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Domino's Strategic Competitive Advantage

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Lauren Bilich

on 8 April 2013

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Transcript of Domino's Strategic Competitive Advantage

Profile Domino's Strategic Competitive Advantage Scott Benton, Lauren Bilich, Danette Winkler, Aaron Love, Vanessa Torrez Environmental Analysis Competitive Environmental Analysis Internal Analysis Problem Analysis Opportunities and Threats Strategic Intent and Mission Strategic Alternate
Action Plans -Historical Strategic direction
-Simple menu
-Global mindset
-Current strategic direction
-Mission Statement:
"Exceptional franchisees and team members on a mission to be the best pizza delivery company in the world"
-Vision Statement:
"Quality, great tasting pizza" Strengths •Innovative
•Powerful global brand
•Strong distribution center
"Logistically designed to deliver pizza"
•Strong social media presence Opportunities •Increase international presence
•Pizza appeals to a wide demographic
"40% of Americans eat pizza at least
once per month"
•Redesigned pizza recipe
•Streamlined ordering process
"Surpassed $1 billion in digital sales
in one year in the US" Threats •Increase in prices:
-Commodities (E.g. cheese)
-Transportation (E.g. gasoline)
•Obesity rates on the rise
•Challenge to meet customer
expectations Major Problem: Quality and Reputation -Publicly traded
-Cost leadership strategy
-Health conscious consumers Opportunities -Going organic
-Become more tech savvy Threats -Health conscious consumers
-Cutbacks on consumer spending -Offer a better tasting pizza
-Higher quality ingredients
-Expanded product line
-Cost leadership strategy
-Promotions and money back guarantees
Regain customers
-Tech trends Industry Leader in
customer satisfaction Simple Menu •Go back to the original
strategy of a simple menu
-Competition Health Conscious Consumers •Fastest growing sector
•Organic = Better quality ingredients
•1st pizza company
-Altered target market -Domino’s:
•Maintain market share
•Maintain price competitiveness
•Provide the "Ultimate Delivery Vehicle"
•Increase Customer Satisfaction
-Papa Johns:
•Increase market share
•Maintain price competitiveness
•Increase brand loyalty - "raving fans" -Domino’s:
•“The best pizza delivery company in the world”
-Papa Johns:
•“Better Ingredients. Better Pizza” Goals Strategy Competitive Advantage -Domino’s:
•Brand recognition
•Managing Human Capital
-Papa John’s:
•Operations segmented
•Quality Control •Major Issues:
-Improve Quality Control
-Improve Reputation
•Maintain/Increase Market Share
•Domino’s strengths, capabilities, and core competencies:
-Managing Human Capital
-Brand Recognition
-Domestic Supply Chain Distribution Centers
•“Logistically designed to deliver pizza” Business Segmentation Thank You -Technology and Technological Changes
-Global Economy
-Demographic Trends
-Sociocultural Environment
-Economic Environment Weaknesses •Decrease in domestic revenue
•Decrease in customer loyalty
•Menu does not cater around health
conscious people
•Negative reputation in the
marketplace Final Action Plan & Implementation Short-term Analyze current business segmentation to identify new segments Medium-term Implement new segmentation Long-term -Enable new innovations
-Increase international presence
-Increase domestic market share
-Increase quality and taste
-Improve reputation Competitive Advantage •Position Domino’s to strategically improve operations and enable efficient implementation of new innovations
-Utilize brand recognition to increase customer loyalty
-Recruit & Retain talented Executives
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