THE CASE STUDY ASSIGNMENT

Krispy Kreme Doughnuts, Inc., 2015 www.krispykreme.com, KKd Headquartered in Winston-Salem, North Carolina, Krispy Kreme Doughnuts (KKD) serves doughnuts and coffee as well as other snack items. The company has locations in 23 different countries. Many Krispy Kreme shops are factory shops where customers can watch doughnuts being made and purchase fresh hot doughnuts as well. The factory stores are responsible for servicing local grocery stores and convenience stores. The KK Supply Chain provides raw materials for both franchise and company-owned stores in the doughnut- making process. Krispy Kreme storeowners must purchase all materials from KK Supply Chain. Krispy Kreme reported total revenues in fiscal year end February 2015 of $490 million (up from $460 million the prior year) with about 90 percent of revenues derived from the United States. For the fiscal first quarter (Q1) of 2015, Krispy Kremes revenue rose 9 percent year over- year to $132.5 million, driven almost entirely by a 17.3 percent increase in Krispy Kremes store count. For that quarter, the companys domestic same-store sales rose 5.2 percent, but its international franchise same-store sales declined 1.7 percent. Overall for Q1 of 2015, the companys adjusted net income was $16.6 million, or $0.24 per share. The companys EPS number was up at least by the KKD buying back 391,300 shares of its stock for $7.4 million.

1. Explanation of the problem
2. Strategy Analytical Framework (3 Stages):
   1. Stage I: The Input Stage (PESTEL Analysis; Competitive Profile; Internal Factor Evaluation)
   2. Stage II: The Matching Stage (SWOT; Strategic Position & Action Evaluation; BCG Matrix. Internal-External Matrix; Grand Strategy Matrix)
   3. Stage III: The Decision Stage (Quantitative Strategic Planning Matrix QSPM)
3. Analyzing and explaining the different potential solutions AND your decision (why this and not the other potential solutions?).
4. Resources needed to implement this decision.
5. Implementation Plan (3 years).

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