Case Study : Westlake Lanes : How Can This Business Be Saved?
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Case Analysis: Westlake Lanes: How can this business be saved?
Problem in this case:
Throughout the years Westlake Bowling lanes performance level was reducing, Shelby Givens was appointed as the general manager in order to make the situation better and repay the long-term loans. Board faced the situation whether to sell the business and repay the loans (or) to continue its operations as Shelby Givens plans shows promising revenue in the future.
Porter’s 5-force model:
1) Threat for new entry:(High)
It is easy for the new business to enter the industry in terms of cost factor. But when you look at the location advantages Westlake Lanes, it is located close to downtown area and neighborhood. It is also there in the industry for thirty…show more content… 5) Rivalry among existing competitors: (Low –Medium)
As discussed earlier Westlake does not have direct competition from its competitors because all the other bowling centers are located far away from the downtown area but they do have competition from indirect competitors so, the rivalry among the existing competitors is Low to medium. This Rivalry among the existing customers can be reduced by more number of loyal customers Westlake generated over past 30 years.
(Non substitutability) E
(Long-Term Operations) YES YES/NO NO NO YES
One to One Meeting With Employees YES YES NO NO YES
Establishing Financial Controls YES YES NO YES YES
Sales and Marketing YES NO NO YES YES
Maintenance YES NO NO YES YES
Understanding Locale YES NO NO YES YES
Vrine analysis explanation:
Westlake lanes been in business for more than thirty years so, it wins the competition over the other direct and indirect competitions in that area. They also have the loyal customers who contribute to increase the revenue for Westlake.
As this case don’t have much related to this but, generally speaking not many business have survived from the seventy’s. If they have survives they may not be the family business so, in Westlake case this is