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Please help ASAP. Create a BCG matrix for Krispy Kreme Doughnuts 2015 with include market share of the segment companies. need explanation in image form,

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Please help ASAP. Create a BCG matrix for Krispy Kreme Doughnuts 2015 with include market share of the segment companies. need explanation in image form, which indicates cash cow , dogs, star, question mark . second indicate with quadarent i , quadarent, quadarent ii, quadarent iii and quadarent iv , which needs explain and analysis of the given in image form for each quadarent, why choose the segment, about the percentage and other relevant that related to the segment.

please dont copy existing answers. please give anaysis and explantion based on krispy kreme for each quadarents and cash cash cows, dogs, question mark,stars. needed long anaysis/explanation

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed
Dunkin' Brands Group (DNKN) Headquartered in Canton, Massachusetts, Dunkin' Brands is a global distributor of coffee, baked goods, and their famous lee cream served under the Baskin Robbins name brand. There are 1 1,000 Dunkin' Donuts revdaurants in 40 states and 32 foreign countries, as well as 7,300 Baskin- Robbins restaurants in 43 states and 46 foreign countries, Many Dunkin' Donuts restaurants also contain a Bunkin - Robbins within them, and all but 36 Dunkin' Donuts and Baskin Robbins stores are franchiace owned, About two thirds of all Dunkin' restaurants in the United States have a drive-through that cuters to customers, especially morning customers on their way to work. The majority of Dunkin' Donuts and Baskin-Robbins stores outside the United States are located in Aria and the Middle East, with South Korea and Japan having the most stores. After an infusion of cash from going public with its IPO in 2011, Dunkin' started to aggres- sively expand within the United States and internationally, opening 700 Dunkin' Donuts and Baskin-Robbins worldwide in 2014 alone. Dunkin' is opening 65 stores in Brazil between 2014 and 2016, The company is also introducing a European flavor to over 100 restaurants that now offer soft seating areas with low tables in carthy colors and contemporary lights. Implemented in 2014 was a company rewards program that enables Dunkin' to understand its customers better and learn ways to meet their demand and desires more efficiently EXHIBIT 7 Summary Financial Information for KKD versus Rival Firms Krispy Kreme Dunkin' Brands Starbucks # Employees 1.584 191.000 $ Net Income 30 M 176 M $ Revenue 490 M 7:49 M 16,477 M S Reverso/ Employee 175,000 473,000 $ EPS Ratio th46 1.70 Market Cup. 1.24 1 Sowere Based on company documents. www.ebook3000.com 404 STRATEGIC MANAGEMENT CASES With 99 percent of all Dunkin' Donuts stores under the franchisee system, most of Dunkin's revenues are derived from a 5,4 percent myalty payment franchisees pay on gross sales to the company. Baskin Robbins franchisees pay amund 5.0 percent, These numbers are U.S.based only, as international based Dunkin' and Baskin Robbins pay 2.1 percent and 0.7 percent royalty rates, with Baskin-Robbins stores also paying for certain ice cream products. U.S.-based stores also pay advertising fees of 3 percent of gross sales, Financially, 2014 was a banner year for Dunkin' Brands with revenues increasing 5 percent to $748 million, buoyed by 790) new restaurants that were opened worldwide in 2013 with 439 of these outside the United Suites, With now additions and improving business and prospects in foreign markets, Dunkin', like KKD. also experienced a large Increase in net income of around 17 percent in 2014. Also noteworthy of late is Dunkin's increases in royalty income, franchise fees, and higher margins on Baskin Robbins ice cream products. Tim Hortons Tim Hortons is the largest doughnut and coffee retailer in Canada. Founded in Hamilton, Ontario, in 1964, the firm sells premium office, espresso, teas, and many other hot and cold beverages including fruit smoothies, Food items sold include soups, sandwiches, wraps, and many other choices. The company's mainstay, however, is donuts for which the firm was founded. There are over 850 Tim Hortons locations throughout the United States. The company also offers its products in self-service kiosk machines. In 2014, the company generated over $634 million in the United States alone. Tim Hortons was recently acquired by Burger King Worldwide, Starbucks Starbucks is the world's largest specialty coffee retailer with over 15,000 stores in 60 different countries. In addition to offering a variety of hot and cold coffee drinks, Suibucks also offers pastries, muftim, cookies, and other devent-type items. As of 2014, Starbucks expanded