Sonic Drive-In Restaurant Essay examples

Fast food has turned into a genuine fundamental of our everyday life and made a religion of establishments that reaches out to the millions of Americans across the country. The Fast Food industry in a few eyes has been one of the sharpest developments this world has seen. It has been driven by our stomachs and our wallets for 40 to 50 years it's as yet developing to this date. The man who make-believe it can be known as the best representative, this nation has ever observed. The Fast Food Industry is big to the point that it has influenced our wellbeing, changed our way of life, and misshaped our territory as far back as the very first moment.

Sonic Drive-In is an American quick service restaurant brand, established in 1953. The popular fast-food restaurant has 3,552 locations in 45 states, and is headquartered in Oklahoma City, Oklahoma (All Sonic Drive-In Locations). They are the largest drive-in restaurant in the country; their menu boasts over a million flavor combinations between their slushies and fountain drinks, and an extensive range of fast food options such as fully-loaded burgers, over the top hot dogs, and various grilled and fried sandwiches. Sonic also attracts customers by offering side and snack options unique to the brand, such as their Ched ‘R’ Peppers or Chili Cheese Tots. Sonic has been using the same advertising duo for over 15 years; two middle-aged

Burger King and Wendy’s are among the top fast food chains in America, but this fact doesn’t elude either chain from having their negative and positive features. Burger King is cheaper, and has a wider assortment of food than Wendy’s, which makes Burger King more desirable to many Americans. What Wendy’s lacks in diversity, and lower priced food when compared to Burger King becomes irrelevant due to the higher speed and superior quality food they offer. Both qualities of Wendy’s help to maintain equal competition between the two in the fast food market of America.

The strengths of the business would be having knowledgeable, trained, educated, and experienced staff. Lavish décor and great food and prices will add to those strengths. Location that is easily accessible and close to home for most of the guest. The restaurant would offer discounts to the college students and the travelers that are passing through, having a good reputation will be a strength and help build clientele. According to the data there is no other restaurant in the area with the same concept. The weaknesses of the business would be targeting multiple segments and trying to satisfy all of their wants and needs. Another weakness would be trying to keep the restaurant as trendy as possible but would be difficult with the changes in trends, what’s hot today may not be the next. The area is not completely in need of the type of restaurant and lounge in mind, therefore getting people to be open to and supportive of the idea is a concern. Poor reputation among customers by not giving a good first impression or not meeting their expectations would be a weakness for the company. Other weaknesses may include high costs, lack of access to key natural resources and distributors. The opportunity is that because of the current recession it would be the optimum time to open a business that would create jobs. Restaurant space can be negotiable and very

Sonic gives a lot of its credit for thriving to its various menu. Although several fast-service restaurant chains have struggled in past years, Sonics same-store sales growth increased in recent quarters by almost 12%. In 2014, traffic provided a large contribution to about half of same-store sales growth and more than two-thirds in the more recent quarter. Net Income progressed 87 percent for second quarter (Watrous, 2015).

Fast food popularity has grown tremendously over the years. People spend more time trying to save time in today’s world and in

This book discusses the fast-food industry and seeks to describe the impact of the industry on the U.S. economy and society. Also, it talks about the guys who has been investigating the fast food industry for many years. From his broad research, he has uncovered an abundance of little-known, frequently unsettling truths about the fast food industry.

From a study completed by Chicago-based Research International USA completed a study called “Fast Food Nation 2008. The panel consisted of 1,000 respondents of ages 16-65 who provided their inputs with an online survey which was conducted between March 13 through 2008. Which was based on results on fast food restaurants like McDonald’s, Burger King, and Wendy’s are gaining popularity even through the economic hardship and recession. Marketing strategy has become more of influence on kids and young American’s. As population grows and the demand increases of fast food restaurants are expanding their stores to capturing more consumers. Fast food chains are also willing to change their menus to continue to gain and retain repeating customers.

Since all three of these restaurants belong to national franchise chains they are required to pay franchise fees and royalty fees each month. The manager at Sonic Drive-In stated that their franchise and royalty fees are determine by their net sales each month. They are required to pay 15 percent of their net sales for franchise fees and 10 percent of their net sale for royalties. The manager at Sonic Drive-in also Stated that they are doing very good if they can profit 15 percent of their sales each month after paying all the expenses, and the best way to do that is by controlling the inventory and labor expenses. The managers of McDonalds and Kentucky Fried Chicken were unwilling to release any of their business information to

Sonic has several competitive advantages over other fast-food franchises. According to our text (Ferrell, O., Hirt, G., & Ferrell, L. ,2015), Sonic offers a unique and diverse menu selection that helps set it apart from a highly competitive fast food franchise market with little risk (p.169). Sonic has also seized upon new trends and opportunities to secure more business. Sonic offers a nostalgic experience for those who love a classic drive in diner. Sonic is a publicly traded company and ranks as the 10th largest fast food franchise in terms of revenue. Another competitive advantage that Sonic offers is that the chain is nationally recognized and has a national advertising campaign. Sonic is pioneered by innovated professionals who have laid

I went to Stoughton this weekend to try a Sonic’s burger, and found myself eating a steak and cheese with onions instead and ordered a side of tater tots and a banana shake to go with it. I found the shake to be too think, the sandwich OK, especially since I can appreciate the fact that it wasn’t greasy, and the tater tots to be plain. Overall, I would rate Sonic a solid C+ and wouldn’t go out of my way to go

If we look at the fast food industry today there is room for success. Based on RNCOS’ new US Fast Food Market Outlook 2010, fast food industry growth rate is strong. Especially, hamburger sales growth is reported at the healthy rate of 4.6% in 2008. The market is expected to grow to cross the $170 billion marks by 2010.It is believed that due to the economic meltdown, fast food industry is benefiting from people being more prices conscious. People who were enjoying nice means at fancier restaurants are now turning their choice of means to more economical ways.

The weaknesses of McDonalds include competitors and nutrition concerns. McDonalds failed attempt at pizza limited their ability to compete with fast food pizza franchise. Price competition with the competitors is also resulting in lower revenue for McDonalds. McDonalds also lacks variation in seasonal products that they offer. Another weakness, which has actually stemmed from McDonalds large size, is a lack of personal touch or connections. McDonalds has a very high turnover rate which in the end elevates the cost of training staff. There are also concerns that franchised operations negatively affect the food quality. McDonalds has also had a lack of innovation.

Besides the five forces, we also identify some driving forces in this industry. Emerging social issues and changing attitudes and lifestyles can be powerful instigators of industry change. Consumer concerns about health and focus on value have emerged as the major drivers of change in this industry. Product and marketing innovations have been key driving forces in fast-food industry too. The other driving forces are growing use of the Internet and emerging new Internet technology applications, increasing globalization, changes in the long-term industry growth rate, technological change and manufacturing process innovation through lay out and drive-thru process, and diffusion of technical know-how across more companies and more countries.

• What measures could Burger King do to dethrone McDonald’s as well as hold off the challenge of a number of other chains that were growing in size and competitive power?