Romano’s Take-Out, Inc. Case Study

1471 Words May 9th, 2016 6 Pages
Mgt 151 Case 5

Romano’s Take-Out, Inc.

Group 5

Jaira Baril
April Elomina
Leni Mancilla
Joan Mariquilla
Amiel Parducho
Mitzi Punzalan
Justine Willauer

Ma’am Aquino
Mgt 151 C

Dec. 2, 2015

I. Point of View

As stated in the case, Angelina Cello was assigned by Romano Martino (owner) to have the authority to decide what the company should do in this case.

II. Market Situation Analysis

A. SWOT

1. Opportunities

a. High Demand in Flint b. The plant business is very profitable because large numbers of pizzas can be delivered at the same time to the same location, saving transportation costs, and plant orders involve different toppings (double, cheese, pepperoni, mushrooms,
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Less cost to implement

CONS: a. Will not be able to meet all the consumer demands b. Might lose other potential customer c. Does not addressed the delivery problem

2. Add additional equipment and hire additional staff to handle peak loads.

PROS: a. Would ensure timely customer delivery and high product quality b. Provide additional capacity to handle unmet demand. c. May address the delivery problem

CONS: a. 80% unused store’s capacity b. Higher cost for additional equipment and personnel. c. Limited space

3. Add additional equipment and personnel but move to a new location

PROS: a. Reduce delivery lead times to two to five minutes which results to additional oven time b. Allow RT to handle all unmet demand c. Address the delivery problem

CONS: a. Excess capacity b. Store’s capacity would go unused over 80% of the time c. More expensive to implement than alternative 1 or 2 with regards to needing additional promotional expenditure and new equipment d. Higher fixed cost

VI. Recommendation
The group chosen Alternative 2 to solve the case problem. As a stand-alone choice, it may not be efficient but if analyzed in contrast to the strength and weakness of the other two options, it is worth the risk.
In contrast to alternative one; alternative one does handle the situation with minimal cost when it comes to monetary but the

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