Time For Bread
Corporate, Competitive, And Functional Strategies Of Panera
During 2011, Panera opened its 68 new stores, Panera strategies are to provide the premium specialty bread to its customers; the company is willing to provide the café experiences to the suburban and urban workers. They are providing the great bread across the U.S. The strategies are providing the fresh-dough in artisan style the quick service is given to the customers; it is their goal to recognize nationally and trying to “being better than the guys across the street”, the company goal was to increase its gross profit per sale transaction. Panera competitive strategies are fresh dough making capability, dining atmosphere and bread sells at the more economical price. All the functional strategies are being focused as in the marketing strategy they are focused on the awareness of the brand and trying to make customers loyal.
Management Team
There is need of proper evaluation about the goals or targets, that what is achieved and what is not. The management objectives need to review; all the objectives and goals need to follow so the stakeholders could be satisfied. The performance should be evaluated in compression with the goals, mission and values need to determine, that at what point company is standing and where it is lacking.
Strategic Management
Any company can face the problems due to rapid growth, in a case of Panera, If the Panera bread grows too fast in the market, there could be various issues like, an inability of the company to manage its financial output. They can lose their employees as their needs do not fulfill, there could be the erosion of customer’s service, and may be the service level cannot satisfy. However, company many are unable to manage the internal system, as the company is growing too fast so the systems can become updated and there will be slower or no growth pace.
Advantages And Drawbacks
Panera is more focused on the franchising there could be advantages and disadvantages of the franchising. The advantages could be seen as, easy expansion capital, the outlet in your chain can grow the number of location and brand will be recognized at a number of places. Access to better talent; talented people may come and manage your location effectively. Minimized growth risk, franchising could result in high financial returns. The disadvantages could be high entry cost, loss of control over managers; the managers will do what they want to, as the franchisees are independent business. A weaker core community, it is difficult to manage the franchisees, core community can be weaker, innovation challenges, and lack of flexibility could be there.
Strategic Risks
Panera needs to focus on the customer’s preference, by focusing on that they can make or invent new tastes in bread and their other items; however, there are chances of wastage of the money if the customers do not like the taste. The company needs to invest more in its employees rather than technology, technology is involved in the little process; however, for the selling of bread, employees are involved in every matter. There is a need to take reviews from the customers because the expectations of the customers can be changed with the time.