Panera Bread Evaluation Essay

1897 Words Aug 6th, 2009 8 Pages
Overview The food business is a broad range of businesses. Food is a basic need of consumers like clothing, and shelter. For a company to enter into the food business it has to assess the various segments of this business. These ranges from production of food, processing, and marketing. The company prior to entering a market in this line of business should assess its capabilities and compare these to the kind of needs of the consumers – would the customer be a processor, or a consumer?Is the product that the company can offer a raw material, processed food, or to serve a group of consumers who would like to eat and yet also need some little pleasure and not merely to satisfy their hunger? In the consumer segments of the market the …show more content…
The processing in franchised outlets is left to the chefs that are not under the direct supervision of Panera personnel. Its pricing strategy is to be above the mass market, but casual, andyet below the sit-down exclusive and expensive restaurants. The higher pricing strategy is to ensure that its image is a restaurant that is unique for its ambience and the freshness of its product. It has a personal touch so to speak, unlike in a fastfood restaurant. Its location strategy is to be accessible and yet in a place that can offer an ambience of not a busy or crowded area, but have a chance for customers to stay longer for the view outside, or to work undisturbed on their laptops. SWOT Analysis on Core Competitiveness Its major strength is of course the visionary ability of its founder who has almost single-handedly been responsible for Panera’s growth and identify market segments for growth. The uniqueness of its product is another of its major strength not only in their freshness but also on the emphasis on organic food. It has a strong information system that allows it to monitor the sales volume by type of order and the level of sales by customer. It is from this data that it is able to respond to consumer likes and request for other food preferences. It is also the information system that it is able to monitor control its cost, and price margin by type of product in its menu. It has an opportunity to expand in major

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