Papa Johns Case Study Solution

709 Words 3 Pages
This process will take one and six months. Papa John’s over the next three months needs to do research on different areas that they want to start new stores and what store can be remodeled to include dine-in options. They should build five and remodel five. This will allow them to build five ideal stores that they want to eventually use as a floor plan, for all new stores. This will also allow them to gain new stats on existing stores and if their customers like the dine-in option. This will also allow them to gage if there are changes to revenue for their store. They can get feedback from customers and analyze if this has helped those stores increase their customers. After the research is done then five contractors will be hired to use the …show more content…
This would include opening franchises in Europe, starting in Italy. Papa John’s strategy is to grow in the amount of stores they have. Currently the top competitors in the pizza industry are international. In order for Papa John’s to continue to compete with them, they need to ensure that their international sales are doing well. If they do not then this can hurt the overall profit of the company. This will cut back on overall revenue and affect the coverall success of the company. This is critical to their success because eventually they will run out of areas to build new sore in the United States. Therefore, they need to start to expand in other regions. Italy is known for its Italian food, which includes pizza. Opening stores in their area will allow Italy to have a taste for American style pizza. Papa John’s should partner with a local producer to establish 25 stores across Europe. These are stores that offer carry out and delivery, with the new menu …show more content…
However, the profits from the three recommendations will out weigh the costs. First it will cost money to add healthy menu items. However, keeping their customers will ensure ongoing revenue for them. In addition, this may increase new customers and help the company generate more revenue. Building dine-in stores will also cost some up front investments. However, by choosing ten stores this allows the company to slowly implement the plan. This will also allow time to do research on the profitability of the changes associated with dine-in service. Another benefit of this plan is that the buildings will become assets to Papa John’s. Furthermore opening more operations internationally is a low up front cost for the company. Since they are francizes the company actually makes profit from these stores. Not to mention the longer-term money they will be making from their percentage of sales. Overall the strategic issues that Papa John’s faces and the recommendations to elevate them will improve the success of Papa

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