...Panera Bread Case 1. What is Panera’s Strategy? Which of the five generic competitive strategies most closely fits the competitive approach that Panera is taking? What type of competitive advantage is Panera trying to achieve? Panera Bread’s strategy is to provide a premium specialty bakery and café experience to urban workers and suburban dwellers. As well as to create a specialty café anchored by an authentic, fresh-dough artisan bakery and upscale quick-service menu selections. Broad Differentiation is the competitive approach Panera Bread has taken. They compete on the basis of providing an entire dining experience they call “Panera Warmth” .Their environments are distinctive and engaging, have an alluring and hospitable atmosphere, free Wi-Fi , real china & stainless silverware. Also regular changes in menu offerings to adapt to consumer wants and needs are points of emphasis to differentiate themselves from the competition. The type of competitive advantage they’re striving to build is based on the triple combination of Product, Environment, and Great Service (PEGS). Prior to Panera Bread going nationwide, the management performed cross-country market research and concluded that consumers could get excited about a fast and high quality dining experience, called fast casual. Panera Bread is attempting to achieve competitive advantage with offerings that rivals don’t have and can’t afford to match. In this case, delicious handcrafted bread arriving fresh daily, served...
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...1. What is Panera Bread’s strategy? Which of the five generic competitive strategies discussed in Chapter 5 most closely fit the competitive approach that Panera Bread is taking? What type of competitive advantage is Panera Bread trying to achieve? Strategy was to aggressively expand its market presence across North America and improve the quality of the dining experience it provided to customers. From the five competitive strategies discussed in chapter 5 I would Best-Cost Provider strategy. Panera Bread provides common café beverages around the country. They do however manage to offer products at lower cost to it rivals and still give their customers more value for their money by incorporating good to excellent product qualities. Panera is striving for to achieve a type of competitive advantage that is a lower cost then its rivals with a market that targets a broad cross-section of buyers. 2. What does a SWOT analysis of Panera Bread reveal about the overall attractiveness of its situation? Does the company have any core competencies or distinctive competencies? Strengths: • Attractive & appealing menu • Bread-baking expertise • Artisan breads are Panera’s signature product. • Nationwide leader in the bakery-café segment • High ratings in customer satisfaction • Solid brand name • Initial success in catering • Good franchisees higher sales in franchised stores compared to company-owned • Financial strength of the company able to grow without taking on...
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...Course Management Principles Student: Scott Buble Instructor: Professor Dewan Date: October 28, 2012 SWOT Analysis |Organization: Amy’s Bread | |Operational Objectives: Has had steady growth throughout the past few years and becoming more and more competitive in the| |New York City Market. Amy is weighing her options to see if she should focus on retail or wholesale and also whether or | |not to move to a larger location. | INTERNAL |Strengths |Weaknesses | |Amy’s Bakery is Zagat rated which helps to distinguish her bakery as being |The bakery industry is extremely competitive and many times there are low wholesale | |extremely successful. |profit margins. | |Amy’s Bakery, unlike many others, donates to charities, which helps consumers |Locations in New York City are very expensive and there are always bakeries opening | |see they also care about the community. |which makes the bakery environment more competitive. | |Amy has a high...
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...Panera Bread Company Panera Bread began way back in 1981 as Au Bon Pain co. Inc. It was founded by Louis Kane and Ron Shaich. It operated along the east coast and internationally throughout the 1980s and 1990s. It quickly became the dominant leader within the bakery-café category. By 1997, it was clear the Panera Bread had the potential to become one of the best brands in the nation. Because the brand took off so quickly and is well known around the world. We as investors and consultants we need to look at what can make the company even better and continue to grow even more. In order to do so we will need to look at a SWOT analysis of the company, determine if the company possess core or distinctive competencies, and recommendations regarding actions the company needs to take to strengthen its competitive position. SWOT analysis is a planning method used to evaluate the strengthens, weaknesses, opportunities and threats involved in running a successful business. First we will discuss Panera Bread's strengthens. One of the very best thing about Panera Bread is that there is always fresh baked bread daily. Most restaurants offer free wifi for their guest. Another strong point is that Panera offers a menu for every time of the day and the menu also lets you decided what is healthy for you to eat. The menu lets the customer know exactly how many calories they are taking in with ordering that particular meal. The main strengthen in...
