Case Study Panera Bread

Sandra Acquaah

Individual Case Analysis

PANERA BREAD

SUMMARY

Panera bread is one of those few companies which have maintained continuous profitability throughout the recession. Panera Bread has been very successful in its niche market over the years but like many other companies in the industry, there are some areas which need improvement. After careful analysis of the case and outside readings, my conclusion is that although Panera Bread is doing very well, the company’s current strategy isn’t strong enough to sustain growth and profitability for the long term considering how competitive the market is. The major problem which I discovered is that the restaurant is operating under its full potential. In order to maximize its potential and take advantage of opportunities currently available, Panera Bread has to:

a. Enhance its brand image and customer service proposition by undertaking intensive market penetration strategies as well as market development strategies to expand into untapped geographical markets both locally and internationally.

b. Undertake a major overhaul of its value chain and eliminate those activities which have no value added proposition to its customers so as to reduce operation costs and increase profitability.

These strategies are very important because, it will create more awareness about the company and what it has to offer, ensure continuous and sustained growth over the years and make it a more potent competitor in its current industry.

EXTERNAL INDUSTRY OVERVIEW

Panera Bread competes in the industry of fast-casual dining. The growth in this industry was at 14% in 2006 but dropped drastically from 2008 to 2010 during the worst of the recession. However growth has started picking up again the outlook...

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...y success factors are what my two above recommendations will seek to do.

References:

Tice, Carole – September 11, 2012, “1,000 New Independent Restaurants Open -- Crazy, or Canny?”- retrieved from: http://www.forbes.com/sites/caroltice/2012/09/11/1000-new-independent-restaurants-open-crazy-or-canny/”

Christina – May 2013 “Fast Casual Takes Over New York” retrieved from - http://thetrendly.wordpress.com/2013/05/30/fast-casual-takes-over-new-york/

Burger Business – May, 2012, “Fast-Casual Still Outpacing Industry Growth” retrieved from: http://www.burgerbusiness.com/?p=10723

Waltrous, Monica – July 2013, “What’s hot in fast-casual”, retrieved from: http://www.foodbusinessnews.net/articles/news_home/Food

Company overview – Panera Bread, retrieved from, “https://www.panerabread.com/en-us/company/about-panera.html”

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