TABLE OF CONTENTS EXECUTIVE SUMMARY 3 HISTORY OF THE COMPANY 3 PRODUCTS AND SERVICES 3 MARKET STRATEGY 4 Market Profile 4 Marketing Plan 4 The Competition 5 LOCATION AND OPERATION 5 Location 5 Operation 6 MANAGEMENT 7 SUMMARY OF RISKS 7 FINANCIAL ANALYSIS 8 REFERENCES 10 EXECUTIVE SUMMARY Tortilleria La Victoria is a family owned and operated tortilleria and Mexican restaurant. The company was established in 2009 in Woodward, OK and in the last two years has expanded to a second location in Oklahoma City, OK. The main focus of the company is to produce a variety of tortillas and chips and sell the products to outside consumers. The company owners have more than 20 years …show more content…
of experience in the production and sales of tortillas and chips. With the increase of Hispanic population and tortillas becoming a staple in the American household, the demand for tortillas has increased in the last 5 years (IBISWorld, 2017). Tortilleria La Victoria has had successful growth in the last few years and would like to expand into larger retail stores. HISTORY OF THE COMPANY Tortilleria La Victoria started out as a tortilleria in 2009 and added the restaurant shortly after the opening of the company. In 2015 the company expanded to a second location in Oklahoma City, OK. The company produces a variety of tortillas and chips and distributes the products to other restaurants and small grocery stores. Because of an increase in sales and production, the company would like to expand into larger retail stores. PRODUCTS AND SERVICES Tortilleria La Victoria produces different types of tortillas and chips. The types of tortillas produced are flour, corn, and wheat. The chips produced are corn tortilla chips. The products are made with no preservatives and have an authentic taste. All tortillas and chips are made with fresh ingredients. MARKET STRATEGY The company’s market strategy is to always meet the needs of its customers and constantly look for ways to improve the products. The company would like to increase the use of social media sites as well as run ads in local newspapers to reach new customers. Social media can improve the business by increasing brand recognition, increase inbound traffic, decrease marketing cost and improve customer insight (DeMers, 2015). The newspaper is a good way to reach a large amount of people, especially the older demographic who tend to read the paper more frequently (The company will also have weekly specials to improve customer growth. Market Profile The company’s customers come from all different cultures.
The company advertises in both English and Spanish to reach out to more consumers. The company has a wide variety of customers from different ages, races, genders and professions. The company tries to accommodate customer needs and wants. The potential growth for the company will increase due to the diversity of the area. Marketing Plan Tortilleria La Victoria’s product prices compared to competitors are higher. What makes the company’s tortillas and chips stand out is the quality and taste of the product. The company is always looking for ways to lower the cost of the products without changing the taste and quality. La Victoria value their customers and strive to continually improve and adapt to the customers’ desires. The Competition The company has many competitors including Mexican restaurants, food distribution companies and different brands of tortillas sold in large retail stores. Our products are different because they are made fresh daily and use no preservatives. Although preservatives are used to increase shelf life, it has been reported that preservatives cause very mild to life threatening reactions, therefore to have a healthier product our company does not use them (Sharma, 2015). The price of La Victoria’s products may be slightly higher, but the quality of our product is better. It is important for the company to have ways of dealing with competition. Good ways to dealing with competition are never …show more content…
underestimate the competition, do not play dirty, try to ignore the competition for the most part, and do not be a copycat (Kappel, 2014). LOCATION AND OPERATIONS Location Tortilleria La Victoria 423 East Main Street Woodward, OK 73801 Tortilleria La Victoria II 1147 South Pennsylvania Ave. Oklahoma City, OK Each location is in an easily accessible area with a large amount of traffic. The company owns the Woodward location and the Oklahoma City location is rented with the option to buy. At the time of the expansion, no renovations will be needed. Operations Tortilleria La Victoria Hours: Monday-Friday 7A.M. -7 P.M. Saturday 7A.M.- 4P.M. Sunday Closed Tortilleria La Victoria II Hours: Monday- Friday 7A.M.