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...Heather Abramovic @02380550 Case Analysis of Panera Bread Company What does a SWOT Analysis reveal about the overall attractiveness of its situation? A SWOT analysis sizes up a company’s strengths and weaknesses; it’s market opportunities, and any external threats to the company’s well being. It identifies its strengths and weaknesses and provides the basis for crafting the best strategy for the company. Panera Bread’s most competitively valuable strengths have to be their attractive menu and aesthetically pleasing environment in each bakery-café. Panera also has a compliment see customer service they have won many awards and honors such as the prestigious Business Week’s 2010 list of the 25 “Customer Service Champs”. They have achieved these along with market success by providing courteous, capable, and efficient customer service. I believe a distinctive competence that Panera has is their fresh in-house baked pastries and bread that encompass top quality and detail that in return differentiate Panera from it’s competitors. With a strong strategic vision, proven competitively superior competencies, superior attention to customer needs, and a strong brand, Panera Bread appears to have a very attractive future and continued success in their industry. As long as they continue with their strategic vision they have in place, I believe Panera Bread will have no problem continuing their success in the market. Which rival chains appear to be Panera’s closest rivals? The threat...
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...success is based upon those competitive advantages, such as providing high quality products at reasonable prices to its customers, consistent products, dependability, brand loyalty and offering a great casual dining experience. In addition, the culture plays a critical factor in the Panera family, meaning that employees share common values and beliefs. They are empowered by management which contributes to the team atmosphere. Such culture provides a competitive advantage for the company in terms of transferring satisfaction from the employee to the loyal customer. Panera Bread was established in 1981 by Ron Shaich and as of September 2011 was operating 1,504 company-owned and franchised-operated bakery-cafes in 40 states and Ontario Canada. Originally known as Au bon Pain Company, a competitor was purchased in 1993, Saint Louis Bread, and the name was ultimately renamed Panera Bread in 1999. Their Mission was “A loaf of bread in every arm. Panera Bread’s success spread from East to West with another acquisition. In 2007, Paradise Bakery & Café, a Phoenix based bakery-café concept that added an additional 70 stores and 10 states (1). The core competency of Panera Bread is the quality of its bread offerings. This is at the root of many of their strengths including the customer satisfaction and repeat customer loyalty. This combined with the conservatively operated...
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...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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...Leadership (HRM 501) Panera Bread Company Team - 04 Submitted to: Shahriar Akbar Chowdhury Course instructor Organizational Behavior & Leadership Submitted by: Humaira Nazia – 12164096 Urfa Zewar – 11364027 Rounak Morsalin – 12164021 Sheikh Tania Akhter – 12164081 Md. Mamunur Rashid Mamun – 12164084 Date of Submission: 28th January, 2013 BRAC University, Mohakhali Question 1: what do you describe as Panera’s purpose, mission and strategy? Use the firm’s website for the further information and assistance. Panera bread started their journey from 1997. Ron Shaich, the owner of this company is operating this company very well to move the business forward. * Panera’s purpose: Panera bread wants to operate its business with the purpose of satisfying customers with fresh baked breads, gourmet soups and efficient service. * Panera’s Mission: “A loaf of bread in every arm.” * Panera’s Strategy: For a new franchise like Panera is not easy to be successful within a very short time. But their strategy was to understand the long term trends at play and getting the organization ready to respond to it. They were very careful in terms of responding according to the need of the customers. That’s why before customers starts complaining about trans fat, Panera bread voluntarily eliminate it from the menu. So their strategy is hitting the bulls’ eye. Question 2: How well has Ron Shaich utilized the open system model of organizations in moving Panera Bread Company forward in...
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...The History of Bread Bread is an essential part of our diets and feels like it has literally been around forever. There is bread, no matter where you travel to and in many different taste, shapes, colors. Bread has been given its own culture through different countries over thousands of years. Bread is a pleasantly soft baked-good that you can find almost anywhere and in almost anything. No one is completely 100% sure when bread was invented, however, we do know that the bread eaten then was undeniably different from the bread we eat today. “For much of recorded human history, man, indeed, did pretty much live by bread alone. Our close relationship with the staff of life goes back at least 6,000 years to Egypt, where still today, the words...
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...One o'clock hits and its break time for lunch. Traveling down Street Road in Bensalem, a driver passes McDonalds, Burger King, the usual fast food places but their is a small shopping center with an eye-catching sign. It has a small restaurant in there. Panera Bread tries to sell their idea of fine dining to the middle and upper classes through the classy menu, unique music, and earthy neutral set up. From a fast moving business worker to a family wanting dinner, Panera Bread provides the perfect experience. It is located in a quiet, semi-empty shopping center. Customers first problem starts with parking. Panera has adequate spaces so the customer does not have to walk a far distance to grab something, especially if they need it fast. Before...
