Being that Broadway Café has been in business sine 1952 I feel as though the company already is at an advantage as compared to any possible competition. There is already a first- mover advantage being that the business is the first of its kind in the area, so they are familiar with the type market. Thus, a competitive advantage is also present. Broadway Café does not need to research the market, figure out their niche, or even what the average consumer likes because they already know ( or have an idea) of what their target market enjoys. Although, I feel there is not much Broadway Café has to do to remain on top, ensure steady business, and put their staff at ease knowing competition won’t run them out of business, it is always a great idea
For The Broadway Café to reach out to our customers about the issues we are having, we are creating a YouTube video that will be posted to social media. Our strategy for the video is to let
Since the Broadway Cage has been in the neighborhood the longest I have a first-mover advantage with the local customers. They knew my grandfather and they trust the coffee shop. A new competitive advantage I can gain over my competitors is decreasing the wait time for my customers. Observing the time it takes to make certain drinks and food and then removing the problems to
22). The café have first mover advantage to be first in business but Starbucks is technologically advanced and have wholesale coffee business in the market. For example on Starbucks’s website (2009) it states, “in addition to sales through our company-operated retail stores, Starbucks sells whole bean coffees through a specialty sales group and supermarkets”.
Broadway Cafe’ since its inception in the neighborhood in 1952 has outgrown its place in terms of antiquated ways of doing business. It is in dire need of a face life and an extreme makeover, to say the least.
Having a low supplier power to begin with brings a high threat of new entrants to the café in that it is easy for the new entrants to come across what they will need to launch a business in this industry. However, it is tough to come into the restaurant industry and at the same time hard to establish a distinct brand name (McDonald, 2010). Large, well established coffee/tea businesses such as Starbucks have well-built brand identities. This being it does make it a lot harder for competitors like the Broadway café to enter and succeed within the industry. Also, “new entrants find that they are faced with price competition from existing chain restaurants (McDonald, 2010)”. But, the Broadway Café will keep its prices “artificially low as a strategy to prevent potential entrants from entering the market,
* Starbucks expanded to pursue sales of products in a variety of distribution channels and market segments. Products were marketed to restaurants, airlines, hotels, universities, hospitals, business offices, country clubs, and select retailers. In the airline industry, Starbucks coffee was served in flights United Airlines and United Airlines. Packets of Starbucks coffee along with coffee making equipment were made available in each room in Hyatt, Hilton, Sheraton, Radisson and Westin Hotels. Coffee service was also provided in several Wells Fargo banks in California. Foodservice distributors such as Sysco
Before the opening of the Broadway Café, and during the first months of operation, it is essential to know one's own business. Word of mouth is certainly a powerful weapon of promotion, but also a well-organized campaign can bear fruit. For example, one can rely on the specialized agencies for the distribution of brochures, business cards, brochures, leaflets intrigued by the potential customers effectively communicating information to the Broadway Café, and especially it is distinctive and strong quality and taste. Not to forget the billboards and ad on local media (radio, print, television). The advertising is catered to achieve the target market successfully (Ambler, 2000).
It's clear that competing in a 21st century marketplace means that a business absolutely has to be operating at its highest level of performance and skill. Any company needs to compete with success and aggression and strategize its operations so that essentially the firm is like a lean animal of prey. Nadler and Tushman were indeed correct, that many firms today, ""¦fueled by an abundance of capital, companies have massively rearranged their portfolios, adding and discarding businesses to sharpen their strategic focus" (1999, p.45). There's no reason that Starbucks and the team of smart, driven people behind this fine company can't set its sights higher for the 21st century. Starbuck just needs to contemplate and then follow many of the suggestions made by Nadler and Tushman in the article, "Strategic Imperatives and Core Competencies for the 21st Century."
The Café at Rosemont is located in a sweet and lovely building that will feel like a home away from home. Produce is locally sourced and can be tasted in the dishes. There are also many vegetarian and vegan options as well, making it a great place for everyone to find something tasty to eat. The Café at Rosemont serves breakfast and lunch, with pop-up dinners thrown in there as well.
Several key success factors exist for Starbucks, a leader in the coffee industry. They include
In 1952, The Broadway Café opened its doors for business. Located in downtown Saratoga Springs, the café specializes in a wide variety of coffees, teas, homemade sandwiches and soups and also offers a full service bakery. For quite some time the Café was the local hotspot. However for the last five years business has been steadily declining. My grandfather who owned the shop up until now has been running it the same way since its inception. The lack of information technology has been the driving force behind the Café’s decline. In order to bring the Café up to date with the 21st century, a detailed analysis using Michael Porter’s Five Forces Model will be implemented.
1.Analyze the business-level strategies for the corporation you chose to determine the business-level strategy you think is most important to the long-term success of the firm and whether or not you judge this to be a good choice. Justify your opinion.
This paper addresses the use of Porter’s Five Forces model and how it can benefit Broadway Cafe by identifying and analyzing the effect of these forces on its business. The benefits include improved decision making, faster time to market, better productivity, improved competitive advantage, more profits and greater customer satisfaction. It also helps in achieving operational excellence.
Retail: The integration of retail is also a source of competitive advantage because this capability is also valuable and rare. Through Starbuck's full control and consistent management of the distinctive Starbucks experience, the company is able to create a strong brand equity. Establishing a strong brand equity allows the company maintain market presence. Additionally, considering that there are many coffee producers competing against Starbucks, having a strong brand equity allows the company to differentiate themselves.
Starbucks’ retail entry model in the United States does not have the same strategy as their international model. In the states Starbucks holds great control as a corporation, but in international territory, country partnerships, cultural, government laws and politics play a very important role in Starbucks’ entry strategy. Starbucks has set it sights globally since the coffee market has come close to saturation in the U.S. which will give them the opportunity to continue to expand without fierce competition. Starbucks has looked to countries like India and other emerging markets with great growth potential to set down new roots. Starbucks recognizes India as a great choice to expand business internationally but also recognizes the complexity in the same market after several attempts to enter without success.