Strategic Management

Strategic Management

Strategic Management

Executive Summary

This report focuses on what Panera Bread Company (PBC) needs to do in order to be profitable, provide healthy and quality foods to consumers and above all retain its leadership potentials in the restaurant and fast food business. The report also looks at what organization's vision and mission statement means. It touches strategic objectives by dealing with strategy formulation, analysis and implementation.

Corporate governance has to be used to reposition the operations of PBC, analysis of both the micro and macro environmental points of view of the organization - where demographic, socio-cultural, political/legal, technological and global considerations of the organization in question. It also dwells on strength, weaknesses, opportunities and threats including studying trend analysis of the organization.

Porter's five forces model, concept of strategy groupings, resource based view, triple bottom line reporting, value chain analysis and financial analysis would have to be examined critically so as to make PBC have competitive advantage over its rivals.

Based on the above concepts in this report, it is hereby recommended that PBC has to:•open new markets and establish branches in other countries by targeting major cities and towns using same standards, quality, menu, site selection and construction.

•develop more healthy and quality foods, unique brands, always be ahead of competitors and try to use trend analysis to know the lifestyles of people, tastes, maintain its corporate social responsibility with stakeholders, look at marketing mix, develop its technological base and have a friendly atmosphere at their various cafes including motivating employeesIf these recommendations are implemented, it is believed that PBC will occupy more than 30% of the market share within the next few years.

1. Introduction

1.1The aims of the report

how PBC can reposition its leadership edge by ensuring the management concepts remains special, opening up franchises, encourage transparencies in management practices and be proactive in terms of change and innovations.

1.2Objective of the report

How PBC can ensure consistency in their vision, mission and strategic objectives by using major processes like strategy analysis, strategy formulation, implementation and corporate governance•Analyzing the micro and micro environments of PBC•Using Porter's five forces model and concept of strategy groupings to make PBC have competitive advantage over their competitors. Using resource base view and value-chain analysis to identify possible opportunities and threats for PBC.

2. Background of the Company

PBC is a market leader in the restaurant industry business. Started business in 1981 with three bakery cafes and by 1997, their bakery cafes were 160 with branches in five countries and cafes in domestic airports and hotels. PBC's concept is to sell only fresh dough and no preservatives. Their mission is 'a loaf of bread in every arm' with 18 different products. It intends to establish Wi-Fi access in 2003, and has many awards in its kitty. They have a good distribution network, franchise operations, management information system and supply chain management and highly professionalized staff. The 2004 first quarter performance showed an increase of 26% over same period in 2003 with a highly priced shares(Campbell, 2006, ...