The overview of Company situation : Panera Bread Company
Panera Bread company is one of the leading fast-causal restaurant and widely recognized as the nationwide leader in the baked breads, made-to-order sandwishes, salads, custom roasted coffees and cafe beverages. The company targets to urban workers and suburban dwellers who looking for a quick service meal, qualify foods and environment. In 2004, the customers ranked Panera Bread highest among quick-service restaurants in the Mid-west and Northeast regions of the United Stats in all catergories which included environment, meal, service and cost.
Panera Bread’s Strategies
Its strategies were to make great bread broadly available to consumers across the United Stats by expanding 155…show more content… In my opinion the weaknesses of Panera Bread are the stringent criteria to gain a consideration for a Panera Bread franchise and the huge amount of initial investment for a Panera Bread bakery-cafe referred in the exhibit 7 in this case which cost approximately 1,003,000 to 2,235,175 dollars plus real estate and related costs. This may limit the number of franchisees which could be a barrier of the expanding strategy in the long run. Moreover, because of the company has its own fresh dough facilities to supply fresh dough daily to both company-owned and franchised bakery-café , if there is an accidental problem in deliver process, the store may lack of the fresh dough for producing in store.
Even though the alternative menus such as children’s menus, innovative or trendy dishes and the healthy menu are the opportunities of Panera to extend the target group of customers. The catering service is the interesting opportunity for the Panera’s management team to extend its market to workplace, schools and parties. In addition, in my opinion expanding to outside United Stats is another good opportunity to extend the market share as well.
According to exhibit 9 in the case, the direct rival of Panera would be Atlanla Bread Company which its products are almost the same line with Panera (i.e. fresh-baked breads, salads and sandwiches). If the company overpasses this threat and does not differentiate its products and