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...Morgan Johnson 1/11/16 Block 4 Green Classification Essay The Category Game As a miserable employee of the Panera Bread Restaurant/Café/Bakery, I confess that I have spent the most of my shifts during the past 2 years categorizing any and all customers I come in contact with. This childish game I play in my own head, and sometimes with my co-workers, can last anywhere from 4 to 10 hours. Every person that walks through Panera’s streaky glass doors on a mission to feed themselves the most overpriced and overhyped food, fall victim to this game. Nine times out of ten I am the first employee an incoming customer sees. Nine times out of ten I am the first employee to observe a customer’s behavior, prepare myself to act as fake as the ingredients in processed foods, and provide the customer service that I am required to do as specified in my job description. There are several factors that play into where a customer lies on the “enjoyable” to “ready to march my-underpaid-self straight out the front doors” scale, and I within a 60 second interaction with a person, I can put them exactly where they belong. Like most food based businesses, we have our regular customers that come in anywhere from 1 to 15 times per week to get their favorite drink, snack, meal, or bakery item. I can proudly say I adore approximately 80% of them. I have multiple “family members” that aren’t necessarily blood related to me. This 80% of the regular customer population fall under the enjoyable, crazy...
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...division were additionally attracted to a higher-quality dining experience, top management acquired Saint Louis Bread locations, altering the menus and atmosphere to their vision. Ultimately, in 1997, all bakery-cafes were titled Panera Bread outside of their St. Louis markets. Fast-forwarding to recent years, Panera Bread has received numerous awards, such as the Harris Poll EquiTrend, which ranked Panera as the Casual Dining Restaurant...
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...Panera Bread Company Financial Analysis In 2017 the Panera Stock were going for $315 per share in cash, in transactions valued at approximately $7.5 billion, including assumption of $340 million of net debt. For this Panera Bread Company, they came out with themes on digital, clean food, loyalty, delivery, and new formats for growth. Panera is the leading industry in digital with 26% of sales digital. They are the first and only menu with a clean menu. They have a loyalty program which is the largest in the industry with 25 million members and half of transactions through the program. There omni channel approach leads the industry, with delivery now available in 24% and their catering sales growing 11%. Their Company owned bakery café...
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...Creating a Business Gerri Lutz Professor Ashok BUS 10008616 July 25, 2010 When setting up a business there will be many challenges that you can encounter during this process. And why customers would pay a higher price for goods, and others less because of the quality of the product being marketed. In the following questions and answers, this will tell you why customers will definitely pay for the quality. 1. Identify at least three challenges when setting up a business. Explain why they are challenges. 2. Define what a “niche” product is. Give at least three examples of niche products. 3. Explain why a niche company might have an advantage in a market. Would price necessarily be an advantage? Explain why or why not. 4. Identify and explain three reasons why customers would pay more for exclusivity. 5. Explain how a niche player “chips away” at a larger competitor’s base. Give three examples of retailers who have done this. Identify at least three challenges when setting up a business. Explain why they are challenges. Financing: Does the owner have sufficient cash flow to fund the opening of the business as well as continuing operations? Many times an owner does have enough financial background to open their doors...
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...case Exhibit 3, which fast-casual and full-service restaurant chains appear to be Panera’s closest rivals? Competition “Third Place” segment * Panera has huge competitors such as, Einstein, Starbucks, Atlanta Bread Co and Panera’s Menus are quite similar. They all sell a similar combination of products. e.g: Menu of Einstein and Panera are quite similar. Both menus for breakfast include; bagels, scones, cinnamon twists, coffee cake, cookies, and muffins. Lunch menus include; soups, salads, and sandwiches. They also both offer hot and cold beverages. * Starbucks which has more than ten times more locations and around eight times more revenue. Like Starbucks, Panera Bread hopes to convey a casual, friendly atmosphere for people to “chill out” and enjoy the Wi-Fi and good times with friends. * While these are the closest rivals, Panera must also compete with casual dining restaurants, fast food places and any number of other locally- owned establishments. Dinner segment Applebee's has a strong position; it has the double of locations and a weak presence abroad. Its revenues are a 70% higher than Panera and also it has a good reputation. Specific bakery segment Au Bon Pain represents a serious competitor; with the 40% of location in USA and abroad than PBC, also has reached around of the 40% in revenues than Panera. Comfort, family customers and customer acceptance segment Cracker Barrel represents a risk; the business development is different for a fair comparison...
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