Case Study : Cke Restaurants, Inc.

Senior Management of PepsiCo is evaluating the potential acquisition of two companies – Carts of Colorado and California Pizza Kitchen – in order to expand the company’s restaurant business. If indeed PepsiCo decides to pursue the acquisition of one or both, they must decide how to align each of these business units in its historically decentralized management approach and how to forge relationships between the acquired business units and existing business units. In their evaluation, Senior Management is faced with the question of whether the necessary capital investment in order to purchase one or both of the businesses can be profitable for each of the acquired business units, but must

The Respondent, Prime Hospitality Corp., filed a motion for summary judgement in Circuit Court, Dade County, Florida. Eugene David, petitioned for writ of certiorari in the third District Court of Appeal of Florida.

After seeing McDonald's succeed in their business, Carl copied this method and changed his restaurant. Then in 1976, Carl Kramer enterprise CKE was made. This company was very successful, but he owed 70 million dollars to banks and the company's stock started to fall due to the new fast food businesses that were being created. Then in May 1992, the new president tried to help the company by serving low quality food for a cheaper price, but this worsened the business and the business failed.

The first KFC was opened in Tiananmen Square, China 1987; it struggled as western food was unknown to the east. This was still a very conservative nation, not prepared for the “Fast Food” takeover. The restaurant did pretty well, but grew slowly. The Harvard business review, stated that “in 1992 the Chinese government granted foreign companies greater access to markets, KFC China’s managers gradually developed the blueprint that would transform the chain.” (Yums' China, 2017) Although they have done well for themselves they struggled, as growth was steady but slow and their customer base was shrinking. “In November 2016 Yum China Holdings, Inc. became a licensee of Yum brands in Mainland China; they have exclusive rights to KFC.” (Yums' China, 2017) Yum controls approximately 7,300 restaurants and more than 400,000 employees in more than 1, 100 cities. YUMS generated over $8bln in sales in 2015.

The reasons for these acquisitions are varied and include taking over poorly performing restaurants to protect the company’s brand name and to preserver the value of the local market. Reacquisitions also take place for strategic cash flow management purposes whereby investing current free cash flows in the reacquisition yields the expectation of replacing franchise royalties with the larger profits from the restaurants themselves. Company almost always pays some premium related to the contractual element of the franchise right that is capitalized as an intangible asset. However, it must be noted that the classification and nature of the intangible asset varies substantially.

operates 25 years’ history. Compared to Chuck E Cheese, Inc. and California Pizza Kitchen, Inc.,

I shop weekly at Sam’s Club for a restaurant business. We are able to obtain a wide range of products from office to food at one location, within a good price range, and instantly have access to the products. Sam’s Club offers the products from a number of manufactures including their own brand which allow for greater choice. I am able to buy in large quantity from Sam’s Club which reduces multiple trips in one week. We continue to shop at Sam’s Club as they offer what I want and need readily available. They do offer promotions and sales on various items which at times entices me to make an impulse purchase. These impulse purchases led me to try offering different products or trying a new entrée for the restaurant. I will continue to shop at

As mention before, Restaurant Brands International is a merger company that contains Burger King, a coffee shop and a restaurant called Tim Hortons. Since it was a merger that occurred in 2014, there isn’t much info for the company; however, since Burger King has been almost as old as McDonalds so much of the info will come from Burger King. Burger King is practically the same as McDonalds created in 1950s yet a few years later after its competitor was born. The main difference of how it was created was that Burger King started off like a stove and that name of the stove was named Insta-Boiler.

Kentucky Fried Chicken (KFC) is a popular fast food chicken restaurant chain around the world. (Bell, Shelman, 2011) It is one of the subsidiary of Yum Brand. This company also operates the Pizza Hut and Taco Bell. (Yum! Brands, Inc, 2016) KFC was founded by Harland Sanders in 1952. (Bell, Shelman, 2011) Sanders was successful in creating the brand, even the logo of KFC brand is the portrait of him. He became a notable figure in American history thanks to his great contribution on creating KFC brand. Nowadays, KFC becomes more and more popular, the sales ranking of KFC was the 11th among the worldwide restaurant brands. (The QSR 50, 2015) The sales of KFC in 2014 was 4200 million dollars. (Details in Appendix 1) It means KFC has a large quantities of consumption needs. Actually, KFC has 14,577 restaurants around the world and 70% of them are located outside America (Yum Brand Annual Report, 2015). The restaurant profit was increased year by year from 2013 to 2015. (Details in Appendix 2) Therefore, it is potential to enlarge the customer base by analyzing consumer behaviors.

Golden Valley Foods, Inc. is a 127-year-old company that prepares packages and sells canned and frozen foods which include fruits, vegetables, pickles and condiments. Golden Valley has more than 30 processing plants in operations and annual sales of approximately $650 million. Much of Golden Valley’s management staff comes from their parent company with the previous president saying “The influence of our old parent company is still with us. As long as new products look like they will increase the company’s sales volume, they are introduced. Traditionally, there has been little, if any attention paid to

Enterprise recourse planning (ERP) is a business software that is a suite of applications intended to organize the business processes starting with planning to the point of shipping and payment. ERP operates in real time providing a shared database that supports the business process. It follows a consistent manner of tracking all aspects of the business across all functions and departments. offering so many levels for different management needs because it has the ability to customize the information as needed. This implementation paper will focus on HERSHEY FOODS CORPORATION by investigating and highlighting the reasons behind the catastrophe that Hershey foods corporation faced when implemented the ERP.

Answer to Question 1. MITRE is following the committed expert strategy. Its recruiting focus is targeted. MITRE does not resort to broad recruiting channels because it’s costly and doesn’t attract the right kind of candidates. MITRE mostly uses internal sources to hire new people. The company’s current employees do most of the recruitment and, in return, they get bonuses and opportunities to improve their team by suggesting candidates that they find suitable.

The spinning off the restaurant divisions, in my opinion, is a success for PepsiCo. Although Yum! Brands has been a quite successful, thriving company with record setting growth and profitability, I would still support the decision today. PepsiCo had too many oars in the water with the beverage business, the snack business (Frito Lay) and the fast food restaurant business. It could not successfully manage all the diversity it had acquired. I commend the management team’s decision (led by, then President/CFO, Indra Nooyi and now Chairman/CEO) (Fox News 2012) to cut a highly potential part of its business off and to implement a strategy to focus on its main products and their distribution. This strategy has proved to be the right move for this organization. Below is a table which illustrates the fluctuations with the stock price from the first acquisition of Pizza Hut through October 31, 2014 (though the stock price posted on 11/3/2014). You can see that the acquisition years (in yellow) show a negative impact on the stock price, with two of the three being significant. You should also note that, in the year of divesture,

Burger King. McDonalds.Wendy’s. All of these restaurants have one thing in common: they all are apart of the fast food chain. A chain that is supported by 1 of 4 Americans each day. Americans. The ones who say “filing my taxes are easier than doing taxes.” Although this statement is sad, it is true. It is very challenging to eat healthy by the way we run our lives. Not to mention it is nearly impossible to go into a grocery store and find a true well balanced meal without spending an hour in the store. Let’s also just not include the point that we don 't have the time nor the patience to spare an hour of our time to dedicate to eating healthy. To say an American life is busy, is an understatement. Our lives are constantly hectic,

Specialty Food and Beverage company (SF), which founded in 2004 in Denmark, mainly covers foods and beverage, restaurants and hotel area. Recent years, the company had faced several problems which lead SF to an embarrassing situation. This assignment will introduce SF’s current issues, analyze the decision and then discuss the solution way which chose by SF’s high level management team.