in the market? The paper examines Starbucks business and it respective practices. In 1971, the original Starbucks opened in Pike Place Market in Seattle, Washington by three partners named Jerry Baldwin, Zev Siegal, and Gordon Bowker. Their focus was to sell coffee beans and equipment. They purchased green coffee beans from Peet’s, a specialty coffee roaster and retailer, during their first year of operation. Later, they began buying coffee beans directly from the growers. In 1983, an entrepreneur by the name of Howard Schultz joined the company; Schultz felt that the company should sell coffee and espresso drinks as well as coffee beans. The partners felt that selling coffee and espresso...
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...Economics & Institutions TReNDS Martin Pitek MGMT - 7730 March 20, 2009 Starbucks Coffee Table of Contents Introduction 3 Product Analysis 3 Product Overview 3 Market Structure 4 Competition 5 Dunkin Donuts 7 Krispy Kreme 3 McDonalds 8 Panera Bread 8 Elasticity Estimates Pricing Strategy 10 Forecast 12 Determants of Demand 13 Forecast Model 15 Forecast Error! Bookmark not defined. Summary 15 Works Cited Introduction With the economy in trouble, the stock market tanking it is important to start your day with a good cup of coffee to take on these challenges. Can Starbuck’s sustain it business model and place in the market? The paper examines Starbucks business and it respective practices. In 1971, the original Starbucks opened in Pike Place Market in Seattle, Washington by three partners named Jerry Baldwin, Zev Siegal, and Gordon Bowker. Their focus was to sell coffee beans and equipment. They purchased green coffee beans from Peet’s, a specialty coffee roaster and retailer, during their first year of operation. Later, they began buying coffee beans directly from the growers. In 1983, an entrepreneur by the name of Howard Schultz joined the company; Schultz felt that the company should sell coffee and espresso drinks as well as coffee beans. The partners felt that selling coffee and espresso...
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...Running head: THE BROADWAY CAFE The Broadway Cafe Ursula Wallace Strayer University Information Systems for Decision Making CIS 500 Dr. Jim Dollens The Broadway Café Introduction The Broadway Café is a family inherited coffee shop located in Atlanta, Georgia. The business specializes in coffees, teas, a full service bakery, and homemade sandwiches, soups, and salads. It was once a hotspot for many years but for the past five years the business has been declining. Although Mr. Wallace had conducted a good business in his time, it appears as though new and improves methods needed to be in place to keep the business thriving. Mr. Wallace had acquired a wealth of knowledge about the coffee business and unfortunately before he passed way he was unable to share the information with us (his heir/successor). His system for record keeping consisted of a note pad that tracked inventory along with payroll and coupons. His advertising plan was by word-of-mouth only and since he had an exceptional memory, he never recorded any family recipes or made a client list. In order to bring the Café into the 21 Century, quite a few changes need to be made. The business needs to gain a competitive advantage though technology, deploy a wireless network for customers, use CRM to implement marketing campaigns and sales strategies, and develop project management activities for implementing solutions. Competitive Advantage A competitive...
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...Running head: THE BROADWAY CAFE The Broadway Cafe Ursula Wallace Strayer University Information Systems for Decision Making CIS 500 Dr. Jim Dollens The Broadway Café Introduction The Broadway Café is a family inherited coffee shop located in Atlanta, Georgia. The business specializes in coffees, teas, a full service bakery, and homemade sandwiches, soups, and salads. It was once a hotspot for many years but for the past five years the business has been declining. Although Mr. Wallace had conducted a good business in his time, it appears as though new and improves methods needed to be in place to keep the business thriving. Mr. Wallace had acquired a wealth of knowledge about the coffee business and unfortunately before he passed way he was unable to share the information with us (his heir/successor). His system for record keeping consisted of a note pad that tracked inventory along with payroll and coupons. His advertising plan was by word-of-mouth only and since he had an exceptional memory, he never recorded any family recipes or made a client list. In order to bring the Café into the 21 Century, quite a few changes need to be made. The business needs to gain a competitive advantage though technology, deploy a wireless network for customers, use CRM to implement marketing campaigns and sales strategies, and develop project management activities for implementing solutions. Competitive Advantage A competitive advantage is product or service that...
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...Case 6 Chipotle: the Challenges of integrity ryan ruud, Jennifer lee, garrett Borges, Monica Bethke, ron Bomkamp, preston Jensen arizona state University ‘Fresh is not enough anymore.’ Steve Ells Chipotle Co-CEO, Founder, and Chair Introduction Chipotle Mexican Grill (NYSE: CMG) in the USA has experienced great success satisfying the desire of consumers for a quick-serve restaurant that does not sacrifice quality for speed. Known in the food industry as a ‘fast-casual’ restaurant, Chipotle is part of the fastest growing segment of the restaurant industry.1 With annual revenues pushing US$2 billion and a stock price that doubled in 2010, Chipotle’s steady growth and strong financial statements make it highly attractive to investors (see Tables 1–3). Chipotle achieves customer satisfaction while maintaining a unique vision that has committed the company to ‘finding the very best ingredients raised with respect for the animals, the environment, and the farmers’.2 Coupled with a deceptively simple menu that allows for over 60 000 different burrito combinations alone, interactive ordering so customers can personalise their experience and meal, and a reasonable price, it’s no wonder Chipotle restaurants are full of happy customers and that the company has grown to nearly 1100 locations in only 17 years. History At an age when most of his peer group was still watching cartoons, Steve Ells was a dedicated fan of Julia Childs’ cooking show on US public broadcaster PBS...
