Case Study Of Tim Hortons

In Canada, The coffee retail industry has developed in the previous five years. The franchises is major factor in any business to expand their business for future growth. Actually Starbucks coffee is not a franchises. So they are company owned stores. They offer a different types of flexible coffee, tea program and stores for rang of various markets, and Markets include healthcare, universities & colleges resorts & hotels and existing restaurant. They additionally can take into account qualified high volume or high traffic retail locations.

Acquiring Torrington seems to fit well with Timken's long term growing strategy. Torrington and Timken share 80% of their customers but only overlap 5% in their product offerings. Not only would this allow customers to make Timken a one stop shop for many of their needs but also according to a survey done by the University of Michigan, companies that were integrated were more profitable than those who focused on only one good. Acquiring Torrington would help in their efforts of becoming more

An unsuccessful attempt to expand into US markets also puts the companies at risk for experiencing loss in capital. Many new stores will have to be designed and built in the US markets in convenient locations. One must recall that Wendy’s absorbed the company in 1995, and only 11 years later spun it off as its own company again. Wendy’s could not figure out how to successfully expand Tim Hortons in the US, which makes one wonder if Burger King will be any different. It has been proven before through the example of Wendy’s and Krispy Kreme that it is difficult to penetrate markets across borders (Hemmadi, 2014).

Burger King and Wendy’s are among the top fast food chains in America, but this fact doesn’t elude either chain from having their negative and positive features. Burger King is cheaper, and has a wider assortment of food than Wendy’s, which makes Burger King more desirable to many Americans. What Wendy’s lacks in diversity, and lower priced food when compared to Burger King becomes irrelevant due to the higher speed and superior quality food they offer. Both qualities of Wendy’s help to maintain equal competition between the two in the fast food market of America.

The principle of Value additively would refute this unless the amalgamation resulted in some form of synergy or more effective utilisation of the assets of the combined companies. According to this case, Timken has following expected operational and financial synergies after the Torrington’s acquisition:

Because the two companies shared many of the same customers but had few products in common, customers would surely appreciate the ability to have more of their needs met by Timken’s sales representatives. Moreover, Timken’s potential annual cost savings from consolidating manufacturing facilities and processes were estimated to be more than $80 million.

It is inexpensive and offers a quick coffee and other food stuff of quality. It’s always consistent in all its services, Inexpensive and provides a quick coffee brand with strong Canadian values and a good grasp on Canadian culture.

Imagine watching television and a commercial comes up with the Mayor of the City of Aberdeen Bill Simpson. The Mayor is announcing to all the city that all fast food restaurants in Aberdeen will be banned. Everyone in the council agrees. McDonald's, Dairy Queen, Burger King, Jack in the Box, and many more “delicious” fast food restaurants will be banned in all Aberdeen. Fast food restaurants should be banned.

Fast food restaurants advertise themselves and their food as different than all the other restaurants.

Both companies operate and compete in same business and therefore, Timken is seeking substantial operating synergies from this largest acquisition in its history. The motive behind this acquisition is to add potential value to Timken by combining both firms, preferably from operational sources.

A merger can reveal numerous opportunities for a smaller company seeking to increase sales without depleting resources or cash flow. If for example, Berry’s has established a strong customer loyalty and presence in a particular locale, but has not been successful in expanding to others, a merger with a competitor could easily lead to that opportunity. This “broadening of horizons” is commonly known in the business world as a horizontal merger. A

Once again, “A takeover is when one business buys another business. This tends to be more hostile as the buying business is the main one to benefit.” There are some advantages you can gain from this. Firstly, likewise to merging, there can be international growth. “Businesses can make their services or products available globally by acquiring businesses in various locations internationally. For instance, Belgium brewing company, InBev took over Budweiser for $52 billion in 2008 in order to expand its presence in the U.S. market and create one of the largest consumer beverage companies in the world, according to The Times. Due to the acquisition, profits of the company rose by 11 percent in 2011, according to France 24.” (http://smallbusiness.chron.com/)

The three restaurants are succeeding in their value propositioning. What set Burger King apart from their competition is that they

1. Competitors – As there are many other restaurants who are trying very hard to compete with McDonalds like KFC, Burger King, and Burger Fuel etc. They are also serving people with same kind of services like McDonalds and burger king is really giving a tough competition to McDonalds at the moment.

Creating new Tim Hortons in Philippines would be really be a good choice for the company as it will give them room for more expansion into other markets in Asia; embracing the fact that there is little or no competition present. I recommend that the company should find strategies to meet the needs of consumers in the country by respecting their traditions, culture and religions in order to