Krispy Kreme Doughnuts Groupe 2 NChahid GLeslie RMarjorie

8/7/2019 Krispy Kreme Doughnuts Groupe 2 NChahid GLeslie RMarjorie

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:STRATEGIC DIAGNOSISEXTERNAL& INTERNAL ANALYSIS

CONSULTANTSCHAHID NoraGOMEZ Leslie

RICO Marjorie

ArArmama 2011


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...ABOUT US...ABOUT US

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ABOUT US

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CORPORATE STRATEGY

BUSINESS INTELLIGENCE OUTSOURCING

INTERNATIONAL DEVELOPMENT

OUR ADDITIONAL PROFILE

OUR DISPONIBILITY

OUR TOOL MASTERY

OUR HARTTO HART

PHYLOSOPHY

-Nespresso-Cmoi-Delacre-Gerbl

-Pepsi- Harry s-Pasquier- Ben and Jerry s


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SOME NUMBERS?SOME NUMBERS?

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SUMMARY Company Situation Strategic Analysis

Our recommendationsand and

Strategic Planning

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ABOUT YOUR BUSINESS

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Company overview( :Business model d o viennent les ventes

, , ,franchise royalties donut sales grocery. . )sales etc p C196

Revenue stream

r un t t s l ux l ntr pr s ! 2222


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STRATEGIC PROFIL

Sells via word-of-mouth

A loyal base of customers

A good business model with verticalintegration.

Doughnut-making equipment

Doughnut mixes and coffee

Good margins in supplyingfranchisees.

Brand equity

Company growth through FranchisesArAr


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: ABOUT YOUR BUSINESS 4 P

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PRODUCT PRICE

PLACEPROMOTION


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FINANCIAL STATEMENT

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MACROENVIRONMENT MICROENVIRONMENT

IS A TURNAROUND POSSIBLE ?


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PROBLEMATIC

What are the internal and external factorsyou need to take into consideration inorder to reboost your business?

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STRATEGIC ANALYSIS

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MACROENVIRONMENT MICROENVIRONMENT


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MACRO ENVIRONMENT

ANALYSIS

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Macro environmentTOOLS OT of the SWOT matrice

Porter

L.C.AG models principles

Product life cycle

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PROCESS ANALYSIS

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ENVIRONMENT ANALYSIS Minimum wage changes and employment law changes

Taxation on unhealthy products Advertisement Campain on healthy product

The continued economic downturn (non-essentialfood)

The Financial crisis limits buying power of costumers The challenge of unbalanced currencies destroys cash

flow

Fluctuations in commodity prices

Health oriented society

Customer needs cultural adaptation

The behaviour of the consumer ( around 10 billion ofdonuts sales)

PP oliticalE conomical

ocial cultural

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ENVIRONMENT ANALYSIS

T echnologicalE nvironmentalL egal

Development of the internet Introduction of the hot doughnut technology

,The Company is subject to a variety of federal state and.local environmental laws and regulations

( , )Commercial litigation franchise issues employment disputesTransactions between KK and other businessesProperty issues concerning building of stores and factories

in countriesThe legal aspects of acquisition

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PORTER

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THREAT OFSUBSITUTES

CUSTOMER POWERSUPPLIERS Power

BARRIERS TOENTRY

DEGREE OFRIVALRY

GOVERNEMENT/3 5

/2 5

/3 5

/1 5

/3 5/4 5


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YOUR OPPORTUNITIES

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Worldwide sales - (Re brand the product create a new

, ,communication new store design refresh)style

The development of internetRebuild costumer loyalty within the genuine

marketClosing of unprofitable stores which allows

greater control


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THREATS/ENVIRONEMENTCHANGE

Flat doughnut sales Competition more and more intense Increasing trend in healthy food Decreasing brand equity

Shutting down many stores due to norespond of customer needs Increased prices of agricultural products

and energy impacts sales negatively.

Financial crisis limits buying power ofcostumers

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MICRO ENVIRONMENTANALYSIS

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TOOLS SW ot the SWOT matrice

Strategic business (DAS)

Matrice dAnsoff BGC Matrice

Mc Kinsey matrice

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YOUR STRENGTHS Signature original

donuts.

Employees are bettertrained.

A unique brand andvariety of freshlymade donuts.

The transparency ofdonuts productionprocess - the donuttheater.

Retail to non profitor anization. A r mA r m

A h ig h ca p a city to m a ke

, .1 0 0 0 0 d o n u ts d a ily O ffe rs a d d itio n a l p ro d u cts

th ro u g h b u sin e sses.a cq u isitio n s

A great desire for growth and

success of people and.company

.Brand equityA good business model with an

.vertical integration


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YOUR WEAKNESSES

Intense competition:Starbucks coffee andDunkin Donutsbeverages

No others standardproducts

Manufactures allequipment internallyin its Manufacturingand Distribution dept.

