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Case Study Of Cravia

Satisfactory Essays

Challenges faced by the Cravia team in 2014
Cravia from its inception it has managed to spread in the country and reach almost 70 to 80 in number. The company started its Lebanese brand ZwZ in Saudi Arabia. The company has increased its profit margin by around thirteen percent after it opened its branch in Saudi Arabia to a total profit of 40 million US dollars. The company had its challenges during its year in the Kingdom of Saudi Arabia when the time of Ramadan fell. During this time they had to remain closed and hence had a huge loss during this period. Cravia had its brands such as the Pizza hut, yum brands and also the Applebee’s which was franchised in Kuwait. Various staffs had been put in charge of these operations to ensure that the …show more content…

The sales of the outlets were revised on a two month basis which ensured that there was a continuous audit of the returns and that the sales were being monitored to ensure that the sales targets were met. The key performance indicators were identified and then studied for each branch to calculate the bonus for the managers of each branch.
The company ensured that the branch offices had the flow of control as per the flow of the control as seen below:
Figure 2: Cravia organization chart (source: Hajj, 2016).

This ensured that the flow of command as well as the information between the various levels of the organization were in sync and that the organization was steered to meet the visions of the management.
The company had its operations in the various regions of the Middle East by ensuring that the locations or shops were leased. Cravia ensured its smooth operations in the country by making that that each operation is outsourced and that these parties had the required inventory for just in time …show more content…

The company found it very challenging to import the American beef to the Saudi Arabia due to its high import duties. The company is in search of a shop that can sell them the best beef that can help them have a sustained beef quality in the market. The company eyes of starting a branch in Bahrain to which they assume will help them to improve the sales of the company. The company has bought the franchise rights for this fast food chain based in Washington hoping to start its operation in Saudi as well as Bahrain. As a Franchise leader in the market the company has vision to open more outlets within the country and then ensure that they have the sales targets met and then is doubled to meet the growing demand for expansion. The company has a huge turnover and growth strategies which helps to grow by the years. As a short term strategy and objective the company ensures that its customers are loyal and that the employees are satisfied to work within the firm. This will ensure that the employees within the firm are promoted and the Excellency in operations is achieved by a group effort. There are threats from the other franchisee based companies in the country that has also managed to have similar brands in the Middle East and is growing by the years. Cravia is having its operations in line

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