– 7P.M. Saturday-Sunday 7A.M.- 5P.M. The hours of operation have changed over the years to better meet the needs of the company’s customers. With the expansion, the company will need to add 3 more employees to help with the production. The employees will be hired at the beginning of the transition, so they can be trained proficiently. MANAGEMENT Each location has an immediate family member of the owners, who oversees every day operations. They are considered the managers of their location. They are knowledgeable and well educated in all aspects of the company. The owners supervise as needed. The owners have over twenty years of experience in the restaurant and tortilleria business. They personally trained every one of the employees currently employed. The manager at each location consults the owners for anything they cannot handle on their own. The employees are to take all questions and concerns to their managers unless conflict occurs. The company uses an outside accountant and legal team to help when needed. SUMMARY OF
RISKS With any business venture, there are risks. Tortilleria La Victoria as a whole is prepared for many issues that might arise. The company has set up a contingency fund for any future expenses outside of the expansion expenses. This fund is for any problems that might arise with machinery or inventory as well as issues with employees or vendors. The company is already very much established and has had a steady increase of customers within the last 5 years. FINANCIAL ANALYSIS For the expansion of the company, the owners will invest $49,360 cash. This will be used for inventory, equipment, employee cost and training, and licensing expenses for each new store. The company currently spends roughly $3000 in inventory and $3040 on employee costs weekly. With the expansion, the company projects inventory will increase by $3000 and employee cost to increase by $1140 weekly. Employee Salaries (first 6 months) $9,120.00 Employee Training $5,000.00 Equipment $13,240.00 Inventory (first month) $12,000.00 License expense $10,000.00 The company currently makes gross monthly profit of $15,840 and intends to increase the gross monthly profit by 25% in 4 months. REFERENCES DeMers, J. (2015, September 20). The Top 10 Benefits of Social Media Marketing. Retrieved November 06, 2017, from https://www.forbes.com/sites/jaysondemers/2014/08/11/the-top-10-benefits-of-social-media-marketing/2/#9b7bfc159893 S. S., DR. (2015). Food Preservatives and Their Harmful Effects. International Journal of Scientific and Research Publications,5(4), 1. doi:10.18411/a-2017-023 IBISWORLD. (2017, May). Tortilla Production in the US: Market Research Report. Retrieved November 02, 2017, from https://www.ibisworld.com/industry-trends/market-research-reports/manufacturing/food/tortilla-production.html Kappel, M. (2014, April 25). 4 Ways to Deal with Competitors. Retrieved November 06, 2017, from https://www.entrepreneur.com/article/233379 Staff, E. (2017). Newspaper Advertising. Retrieved November 04, 2017, from https://www.entrepreneur.com/encyclopedia/newspaper-advertising#
East Park Restaurant operates using a hybrid (mixture of vertical and horizontal) organizational structure where Boos reports to the company’s owners. Assistant managers and front...
The company is driven by a strong set of values, even if some of those decisions increase its costs internally. This is especially the case with the sourcing of its ingredients and meats. In fact, the high-quality ingredients and advanced cooking methods used by Chipotle are second to no other fast-food chain. Among recent developments, the leader in fast-casual dining concepts plans to become absolutely GMO-free by the end of 2014. Although the aim is not new, it shows Chipotle’s commitment to bring fresh ingredients to the table. Besides offering high-quality meals to its customers, the portions are generously sized and the value is unmatched. There are very few places that can fill you up for less that $10 with quality food, and not junk. The triad of fresh, pure ingredients, cutting-edge cooking methods, and tremendous portions gives Chipotle a mouthwatering appeal.
In your industry, an entry barrier is to provide customers with high quality, fresh, homemade products. With the surge of the health craze, more people are likely to go to a Café type establishment, than go to a fast food restaurant. Health-conscious customers have come to know and expect this from any café/restaurant trying to enter this market.
The company’s marketing team should first collect information regarding the income level of customers who live in the vicinity of the
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In the book Latinos INC, Arlene Davila discusses and explores many of the dimensions and elements of Hispanic Marketing. In the beginning of the book she states that the Hispanic market is a multi-billion dollar industry. This market has grown tremendously and it is most prominent in densely populated Latino cities, such as Miami and Los Angeles. In these cities the main percentage of these Latino Americans tend to be Cuban. Davila explains and argues many points about Hispanic Marketing that bring great insight into this billion dollar industry.
