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Group No . 9 Arjun Amrish Hiteshwar Chauhan Khemchand
S. founder. U. chairman.30 Billion (FY 2008) Operating income ▲ US$113 Million (FY 2008) Net income ▲ US$67. and soups Revenue ▲ US$1.4 Million (FY 2008) Total assets ▼ US$674 Million (FY 2008) Total equity ▲ US$495 Million (FY 2008) Employees 4. Missouri. founder Products Quick casual/Bakery-café. Key people Ken Rosenthal. founder Ronald M. including several varieties of bread.panerabread. hot panini. and CEO Louis Kane. Shaich. cold sandwiches. Missouri (1981) Headquarters Richmond Heights. salads.com • • • • • • • .Introduction • • • • • • Type Public (NASDAQ: PNRA) Industry Restaurants Founded Kirkwood. such as bagels and muffins.746 full time (December 2005) Website www.
Q1. How has Panera Bread established a unique position in the restaurant industry? How has this unique position contributed to its success? .
How Panera Bread established a unique position • Mix specialty food • Offers – A variety of artisan – Specialty breads. along with bagels. pastries and baked goods • Provide an inviting neighborly atmosphere • Chill-Out Time .
and Best Facilities.9% increase in profits. Best Salad. earning $38. Panera ranked 37th on Business Week's list of "Hot Growth Companies".How has this unique position contributed to its success • Grow from 369 company owned and franchised units to over 1362 today • Known as the Nation’s bread expert • In 2005.000 . Panera was also rated #1 for Best Healthy Option.6 million with a 42. • In 2009. among restaurants with fewer than 5. the restaurant review service Zagat named Panera one of the most popular restaurants for eating on the go.
Analyze the restaurant industry using Porter’s five forces model.Q2. In what ways has Panera Bread successfully positioned itself against the forces that are suppressing the profitability of the restaurant industry as a whole? .
Industry Analysis: Porter’s Model 7 .
Positioning Strategy of Restaurants High Food Quality Low Slow High Speed of Service .
They didn’t want to give up the convenience of quick service .People were increasingly looking for products that were “Special” 2.First mover advantage of the changes in Restaurant Industry 1.
Q3. What barriers to entry has Panera Bread created for potential competitors? How significant are these barriers? .
Barriers to entry for potential competitors Barriers to entry: • • • • • • Economies of Scale Product Differentiation Capital Requirements Cost advantages independent of size Access to Distribution Channels Government Policy .
What are Panera Bread’s primary sources of competitive advantage? In your judgment.Q4. are these sources of advantage sustainable? Why or why not? .
Primary Sources of Competitive Advantage • • • • • Industry Analysis “Fast-Casual” Positioning Execution Brand Equity .
Thank you .