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Create a P.E.S.T analysis of the Mackenzie restaurants please. political, Economic, Socio-cultural, and technological conditions. Thank you! PLANNING CASE STUDY JOHN MACKENZIE RESTAURANTS INC. Company

Create a P.E.S.T analysis of the Mackenzie restaurants please.
political, Economic, Socio-cultural, and technological conditions.
Thank you! image text in transcribed
image text in transcribed
PLANNING CASE STUDY JOHN MACKENZIE RESTAURANTS INC. Company History John Mackenzie had always wanted to own a restaurant. It began when he was eight years old and started his own lemonade stand one afternoon. By the end of the day, he had ten items for sale and a line of customers. After graduating from high school, John attended The University of Guelph in the Hotel and Foods Program. He chose the co-op option and had four work terms in different restaurants to gain experience. He then worked in Toronto for 10 years at a variety of locations. With a substantial loan from the bank and his parents, John opened a restaurant in Toronto along the river. It was a fine dining establishment in an old warehouse building vacated by a downsized corporation Current Operations John's establishment has grown substantially. His original fine dining restaurant called John's on the River has been a success from the start. One of the major reasons was that this is a large stable industry. He then branched out and developed more of the warehouse into another more casual dining atmosphere. Mackenzie's was more of a bar and finger food place. It did a substantial business after work hours and later at night. In the lower level of the complex was an Italian restaurant known as John's Place. Finally, there was a takeout area (a growing industry because of busy family lives) called In a Hurry, this specialized in deli sandwiches. Most of the menu from John's and John's Place was also available. A breakdown of revenues for each restaurant can be found in Exhibit 1. John was able to run the restaurants under one corporation called John Mackenzie Restaurants Inc. Substantial savings could be had by housing the restaurants in one building because they shared the same kitchen, equipment, parking and staff. Each restaurant had its own assistant manager, hostesses, wait staff and bus people. However, if one place was busy and another was not, the staff could be shared. This frequently happened. John had a hand in every part of the operations. He was constantly present in the restaurants and helped out as the need arose. He was even seen on occasion helping out in the kitchen when the dishwasher did not show. The management was a tightly knit group and started each week with a 9:00 a.m. meeting to discuss the previous week's receipts, problems that had occurred and the direction the company should take next John is very proud of his company and his staff. He treats them fairly and believes in a family atmosphere. He thinks that each staff member has an enormous amount to offer. He provides an open door policy and reward system for employees. In fact, the deli had been a wait staff's idea. She presented the idea to John and is now the assistant manager of that operation. Most of the employees are university students and therefore the turnover rate is high. John is finding it more difficult to keep up the frantic pace he has established for himself. He is currently working over 80 hours a week and most weekends. He spends most of his time on the accounting but he would rather be out in the restaurant. His family is becoming disgruntled, because they never see him John's Expansion Plans One of John's employees has approached him with what John believes is an excellent idea. There is currently a large empty room beside John's Place that would make a great. restaurant for kids whose parents are dining at John's Place. The idea is to put one-way glass between the small section that joins the extra room and the restaurant. That way the parents can see the children and know they are safe, eat dinner in peace and not have to pay for a baby- sitter. The Little John's restaurant will have a licensed day care worker, children's menu and things to occupy the kids when they are done eating. People that do not have children do not have to eat in this section of the restaurant. John hopes to have this up and running in two months. Exhibit 1 Revenues 2011 2010 Restaurant 2013 2012 John's On the River 3500 3220 3300 3150 Mackenzie's 1500 1100 850 500 John's Place 2560 2450 2300 2420 460 In a Hurry 380 290 210 -all numbers are in 1 000

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