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...Table of Contents Executive Summary McDonald’s Corporation currently markets its products across its 8 geographic segments through customizing its food items to suit local tastes and preferences. Furthermore, all advertisements are shot in 12 different languages, featuring the customized products catered to each region. However, the company’s international motto, “I’m Lovin’ it”, is not translated. McDonald’s locates all of its franchises in convenience locations such as malls, airports and local neighbourhoods. These marketing strategies have proven to be effective, indicated by the company’s 7% increase in profit margins over the past 4 years. However, McDonald’s has strived to improve them with recent marketing initiatives with respect to the 4Ps. McDonald’s has begun to renovate its eateries, such as going from a plastic look, to a more brick and wood design in an effort to maintain a contemporary image. They have also decided to “re-image” themselves in their ads by incorporating a hip-hop theme with teen icons such as Justin Timberlake as a means to attract teenagers. Additionally, company has begun to offer healthier food products, such as oatmeal, given consumers are more health conscious. In light of McDonald’s recent efforts to improve its marketing strategies, they still face three pressing issues. Firstly, although the company has begun offering healthier food items, they are still high in fat, sugar and salt. This was confirmed in a study performed by Dr...
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...Ali Baba My name 5454 Flying Carpet St. My city and zip code 317(345-6789) flyingcarpet@yahoo.com December 2, 2013 Table of Contents Executive Summary 4 A.2 Mission, Goals and Objectives 4 A3. Keys to Success 5 Company Summary 6 B1. Industry History 6 B2. Legal Form of Ownership 7 B3. Locations and Facilities: 8 B4. Management Structure 9 B5. Products and Services: 10 Market Analysis 11 C1. Target Market 11 C2. Industry Analysis 12 C3. Competitive Analysis 13 Market Strategy 15 D1: Four Ps 15 Product- 16 Pricing Strategy 16 Positioning Statement- 17 Promoting 17 D2. Price List- 17 D3. Selling Strategy 18 D4. Sales Forecast 19 Implementation Strategy 19 E1. Overall Strategy 19 E2. Implementation 20 E3. Control Plan 21 Financial Statements and Projections 21 F1. Revenue and Cost Estimate- 21 F2. Forecasted Profit and Loss Statement 22 F3. Forecasted Balance Sheet 22 G1. Financial Projections 22 G1a- Breakeven Point 22 G1b- Financial Position- 22 G1c-Capital/Investment Needs 22 References 24 Executive Summary Ali Baba is a fast food sit in or take-out restaurant that will serve Mediterranean style foods such as Chicken or Beef Shawarma and Gryo sandwiches. There is an increasing demand for healthy and filling fast foods at value pricing, we believe Ali Baba can fill this demand. Located in the Circle Center Mall in the city of Indianapolis Indiana we will be able to serve mall shoppers and companies in the surrounding...
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...technologies that underlie m-commerce may raise privacy issues. These include the increased ability to collect individualized and personal information, the ability to track visits to wireless websites, and the ability to collect locational information about consumers (ACCC, 2009). The café could benefit from collecting and tracking response rates of m-coupons seeing that it generates analysis information about the customer and the business. Analysis information that could be gathered would consist of cluster analysis, association detection, and statistical analysis (Baltzan & Phillips, 2009). The first analysis that is considered helpful is cluster analysis. A cluster analysis is a technique used to divide information set into mutually exclusive groups such that the members of each group are as close together as possible to one another and the different groups are as far apart as possible. Cluster analysis is used to segment customer information…to help identify customers with similar behavioral traits, such as clusters of best customer or one-time customers (Baltzan & Phillips, 2009). Custer analysis would be beneficial for m-coupons since it would market to regular customer’s items that they normally buy and one-time customer specials of the day. Second is association detection. Association detection reveals the degree to which variables are related and the nature and frequency of these relationships in the information (Baltzan & Phillips, 2009). Association detection...
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...Company Description Dunkin Donuts was founded in 1950 by William Rosenberg, an entrepreneur who is known as a “visionary” by success magazine, “the father of franchising as we know it today” by restaurant News, and is well known as one of the most influential and innovative individuals that the food service industry has even known” stated Alan Gould. [pic] Products and Services The Dunkin Donuts menu consists of a variety of different types of beverages ranging from hot, iced, frozen and your own brew at home drinks. Dunkin donuts also offers food fresh from the bakery which includes donuts, bagels, cookies, munchkins, danishes, muffins, and many other great choices. One great thing about Dunkin Donuts is their variety of foods and items, they Dunkin donuts franchise offers breakfast sandwiches on English muffins, croissants, bagels and wraps. The franchise offers breakfast sandwiches in the morning and also other types of sandwiches including chicken salad, ham and cheese and many other options during the later hours of the day. Markets Served (Geographical Area, Global Footprint) With 27 years of successful business the Dunkin Donuts franchise has become a globally known business which operates in over 30 different countries and has more than 6000 locations. Outside of the Unites States, there are 3,100 stores in 32 different countries. Some counties that the Dunkin Donuts franchise currently operates out of include but are not limited...
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