Introduction
Wendy’s is the third largest fast-food company in the United States. They are one of the most successful and profitable hamburger stores in the world. Through this, the industry is in a quagmire. One company is going to break through and develop a technique in which they will be able to limit the expenses and increase profit margin while adding stores. The company hat is able to develop this first will be able to control the fast-food industry. Wendy’s has the ability to do it by acknowledging and planning to take advantage of their opportunities and attacking their threats head on.
Political An opportunity for Wendy’s to grow would be economic integration and alliances. What they have done in the past is to integrate and for alliances with other companies outside the United Sates. Tim Horton which is one of their subsidiaries formed an alliance with IAWS group to build a state of the art bakery in order to produce the product they need. Through this, they were able t share the expense and gain from the profits they are making.
Another big opportunity for them is to expand into major markets that are stable. Currently, they have very few stores that are in Europe which is strategically placed. They have settled their 6,500 stores in locations that have a lower income. This results in the increase of sales because the lower the income the more propensity the people have to eat fast food.
The biggest threat that is facing the company in regards
About everyone at some age, at some point or another, and in some country has gotten a sample of American's symbol for fast food through the golden arches of McDonald's. This report will attempt to analyze the external and internal sectors that affect the company's success. The external analysis will provide opportunities and threats while the internal analysis will show indicators of strength and weakness. It will then follow up with critical issues, strategic alternatives, recommendations and implementation. The case studied is found in Appendix 2 of Mary Coulter's "Strategic Management in Action" book.
Expanding the target market of Panera Bread is a good growth opportunity for them. This can be achieved by product line (menu options) extension or by entering international market outside the American continent so as to increase their geographical coverage. In addition, Panera has an opportunity to get additional market and growth by adapting rapidly to changing market and customer preferences. They need to advertise and market themselves as a healthy option for eating out. Health oriented food or food that are low in calories, sugar, cholesterol, etc. is getting very important as people started becoming very health conscious and selective. Their effort to roll out new products with fresher ingredients such as antibiotic-free chicken needs to be further expanded. Recognizing the health risks associated with transfat, Panera had completely removed all transfat from its menu by 2006. Organic food, non GMO, etc. They could increase number of their franchises. A number of markets were still available for franchise development. The have opportunity in front of them to open more outlets, both company-owned and franchises. They could open within North America and mainly in areas where they are not present now, and those areas where the growth potential is good, like some of the suburban markets. Many good locations for fast casual dining options are available in many of the untapped areas. Panera has a good market opportunity outside the small urban niche where greater growth
The fast food industry in the US is witnessing the increasingly fierce competition among Chipotle, Chick-fil-A, McDonald’s, Jimmy’s egg and KFC. In addition, consumers increasingly favored foods clean and healthy. Foreseeing this need, numerous popular fast food restaurants sprung up promptly. The first Chipotle restaurant is opened in 1993 by Steve Ells in Colorado. On the contrary, McDonald’s is founded by McDonald’s family with a long history as well as one of the oldest brand in America. My paper will explain the similarities and differences in their three characteristics between Chipotle and McDonald’s, both of them are large enterprises in the fast food industry which have large market shares. Then, I also give opinions to differentiate
McDonald’s has been in business since 1955. Through many years of great strategic and financial planning, it has become one of the most successful food chains in the world. In order to continue its great success, McDonald’s must continue to adapt to change. In this paper we will discuss the strategic and financial planning that would be necessary to keep McDonald’s on top of the food chain.
Opportunity options for Chipotle lie in international expansions in Europe as well as in the growth of the US food service industry. From 2014 to 2015 consumer spending on food away from home increased by 50 percent and is supposed to increase further, which would improve sales. One major opportunity would be drive thru locations, as well as a menu expansion.
McDonald’s has been in business since 1955. It has positioned itself in the market as a low-priced, fast food restaurant focusing on hamburgers and other convenience foods. The company is currently faced with competition from Chipotle, a restaurant which offers fast and healthy Mexican food in the fast-casual dining segment. Both restaurants are competing for customer dollars and while they both offer fast convenience there are differences in their food offerings. McDonald’s has always offered a fast, basic meal at a low price. In comparison, Chipotle offers fresh, quality Mexican food fast at a low price. Analyst have suggested that Chipotle would bring an end to the fast food burger chains that have long dominated the industry. McDonald’s must determine if Chipotle is a competitive threat and if so how to address the threat in the market.
Happy Hamburger pride itself as the leading fast-food company of the nation. We have brands all over the United States, and we are growing by the minute. Wherever there is a hungry American, there is Happy Hamburger. As a leading fast food company, finding glass in burgers is far from ideal situation and it is the right kind of situation that potentially can create a crisis and lead to a smeared reputation, decline in sales, and the brand to tumble. My concerns as a director of purchasing is the recall of one month worth of products and having to start with anew with another supplier; the first will cost us a lot of money, while the later would consume time and effort to find a supplier that fit the specifications we
Wendy’s created an initial level of excitement that competitors were unable to match. Being known as an originator creates a strong bond between customers.
I. Main Idea: Wendy 's started from scratch in the large town in Ohio and now has over 6000 different locations.
McDonalds (McD’s) and Burger King (BK) are key players in the fast food industry and have been competing for many years. They both provide similar food that is prepared quickly for a low price. So what sets them apart? The difference between McD’s and BK is their corporate culture – operational management. The manufacturing method at McD’s follows the “Doing It All For You” versus “Having It Your Way” at BK.
To start with internal strengths of Wendy's International Inc., as can be detected from the case, include: big brand name in fast food industry; high revenues and faster growth rate compared to competition; strong presence in 33 markets worldwide, with more than 9000 stores; high variety of menu, with special items not found on competitors' menus; high quality of ingredients and healthy alternatives of menu items; special value menu with more than 10 items sold for competitive prices; unique fast-food experience; and efficient selection of suitable targets for acquisition, consistent with the company's core business model
The central thesis of this paper examines the organizational structures of McDonalds, Burger King, and Wendy’s food restaurants. It will examine the comparison and contrast of the organizational structure of McDonalds with Burger King, and Wendy’s Corporations. What functions influence McDonalds, and explains how the organizational design helps determine the structure that best suits McDonalds needs, as a business.
to penetrate into the dinner market without risking its existing business model for fast food while benefiting
The second force that acts on the industry is the threat of new entrants. Fortunately for McDonald’s and it’s over 30,000 restaurants world-wide, the corporation has set itself in a position of dominance. Using a growth strategy, “McDonald’s is continuously expanding its reach which makes it increasingly difficult for new fast food restaurants to enter the industry, through franchising, McDonald’s is able to reach nearly every corner of the globe” (Shell, Ellen Ruppel).
The main problem from McDonald's case, McDonald's Polishing the Golden Arches, is how to classify McDonald's strategy through Plan to Win into one of the five generic competitive strategies. Before we solve this main problem, we should determine the chief economic and business characteristics, the five forces analysis, and also the driving forces of the fast-food industry. After that we identify the strengths, weaknesses, opportunities, and threats by using SWOT analysis. Finally, we classify McDonald's strategy into one of the five generic competitive strategies.