its line of products to include beer, wine, chocolate fondue, and even chicken skewers at around 40 of its locations, The company also owns Seattle's Best Coffee and Tonrefazione Italia coffee brands. Customers frequently purchase Starbucks coffee and ready-made coffee drinks at grocery Mores, gas stations, and department stores. An important way Starbucks has historically differentiated itself from rivals KKD and Dunkin' Brands was by its perception as a more premium coffee offered in a variety of flavors. With Dunkin' Brands responding similarly with its product line, Starbucks is now using sales of beer, wine, and upgraded snacks and food as a means of attracting customers in the late afternoon and early evening a time when sales are historically slower, Starbucks also maintains its posi- tion as more of a sit-down-and-relax establishment, unlike must KKD and Dunkin' Donuts sores. Starbucks has enjoyed over a 100 percent stock price increase from January 2013 to the summer 2015 and a new income increase of 50 percent from fiscal year end 2012 to fiscal year end 2014. Future Krispy Kreme Doughnuts is slowly shifting its focus from wholesale in more of a retail presence. Currently around 50 percent of revenues are derived from each source. However, KKD has always prided itself on hot fresh doughnuts that customers purchase directly from factory stores. As a result, the firm is building smaller-sized factory stores to better serve the retail customer directly. The company is also expanding its footprint internationally. In December 2014, KKD opened its 100th were in South Korea, a 3,200-square-foot doughnut theater facility with the full viewing area and the famous "Hot Doughnuts Now" sign. Abo, in early 2015, KKD agreed with Doughnuts Cafe to establish 15 Krispy Kreme facilities in the greater Saint Petersburg. Russia, area by 2020. As KED has expanded and become a global brand, rival firms and other food-producing companies are cycing the pomibility of acquiring the company. In early 2015, Jollibee Foods Corp, based in the Philippines, was considered by many analysts to be a serious contender to pur- chase KKD, as Jollibee management looks to add an American-based food company to its port- folio, Between growing both domestically and internationally, moving into a more retail-focused strategy, hedying off potential takeovers, and a growing awareness of a healthy cuting public, KKD needs a clear strategic plan. Devise a thice-year plan for CEO Morgan moving forward.The Boston Consulting Group (BCG] Matrix Based in Being and having b20 consultants worldwide. its Besim Canshing Group (BCG) has IT offices in 45 crinkles, and manly ranks in the top five of fitwar's Did of the "100 Best Companies in Wink Fot." The Boon Consulting Grip is a private management consulting firm that specializes in strategic planning. Autonomous divisions take called summon or pupil omiery of an organization make up what in called a business portfolio. When a finn's division compeis in different industries, a sepande amegy often must be dewinged for each haslines. The Boston Consulting Group (BCG) Matria and the Internal External (FD) Matrix are designed specifically to whonew a mul tidivisional firm's efforts to formulate strategies. Allocating resources across divisions is argu only the most important mustrgic dochun facing untildivisional firma. Mollidivisional firms range in time from unall, three-mizunat, mon and pop firm, to huge conglomones such a Wil Dingy Company, in civilin that bure vardin whouk or college and iley if sect in use portfolio analysis. In a Fiery Mo Anmud Agort, woous companies do not disclose financial information boy segment, it which one a BCC portfolio analysis may not be possible by penum calemal in the firm, However, moraine boy disclose by segment financial infoonution in a firm JOW new dem willset the reasons mait in dhaclose, as milicaical in Tuble 4-3, The DCG Matrix graphically portrays differences among divisions based on two dimen sims: ( It rebfive mabel share position on the + asia and (1) industry growth male on the jail The BCG Morein allows a multidivisional bryanization in orange its portfolio of laminesacs bry coming these two dimensions fix wach division relative in other divisions is the organization. Relative market share position (ILMSP] Is defined as the radio ed a division's mou market share for mycones) in a particular infodry as the market show for names) hell by the largest rival nonites of dom, or minder of minions, in, in its airline industry, monitor of airdams could TABLE 8-3 flomoms to (or Not to) Disdose Financial Information by Segment [by Division) Anmom Not to Disdow . Truespunnay ha post thing in booday 1. PerSumason holmes you be hallen. which cant load int gooder uqyour pooss bon