1. Describe how the value proposition that Middleby offers to a casual dining chain, like Outback steakhouse, might differ from one that is offered to a fast-food customer, like Papa John’s International.
In order to answer the first question we must understand the following “value equation”.
The value proposition of Middleby Corporation will have a significant difference in term of products offered to fast-food companies oppose to ones offered to casual dining chains where Middleby has made a strong name and market for itself supplying clients like Papa John’s International. That is related to Middleby’s lengthy and solid experience in supplying fast-food companies compared to its test-run of supplying three undisclosed casual…show more content…
We will keep the same strategy with offering high quality items at lower costs however the key adjustments here are customization, differentiation and diversification, casual dining restaurants specialize in different things hence need different kitchen products, we cannot sell the same fryer, ovens that we sell to fast-food chains. We must recognize what their needs are and customize products based on those needs to keep them satisfied and build a long-term relationship with them and create a positive reputation for Middleby in this new market.
The below marketing mix could be used for casual dining chains.
Even though customization would remain a choice for casual dining chains however we must also look into revamping existing products and modifying them to fit the requirements of a bespoke casual dining restaurant thus saving Middleby significant costs of creating new product lines and enabling them to charge less for their products.
Middleby should offer high quality products at a reasonable price, despite the fact that quality plays the major part in influencing the decision makers at casual dining restaurants, price is still an important factor, price will be reasonable to enable us also to cover all incurring costs and make