Weak presence onInternational markets

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K K sn a cks are n o t h e a lth y (need- )to co n sid e r lo w ca lo rie d o n u t

Loo sin g b ra n d im a g e -Non interactive website and No

online ordering capabilityBad relations with franchisees

( )Corporate Structure CEO retiredExcessive will of expansion and

growth


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CRITICAL ANALYSIS instense competition Dunkin Donuts: 4400 stores VS 450

stores for you

No Globalizing Krispy Kreme

Loss of brand name

Less attractive: Accounting irregularities

Closing of Franchises

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Nouvelles tendances du


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Nouvelles tendances dumarch du donuts/nourritre en

gnrale VOIR PARTIE THREATS Some of the reasons consumers are

seeking their comfort in doughnutsis new products have beendeveloped without trans fats, insmaller portion sizes and new

flavors.

Nouvelles tendances du


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Nouvelles tendances dumarch du donuts/nourritre en

gnrale Quantitatif Chiffres du March du donuts

Valeur des actions

Vers quoi tend le march

Quelle direction serait judicieuse?


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R E LIA T E D T O T H EP R O B LE M A T IC

HOW WILL KRISPY KREMEDOUGHNUTS RETURNPROFITABILITY ?

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O U R SR E C O M M A N D A T IO N S

New marketing strategy

Introducing loyalty programs

Better adaptation to foreign

cultures

Creating and introducing newtrends

Introduction of new products

Move back to the firstconcept of selling the

experience, not just theproducts A r mA r m

Pe rfo rm a b e tte r fe a sib ilitystu d y b e fo re e n te rin g am arket

A ttra ct n e w fra n ch ise e s b y

lo w e rin g th e ro ya lty fe e s

-R e b ran d th e p rod u ct D e ve lo p in g a n d Te stin g S m a ll

S h o p Fo rm a ts To D rive S a le sa n d Pro fita b ility

In cre a se re se a rch a n d( , )d ev e lop m e n t coffe e tea

Focus o n co m m e rcia ls e v e n ts E xp a n d in g in to D u n kin D o n u ts

te rrito ry


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Developing and Testing Small Shop Formats ToDrive Sales and Profitability

Enhancing your Focus on Shop Operations

Developing, Testing and Deploying New Products

Improving your Off-Premises Business

Building On Your Success Internationally

Enhancing Franchisee Support

O U R SR E C O M M A N D A T IO N SO U R SR E C O M M A N D A T IO N S

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P H A S E S


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PHASE 1

Reduce cost by delocalising doughnutmix production in low cost countries.

Reduce the size of coffee shop in orderto focus on sales, not on production

Customize stores, refresh style tocreate new atmosphere

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&A D V A N T A G E SD IS A D V A N TA G E S

Increase capitalfrom soldlocations and

properties Decrease loss

Develop newmarket

Lo se d o m e stic lo ca tio n s Lo se fo o th o ld in ce rta in

re g io n s R isk fo r in te rn a tio n a l

lo ca tio n s In cre a se co st fo r n e w

lo ca tio n s

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PHASE2 Diversify and expand product mix

Develop culturally oriented products

Redesign current product names anddescriptions

Redesign packaging (cups, wrappers,bags, etc.)

New communication ( events,internet)

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&A D V A N T A G E SD IS A D V A N TA G E S Attracts new

customers

Attractive to theinternationalmarket

More Competitivewith the market

May keep existingcustomers

May increase itemssold perpurchase

More efficient

More cost effectivein the long run

N ew d eve lop m en t an dp a cka g in g co sts N ew id ea s m ay

d isco m fo rt o ld

custom ers R isk o f n o t sellin g

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SCENARIO 3

Intensify internationalisation anddistribution channels

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ADVANTAGES &DISADVANTAGES

Attractiveyoung ages

Increase the

holidays' sale Loyal customers

will increase

Increase thecustomers'database

R e m o d e l th ep ro d u ctio n lin e

In cre a se th ew e b site se tu p

cost N e e d to fin d m o re

w orkforce tosu p p o rt n e wa ctivitie s

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C H A IN V A LU E

A r mA r m

MANAGEMENT

LOGISTICMANUFACTURING&PRODUCTION

MARKETIN&GSALES

RECOMMANDATION

MARGIN


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QUESTIONS

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Any questions ?

Krispy Kreme Doughnuts Groupe 2 NChahid GLeslie RMarjorie

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