Business Strategy: Business Analysis Of Dunkin Donuts

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The Dunkin brand has two major companies Baskin Robins and Dunkin Donuts. For this business analysis I will be focusing in on Dunkin Donuts of the Dunkin Brand. Dunkin Donuts is one of the leading companies in the coffee industry that is growing rapidly each day. Though the coffee is rapidly increasing, can Dunkin Donuts keep up and compete with top rivals? History In 1950, William Rosenberg founded Dunkin ' Donuts. By 1954, Mr. Rosenberg had opened a total of five Dunkin ' Donuts shops, and had been featured as a young entrepreneur in national publications such as The Saturday Evening Post and Coronet magazine. In 1955, the first franchise agreement was signed and executed in Worcester, Massachusetts. In 1960, Mr. Rosenberg founded The International…show more content…
One of its biggest strengths is it is one of the top coffee companies in the world. Dunkin Donuts has built a strong brand for itself. The company has over 1000 selections of doughnuts, and its stores are a perfect place for having breakfast and coffee. They have worldwide franchisees, totaling to more than 10,000 locations across 32 countries (Marketing Coach). Dunkin’ Donuts uses the fixed price but yields more which lets it to sell at a lower price because fixed costs are spread over a larger number of components. Dunkin Donuts has standardizations for each location so where ever the customer goes they can expect the same thing. They have control over the supply chain which contributes to lower costs. This is achieved by bulk buying to quantity markdowns, talking suppliers down on price, establishing competitive bidding for agreements, and working with sellers to keep inventories low. Dunkin Donuts has a strong customer loyalty rate, which it cost less to keep customers than to gain new ones. Dunkin has good partnerships with JetBlue, Smuckers, and Keurig. Dunkin does a lot of charity work like feeding the hungry, supporting children’s health, and making sure that neighborhoods are safe and secure ("Brand Power"). Dunkin Donuts has recently launched a green campaign that will building green certified program designed to help franchisees build sustainable, energy-efficient…show more content…
Even though dunkin has started a green campaign, there was levels are high. All the coffee and beverage cups that they go through each year are tremendous waste. If Dunkin Donuts would use more recycle materials and cut down waste and would set the trend for other coffee companies. Dunkin Donuts has a global presence but what they should be focusing on is nationally. Most of Dunkins Donuts restaurants are on east coast and heavily centralized in north eastern America. They should focus more nationally and expanding more westward. Opening up more restaurants in California would increase profits and expand to other markets in the U.S (Opportunities and Threats). While being international and competing with other business it leaves them with a limited market share growth. The customers of the coffee industry are very brand loyal which makes it hard to gain new customer clientele. With Dunkin Donuts being a franchisee business there is a trend of riffs between owners. There should be a set of guidelines that each owner has to follow because they are representing the Dunkin brand. Dunkin has a wide variety of coffee, beverages, and breakfast food items but most of these items are high in saturated fat. There has been a trend of healthy and organic eating; Dunkin has yet to offer such a menu to accommodate this clientele. Dunkin has entered the app online system to promote and advertise but that isn’t enough. Most

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