with de ford wip CHAPTERS . STRATEGY GENERATION AND MEECTION TABLE 8-4 Current Market Share Data for Cigarette and Beer Brands What Percentage of People Smoke What Beer Branch Avramally Sell tha What Opalette Breech in the LAT Most Million Barreh in the ULAT Marttant Ilial Ligta Con Lish Miller Lie 24 74 Pyramid 23 Choral Total human Haud on M. Email & R. Ever, "Heyishh, Lomiland Strike a Match" HildY Went Journal, July be used for comparative purposes in determine relative market shome posicion, In the cigarcute Industry, for raangle, Newport's native market share position is 12 3401 = 0 303, and Miller Lee's relative market share poision is 1374 41 - 0.359 (see Table S-4). Relative market share position is given on the s-axis of it BCU Mama, The midpoint on the push willy is set at 930 comp wing in a division that has hall the mubed shue of the ical- Ing firm in the infury. They-asis represents the industry youth rain (Ifit] holes, manned in percentage tome that is, the average and increase in roomin for all fame in an industry The growth mic poortages in the yanis could map: frown -201 1 4301 percent, with 09 facing the midpoint. The moog mind increase in myrues for several leading firms in the inhairy mount to a good cullmais of the sales. Alma, wrings sures such as the SAF Jachurry Sweeps and was fronce.jim.com Click on Conjuringn) would provide this value. These numerical canyou on the y ul yous are when wood, but other numerical she's could be matchli had deemed oppopills for particular organisations, such an . 10 in . Ill percent on the peasis. Based on each division's ne putine (5 7 countings, each segment can be properly pual timed fernand in a DOG Matris, Divisions located in Quadrant ! (upper right) of the ICU Motrin are called "Question Marks" Blaise located in Quadrand It tipper left) are called "stars," those located in Quadrant Ill (lower left) are called "Cash Cows." and theme divisions logsted In Quadrant IV (hoover right are called "Dogs." The following fist describes the four HCG Question Marks Division in Quadrant I jupper right) howe a low relative market share pullion, yet they compete in a high-growth Industry. Genendly these fins' cash needs are high and their cash generation is low, There businesses are called question marks tocause the organization must decide whether to strengthen them by pursuing an inten- the indeny (market penetration, market develo ment, or product development of ba cell them Soum Divisions in Quadrant Il tupper bait) mperson the ispumimages" has huy nn opportunities for growth and profit hility, and are therefive called dam. Divisions with ahigh milalive market ches and a lagh iulaniry prometh rain should receive sutianital "ment to mainiain or wronghen their damninant position. Forwand, backward, and are approyo late suningles liv those divisions to combder, as indusind in Figure 8.7. Cuh Come Division in Quackant Ill (hosts bell) have a high notsure market share position bot oimpose in s low-garth inJuicy. Called cash cows becomes they pana in cali ban cures of their roach, they are often in bed. Many of today's cash cas wereEXHIBIT 2 KKD's Revenues by Geographic Region (in thousands of USD) February 2015 February 2014 United States $43K.801 5412743 Other Americus 9.973 10,010 Awww/ Pacific 28.575 25.460 Middle East & Europe 12.985 12.128 Total Revenues Since: Based on KKD Annual Report. 2015, page 23. CASE 1 . KRISPY KREME DOUGHNUTS, INC. 2015 EXHIBIT 3 KKD's Revenues by Company-Owned versus Franchise (in thousands of USD) Revenues Operating Income February 2015 February 2014 February 2015 February 2014 Company Stores $325 306 $9.287 $11,334 Domestic Franchise 13,450 8,103 6.083 International Franchise 28.59H 25,607 30,026 17.977 KKD Supply Chain After Adjustments 122,980 116,060 41,823 36.953 Thtals 490 134 79,230 74 347 Source: Based on KKD Annual Report, 2015 page 41. Revenues and operating income by company-owned versus franchised stores are provided in Exhibit 3. Notice nice increases across the board, with international franchise lagging slightly. Krispy Kreme Doughnuts' revenues by retail versus wholesale are provided in Exhibit 4. Note that retail sales are the highest, accounting for 49 percent of 2014 revenues. However, col- lectively, wholesale sales accounted for $1 percent of total revenues led by grocers and mass merchants such as Walmart at 31 percent of total sales. Finance The fiscal year for Krispy Kreme Doughnuts ends in February. The company had an outstanding 2013 (ending February 1, 2014) on most financial areas. The firm's stock price was up over 100 percent, revenues increased 6 percent, and the company reported a 65 percent increase in net income. Much of 402 the increases can be attributed to opening 30 new locations around the world, but KKD