Arnie's Case Study Essay

Arnie’s Neighborhood Bar and Grill has come to a point in its path in which it needs to make a key decision. In recent years, Arnie’s has not been a profitable business and therefore a change must be made. There are two options. The first, to offer a series of perpetual large-scale discounts and offer new menu items at limited time prices. Additionally, this option entails partnering with Grub Dash and Ultra Eats, expanding the company to a food delivery level. The second, to rebrand Arnie’s as a Gastropub/fast-casual hybrid. One third of each location’s space would also be transformed into a fast-casual section. The restaurant would begin serving higher-end items as well. In making this decision, I will construct my analysis under the basis of two criteria: best addressing Arnie’s financial issues, and helping to …show more content…
In the long run, Arnie’s will need much more than a few discounted and limited-time items in order to build a sustainable future. In the short run though, these promotional actions will bring an initial inflow of customers and immediately, but not over a long period of time, raise revenue for the company. Adding a delivery aspect to Arnie’s by partnering with Grub Dash and Ultra Eats would be a move in the right direction. These partnerships would grab the attention of people, as none of Arnie’s competitors currently have delivery. But how long would this last? Partnerships in general are very mimicable and there is no reason why competitors would not jump at the opportunity to sign partnerships of their own if they saw that Arnie’s was profiting from them. While adding discounts and good deals to their menu may help financially and distinguish them from competitors in the short run, looking at the more important bigger picture, a more drastic change is needed to occur in order for Arnie’s to prosper and stand out for the foreseeable