Krispy Kreme Strategy

Venon then rented a building at the historic Old Salem found in Winston Salem and he began selling to local grocery stores. The company witnessed steady growth in revenue, that led to the company becoming a publicly traded company in the period between 2000-2016 pubic companies was unprofitable, and in 2016, the company went back to being a privately owned company under the JAB holding company, which is a private company, based in Luxembourg (www. krispykreme. com). The company currently has more than 1,004 locations and it has its services provided in all parts of the world. Mission Statement The mission of Krispy Kreme Company is to come up with the best doughnuts on the planet on a daily basis. Awesomeness of the company doughnuts is the routine practice of the company.

The community The company aims at giving back to the community by fundraising and involving themselves in work that is philanthropic to the society. Belief of the company The company believes that things become better if they are enjoyed together especially if what are being enjoyed are the fluffy clouds that are sweet and delicious by the name doughnuts. Krispy Kreme is involved in the cooking of originally glazed doughnuts. The company has the ability to diversify its products and at the same time maintain the doughnuts in their menus. The greatest challenge that the company is facing is the fact that the doughnuts are not taken on a regular basis hence the sales of the company are not regular. With the introduction of different products in the menu section of the company, that will be a form of diversification in their products and at the same time offer quality to their customers.

The company also has an opportunity of engaging in an expansion strategy. The expansion strategy would be targeting different locations all over the world. 24 3 Advertising platforms 0. 08 4 Customer oriented services 0. 3 5 High net income for 0. 6 Threats       1 Many competitors (Starbucks) 0. 6 2 Dunkin Doughnuts 0. The other threat that is highly weighted is the existence of government policies on exports and imports. There are varying legislations from the government concerning fast foods. The legislation costs are also highly rated and that means that the overheads of the company would have to increase with time. The other threat that is directly affecting the business is the existence of diet conscious people in the world. In the United States, many people are suffering obesity. 21 8 Light and fresh doughnuts 0. 18 The availability of a range of merchandise is one of the major strengths of the company.

Diversification of company's products can ensure that there is a wide variety of customers. The customers will be visiting the Krispy shops because of the variety in the stores. The other strengths of the company that is also beneficial in ensuring that company gains increased sales include the fact that there are customer feedback systems that ensure that the customers can give their opinion on the products that are being offered by the company. 18 Total 1 - 3. 1 The major weakness in the company operations includes the issue of quick expansion. Business expansion is a positive but if the expansion is not well catered for, the business may incur costs that are not beneficial for the business operations. The business should always ensure that they cut on any irrelevant costs that will ensure that there is coordination for the business (Martin, and Sieh 2003).

Before engaging in any expansion plans, a business should always ensure that they conduct a market feasibility study that would be aimed at ensuring that there will be possible returns from the selected expansion location. Internal Strengths 1. Provision of quality doughnuts 2. Loyal customers 3. Availability of hot doughnuts creates a competitive advantage 4. Existence of a strong brand name 5. Store expansion 3. Availability of different advertising platforms 4. International expansion opportunities 5. High net income allows for expansion 6. Customer oriented services 7. The company can fight the competition form existing and new entrants by ensuring that they maintain quality and at the same time increase their reach. SWOT matrix The matrix below shows the recommendations that can be followed by the company in ensuring that they have a strategic competitive advantage over its competitors.

The company can open up additional stores around the world. That will work in ensuring that there is increased revenue for the business. The strategy will be aimed at ensuring that there is capital increase and increased vigilance in the expansion. 7 Control over suppliers and distribution -4. 2 Average Rating -2. 8 Industry Position IP 1 Growth potential 4 2 Profit potential 5 3 Financial stability 4 4 Extent leveraged 4 5 Ease of entry into market 3 Internal External Matrix The strategy that would be employed would be the growth and building strategy. The TJX Company has not fully expanded. The company has its presence on six countries only. The company employs more than 4,300 employees. Recommendations Krispy Kreme Company is a well-known brand name. The company made some wrong decisions that made it move from a publicly owned company to a private corporation.