Case 33: California Pizza Kitchen Essay

California Pizza Kitchen Chris Schroeder FI 602: Financial Strategy and Valuation Fang Chen September 21, 2012 Introduction In July of 2007, California Pizza Kitchen (CPK), a casual dining pizzeria started in California by co-owners Rick Rosenfield and Larry Flax, was faced with the decision to invest in a stock repurchase program. Led by Chief Financial Officer Susan Collyns, the financial team of CPK was reviewing the preliminary results for the second quarter to determine if the stock…

California Pizza Kitchen Case California Pizza Kitchen has been operating since 1985 predominantly in California. As of June 2007, they had 213 retail locations in the US and abroad. Analysts have put estimates on the potential of 500 full service locations. CPK 's strategy includes the opening of 16 to 18 new locations this year including the closing of one location. In the second quarter of 2007, revenue increased 16% while comparable restaurant sales grew by 5%. Performing comparatively well…

Introduction to California Pizza Kitchen California Pizza Kitchen is known worldwide for its high quality menu and ingredients, with budget friendly prices. They collect their revenues from three different sources. Sales from company owned restaurants, royalties from franchised restaurants and royalties from a partnership with Kraft to sell CPK branded frozen pizza in grocery stores. CPK has a "dedication to guest satisfaction and menu innovation and sustainable culture of service." CPK has…

company's capital structure is an indication of a well-managed and successful company and should be a goal for most corporations. Beverly Flax and Rick Rosenfield founded California Pizza Kitchen (CPK) in 1985 in Beverly Hills, California. It is a casual dining, full service restaurant concept that specializes in gourmet pizzas with unique topping combinations. They operated 213 locations in 28 states and 6 foreign countries by the end of the second quarter of 2007. Almost all of the firms revenue…

Executive Summary California Pizza Kitchen (CPK) was founded in 1985 by Larry Flax and Rick Rosenfield with a vision of offering customers designer pizza at reasonable prices. CPK’s target market is geared towards affluent customers making $75,000 annually, and over the span of 2 decades the business was able to grow from a single location into 213 locations across 28 states and 6 foreign countries. CPK generates revenue from 3 main sources: company restaurants, franchises, and royalties. CPK stands…

California Pizza Kitchen Case Study Research Analysis Paper Angela Whittaker MGT. 7294 Advanced Financial Analysis Wilmington University Professor Weeks October 1, 2015 “I certify that I have complied with the Wilmington University Code of Academic Integrity in completing this assignment. I understand that any failure to comply with the Code of Academic Integrity will result in severe penalties, such as an automatic failing grade for the course and referral to the Office of Academic Affairs.”…

Anticipated effect of changing the capital structure on CPKs stock price (p.6-7) Our recommendation (p.7)  In order to explore whether or not California Pizza Kitchen should change their capital structure, we must first look at the brief history of the firm to get a better idea of the corporate culture and the firms appetite for risk. California Pizza Kitchen started in 1985 and they have been rather successful given that 95 of all restaurants fail in the first two years. They did not fail and even…

Report on Case analysis of California Pizza Kitchen Course (506): Cases in Financial Decision Making SUBMITTED TO: Dr. M. Sadiqul Islam Professor Department of Finance University of Dhaka SUBMITTED BY: Group 21 MBA 16th Batch Department of Finance University of Dhaka Date of Submission April 08, 2015 Group No: 21 Serial Name BBA ID MBA ID 1 Farhana Bondhon 16-004 16-615 2 Farha Farzana 16-006 16- 727 3 Marufa Akhter 16-132 16- 657 Letter of Transmittal April 08, 2015 Dr. M. Sadiqul…

---------------------------------- CALIFORNIA PIZZA KITCHEN; STRATEGIC CHOICES A company’s strategic choices shape how that firm will operate and react to the use of its own resources as well as the affects of external factors. These choices are typically broken down into one of our distinct strategies (cost leadership, differentiation, niche focus, and first mover’s advantage) and applied as management sees fit. In studying California Pizza Kitchen (CPK) literature, one can easily decipher…

California Pizza Kitchen (CPA) was founded by Larry Flax & Rick Rosenfield in Beverly Hills 1985. They wanted to make really good pizza at really low prices. They were growing fast and by 2007 they had 213 locations. They had profit of over 6 million and had strong revenue in restaurant sales of up over 15%. Their revenue came from sales at company owned restaurant witch was their main focus because it was 170 units and analysts estimated the potential for CPK was 500 units. Their revenue also came…