Business Strategy Analysis: Dominos

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STRATEGY ANALYSIS * Evaluate the current strategies used by Domino’s pizza What is strategy? Strategy is a general, detailed plan of action, encompassing a long period of time, to achieve a complicated goal. Strategy, as a way of action, become necessary in a situation when for the direct achievement of the main goal, the available resources are not enough. The task of strategy is an efficient use of the available resources for the achievement of the main goal. There are many strategies can be used by firm such as international strategy, multi-domestic strategy, transnational strategy, global strategy and so on. The Domino’s pizza had used some strategies which are marketing strategy, new pricing strategy and multi-domestic strategy.…show more content…
Customer solution, cost, convenience, and communication are considered each time Domino’s Pizza introduces a new product or initiates a new promotion. The science of marketing was the last thing on the minds of the Monaghan brothers when they borrowed $500 to purchase Dominick’s Pizza in 1960. With a down payment of $75, Tom and Jim Monaghan took ownership of a small pizza shop in Ypsilanti, Michigan. Their sights were firmly set on building a dynasty of three locations and monopolizing pizza delivery in a small concentrated area. From inception, the Domino’s logo contained three dots. These dots, still present on the current logo, represent Tom Monaghan’s original vision of opening three locations and develop a triangulation delivery strategy. In the early years of business, pizza was the only item on the menu at Domino’s. Side items were never considered to be a part of the menu. Remaining sensitive to competitors and allowing competition to affect product pricing is a classic trait of a market follower. Domino’s was eventually forced to add medium and extra large sizes to remain competitive. Domino’s Pizza has chosen a market follower strategy. Product, one of the four Ps of the marketing mix, is an area where the market leader continues to influence Domino’s. Competition forces changes to the market followers. The first change to the product offering at Domino’s happened almost three decades after they opened. In 1989, Domino’s Pizza introduced a
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