Maple Leaf Foods Inc. is well known as a leading packaged food provider in Canada with over 100 years sustainable working. Its head quarter is in Toronto, but it operates across the North of America, the United Kingdom, Mexico and Asia, as well. Since its foundation, this company has expanded primarily by merger and acquisition activities. It owned 90 percent of Canada Bread Company, Limited, found in 1911. It was created by the merger of Maple Leaf Mills Limited and Canada Packers Inc. in 1991, and these companies consisted of subsidiaries. By providing the highest quality, nutritious and innovative products to excess customers’ needs, Maple Leaf Foods is pursuing its vision to become globally admired food processing firm. It was gotten honor awards such as “Product of the Year 2011”; “Canada’s 10 most admired corporate culture”; “Best New Product Award”; “Canadian Family 2010 Food Awards”. Its total asset of 2013 was $ 3,599,092, compared with $ 3,243,696 in 2012. Net earnings of this enterprise were $ 512,163 in 2013, compared with $ 96,562 in 2012. Although, the company faced challenges caused by the increased price of raw materials and effects of macroeconomic issues; it still keep its values and be willing to change for sustainable achievement in the future. As a result of changes, Maple Leaf Foods Inc. is making an agreement to sell Canada Bread Company for Mexico's Grupo Bimbo with the price of $1.83 billion in cash in order to focus on its meat products business in 2014. The company financial report indicates its focus in 2014 with five main points. First, pricing actions to address higher ...
Pret is more upscale than its competition but everything comes standard, so you can’t control the condiments. Many of competitors believe that fresh means made-to-order. Panera Bread, one of Pret’s biggest competitions, is well known through the New York City area. Panera Bread advertisement their products and offer hot food made to order. Even though the line can get long the customers do not mind the long wait knowing that their food is precisely the way they want it done. These intense competitions can entice Pret’s consumers away with personalized. For an upscale chain, prices start at $3.50 for a smaller proportion. Pret is only found in dense urban area does not appeal similar to Panera, which could be found in rural settings. But Pret stands out from the competition with their fresh food, customer service and charity
However, because of its demographic it was losing a high customer base because of its prices. The text book Chapter 10 emphasized the importance of pricing and creating profit. The investor Marcus Lemonis showed the owners how to evaluate demand and the price sensitivity of their products. He introduce product that could be brought in with lower price points that would compete with their competitor and still crate the high-end prestige the company wish to create. Taking advantage of the income statues of the company’s customer with in their demographic. One major problem the company had was the price point of a bag of dog food was around $100 per bag that was a high price for the consumers within the area. By bring in a brand that had high quality and prestige at a price point of $20 allowed for a greater customer
Language and culture are problematic issues when it comes to international marketing. When a company enters the global markets it has to deal with many issues, which do not exist when it comes to the local market. Language is one of the problems and is always a challenge. Even though English is spoken around the world in most cases it cannot be used as a language for international campaign. Therefore the translation of the campaign into the foreign language is very important.
Panera seems poised to continue to dominate the bakery-café market and continued sustainable growth is very likely. Works Cited The “Annual Report” (2010). Retrieved from http://www.panerabread.com/pdf/10k-2010.pdf “Company Overview.” (2011). Retrieved from http://www.panerabread.com/about/company/ “News Release.”
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Not having to answer to a corporate boss is the dream of many and the flexibility that owning a business franchise creates provides this option. Success is not reached by simply creating a business, however. The level of success is measured by the size and efficiency of the business. Business growth is the driving force of the economy. The additional jobs and revenues created when a business expands allow the economy to grow at exponential rates. One of the fastest and most popular ways to increase the size of a business is to turn it into a franchise, which can then be purchased by individuals. Franchising provides opportunities that are beneficial to both the parent company and the purchaser. The company that owns the business can expand without having to pay such a large initial cost to open a new store since the franchise purchaser pays a cost to open the business. As well, the company can regulate many of the business activities so that there is a sense of consistency throughout all of the locations. The purchaser is allowed to use the trademarks and goods of the franchise which already have a large market presence. As well, they are provided with training and work standards by the company to help their business run smoothly (Kalnins & Lafontaine, 2004, p.761). Looking at the business model of the world’s largest food retailer, McDonald’s, provides great insight into franchising and business growth in general as well a better understanding of a global business that utilizes the franchising technique.
High price in imports. Because our main ingredient is imported from the U.S., the exportation and freight costs are higher than those compared to a local company.
Making the decision to open your own business is a major life event. Starting a new venture can be exciting as well as rewarding. The first step to becoming a business owner is choosing the type of business you would like to run. This business can be something that you have wanted to start up yourself or you can go with an established franchise. Are you willing to share the profits in exchange for the relative safety of a franchise or would you prefer the risk and rewards of pursuing your own vision? Franchising is a continuing relationship wherein a franchisor provides a licensed privilege to the franchisee to do business and offer assistance in organizing, training, merchandising, marketing and managing in return for a monetary consideration