also reported 6.7 percent increase in comparable store sales. The company's CE:D indicated in the spring of 2014 that overseas markets remain strong for the firm, with many new store openings having long lines for up to 3 months after opening. The CFO. Douglas Muir, retired in 2015, turning the reins over to Price Cooper, Also, KKD is increasing its $80 million stock buyback to $105 million in 2015. The company's most recent income statement and balance sheet are provided in Exhibits 5 and 6, respectively. External Issues The doughnut market in the United States is a $13 billion industry, with about 25 percent of sales coming from bulk doughnuts in the I dozen-size box and up. Another 40 percent of sales come from drinks with half of this being derived from coffee. Major rival Dunkin' Brands accounts for much of these sales with their popular coffee offerings. Yeast doughnuts account for about 10 percent of industrywide sales. Doughnut holes and other varieties account for about 10 percent. There are thousands of "mom-and-pop" doughnut and coffee shops globally, EXHIBIT 4 KKD's Revenues by Retail versus Wholesale On Promises Sakes (Retail] Grocery Man Merchants Convenicor Stands Source: Based on KKD Annual Report. 2014, page 44.Stars (11) Question Marks (1) Cash Cows (III) Dogs (IV) Low -20 6. Analysis: Please analyze the information presented above and discuss what conclusions you can draw from this information.STRATEGIC MANAGEMENT BEL ATIVE MARKET BERNE PUNITATH II FIGURE 8-7 The DCG Matrix poolonday's stars. Cash cow divisions would be managed in maintain their wing position The as bing as podble. Product development or diversification may he attracting culegies . Dirge Division in Quadrant IV (inert right) hate s how relating market share position and compete in a slow or so-marked-growth industry, they are dogs in the finn's purifis Bu, Become of dear weak internal and external position, these businesses are ullen liqui- doicl, divested, or trimmed dren through meurachmet. When a division first becomes a dop, minenehment can be the heat stesingy in puree hecanine many days tone lasttend The hick IICO Maria appear in Figure 8-7. Each cindr mojomomis a separate division. The sort of the cicle corresponds in the proportion of corporate revenue generated by that bushman unk, aid the pie slice judicaims to proportion of cumple pullis poneraand by that division. The major boardit of the DCG Matrix is that i draws attention to the cash flow, imer muni characteristion, and needs of on organisation's various divisions, The divisions of many fine quoive qur finn dope booone question marks, question marks become war, sam regionily siar beomie pieation mark, gindlon marks boone days, dips home cash won and each news tooone whats (in a dock wise motion), In some organisation, an optical minion is appocut, Over itme, organisation should drive to achieve a pirshiba of division An compiz of a BCG Minia is pepcided in Figue S.A. which illustraira an organization onposed of fire dvichim with anicol wiles jumping from 15,010 in 560600 Division I to preston sales volume, on the circle repromaniing that distichin h the lapid one in the sunis. The cinke cocopending to Division 3 is the mullet became in sik volume (biking h lead among the dividom. The ple lies within the cinchis reveal in port of curputsis profits 14 percent, as indicated by 34 percent of the ana within vinis | bring shaded. Notion in the hisgown that Division I in cumuland a rian, Division 1 is a question mark, Division ] is dana question mark, Dividhin 4 is a each cow, and Division $ is a day The DCD Matrix, film all malytical techniques, has some limitations. For rsample, viewing orvery hopinges in a mar, each crew, duy. of question mark he an evening lification; may haimcom CHAPTERD . STRATEGY GENERATION AND SELECTION RELATIVE MARKET SHARE RAITION IN THE INDUSTRY COUNTRY BALKY GROWTH Maliam RATE -30 HILL BOU Trial FIGURE D.A An Example BCG Matrix in time. Finally, when wark hies besides relative market share position and industry growth male in Another example DCG Mails is provided in Ryans 8-9. As you um act, Divid 3 bad mRAPID MARKET GROWTH Quadrant Il Quadrant / 1. Market Development 1. Market Development 2. Market Penetration 2. Market Penetration 3. Product Development 3. Product Development 4. Horizontal Integration 4. Forward Integration 5. Divestiture 5. Backward Integration 6. Liquidation 6. Horizontal Integration 7. Related Diversification WEAK STRONG COMPETITIVE COMPETITIVE POSITION Quadrant Ill Quadrant IV POSITION 1. Retrenchment 1. Related Diversification 2. Related Diversification 2. Unrelated Diversification 3. Unrelated Diversification 3. Joint ventures 4. Divestiture 5. Liquidation SLOW MARKET GROWTH

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