Frriar Tucker International

The analyses indicate that the franchisees are profitable at this level of sales; some franchisees appear to be having cash flow problem, since footnote 7 points out Boston Chicken had been forced to make advances to franchisees to fund local and national advertising; the sales from same store and distribution of same store sales; late payments by franchisees; the total cash floe generated by all stores.

In today’s highly competitive market, the continuous changes that are occurring in the social, politic and economic environment create serious challenges in the corporate world. Corporations cannot afford to do business as usual if they want to remain in the game and be successful. In order to achieve their goals and objectives, they need to evolve, adapt, learn and apply different new strategies that will help them secure long-run success and performance. Among those strategies, we are going to discuss ten of them and their advantages in connection with corporation’s goals and objectives.

In order to be competitive, companies have to satisfy customers’ requirements. They have to provide a fast and dependable service at reasonable price. There are five performance objectives that lead companies to competitiveness. They are:

There are two schools of thought pertaining to how firms should choose the competitive strategy that best suits them. One is of the opinion that firms should choose one of the generic strategies and commit all resources to making it work. Porter belongs to this category. They believe that the value chain necessary for cost leadership is quite different from that of differentiation strategy and that while differentiation deals with better quality, cost leadership deals with lowering costs wherever possible.(DESS and DAVIES 1984) What porter articulated here is that there is need for strategic clarity.

Three of the most popular Mexican restaurants for today’s modern consumers are Chipotle Mexican Grill, Moe’s Southwest Grill, and Barberitos Southwestern Grille and Cantina. There are large franchises that have grown to become successful and the leaders in there industries. Comparing their financial status, financial performance in the last 5 years, current market share, business and marketing strategies, current leadership, and the history behind each franchises is the only way to have a clear understand of who is the leader and who’s following behind in the industry. According to franchises direct, the retail food market share is 7.85% of the total franchise industry. There are approximately 70,722 total retail food establishments in the US.

This essay shall outline porter’s four generic strategies: ‘cost leadership’, ‘differentiation’, ‘cost focus’ and ‘differentiation focus’. These relate to segments 3A, 3B, A company has to be in one of these four segments: it cannot be between two. (Longmuir, 2015a) To achieve this, policies and procedures need to be developed to focus the whole company from top to bottom

This would be critical in the business’ ability to survive in such a monopolistic type market. Successful operation within a smaller independent chain restaurant faces challenges that may not be as apparent to a larger and more established national chains.

Speedy service & order accuracy New franchises Royalty fees Reinvest Branded grocery items Volume Profits Negotiation power with suppliers Diversified global portfolio Marketing programs New menu boards International expansion 6 v Coordinating Across All Operations v Value Chain Levendary Café’s operations touch upon the entire value chain of running a multi-unit restaurant.

As companies try to gain acumen and growth, they are going to face various challenges irrespective of their industries and business verticals. The companies should do cost containment, carry out effective risk management, perform information sifting, create customer Intimacy and should tap globalization in their favor if they want to outperform and outlive their competitors.

Competitive advantages that adhere to the current resources and market requirements are key and maintaining those advantages that is top priority.

Porter (1980) argues that the competitive advantage is a process that requires constant realignment to adjust to the changing environment.

According to Michael Porter, “a company strategist who understands that competition extends well beyond existing rivals will detect wider competitive threats and be better equipped to address them” (Porter, 2008, p.16). Thinking comprehensively about the structure of the industry as well as its customers can afford companies the ability to obtain superior performance. Therefore, it is key for companies to focus on how to maintain existing customers as well as lure new ones.

For almost two decades, managers have been learning to play by a new set of rules. Companies must be flexible to respond rapidly to competitive and market changes. They must benchmark continuously to achieve best practices. They must outsource aggressively to gain efficiencies. And they must nurture a few core competencies in the race to stay ahead of rivals.

The purpose of this report is to give a detailed analysis on a case study of Padi-Cepat. Padi-Cepat is a Malaysian Company dealing with food, beverages and baking products. Norman Effendi, CEO of the company is more concerned about the future of the company as the company is sliding down and he wants to take an effective strategy for improving the performance of the company. Padi- Cepat mainly targeted on middle and lower income groups. Different options for solving the issue of growth problem are put forward by the senior officials. The options are Greenfield Option, Market potential the Australasian region, exporting option and diversification option. The managers have proposed diversification strategy and launching a new business segment in Malaysia focusing on selling hot and cold beverages with cake, pastries etc. The managers predict that this market has significant potential to attract the middle and lower income customers because other international coffee chains in Malaysia only target high-income groups and the restaurants do no not have their own marketing products. They rely more on external suppliers for their selling. Norman has to choose any of these options for enhancing the company’s growth and he knows that if the company did not expand internationally, the local rivals would beat the company. Hence he decided to choose the diversification strategy for enhancing the company’s growth.

The purpose of this report is to give a detailed analysis on a case study of Padi-Cepat. Padi-Cepat is a Malaysian Company dealing with food, beverages and baking products. Norman Effendi, CEO of the company is more concerned about the future of the company as the company is sliding down and he wants to take an effective strategy for improving the performance of the company. Padi- Cepat mainly targeted on middle and lower income groups. Different options for solving the issue of growth problem are put forward by the senior officials. The options are Greenfield Option, Market potential the Australasian region, exporting option and diversification option. The managers have proposed diversification strategy and launching a new business segment in Malaysia focusing on selling hot and cold beverages with cake, pastries etc. The managers predict that this market has significant potential to attract the middle and lower income customers because other international coffee chains in Malaysia only target high-income groups and the restaurants do no not have their own marketing products. They rely more on external suppliers for their selling. Norman has to choose any of these options for enhancing the company’s growth and he knows that if the company did not expand internationally, the local rivals would beat the company. Hence he decided to choose the diversification strategy for enhancing the company’s growth.