Discuss About The Strategic Management And Entrepreneurship.
The report will be based on the analysis of a dairy organization in New Zealand named Dominos. The major purpose of the report is to analyse the background and the internal environment of the organization. The external environment in which the organization has its operations and the ways by which this environment affects its profitability will be analysed in the report. The attractiveness of the industry in which the organization has its operations will be a major part of the analysis in the report. The key stakeholders of the organization will be analysed and discussed in detail in the report. The main limitation of the report is based on the research based capabilities. The entire analysis of the organization will be based only on the secondary information that is available on the internet (Aguinis, Edwards & Bradley, 2017). The scope of the report is based on the insights that it will provide about the environment in which it has its operations.
Domino’s Pizza, Inc. which now holds the brand name of Domino’s is a pizza restaurant which has its origins in America and the organization was established in the year 1960. The headquarter of the pizza chain is located in Domino’s Farms Office Park in Ann Arbor, Michigan. The organization has received the position of the greatest pizza seller in the world in the year 2018 with respect to the total sales. The international expansion of the organization started in the year 1983 with the international store of the pizza chain opening in Winnipeg, Manitoba, Canada (Domino’s Pizza | Order Pizza Delivery Online | Food Delivery & Takeaway. 2018). The organization opened its 100th operating store in the same year. Domino’s Pizza chain is considered to be the largest chain of pizza makers in New Zealand in terms of the huge network that has been formulated by the organization in the country. The company also holds the largest chain franchised stores in New Zealand. The first Domino’s Pizza store was opened in Springwood, Queensland, Australia in the year 1983 (Barkema & Chvyrkov, 2017). The organization further showed huge growth which led to the opening of several stores in other areas of Australia. The organization entered the pizza market of New Zealand in the year 1993. The franchise of the organization was purchased by Silvio’s Dial-a-Pizza which was later converted to Domino’s Pizza. The operations of the organizations were combined in the year 1995. The current of senior management which is operating in Domino’s presently had been formulated in the year 2001. After the merger that had taken place in Domino’s in the year 2001, Dominos owned 128 franchised stores and 59 corporate stores in New Zealand. Domino’s Pizza thereby went on to become the second largest pizza making organization in New Zealand (Bettis et al., 2016).
The culture that has been created in Domino’s Pizza Enterprises Limited or more commonly known as Domino’s is said to be quite unique in nature. The organization had found its recipe of success in the year 2016, 13 years after Domino’s entered the New Zealand Pizza market. The restaurant was able to find a recipe of success and was able to open 100th store in Meadowbank, Auckland. The store count of the organization had increased by 15% in the last 18 months. The main reason behind the success of Domino’s Pizza in New Zealand is the passion of the New
Zealanders for the brand and the ways by which the products are delivered to them (Borland et al., 2016). The passion of the various franchisees who are a part of the entire operations of Domino’s is related to the operation of the successful model of business. The organization has been successful in becoming much more than a simple food delivery restaurant.
The organizational culture is mainly based on the activities of the people within the premises of the organization itself. The employees of Domino’s belong to various cultures and thereby Dominos can be considered as a multicultural organization. New Zealand is a country where the people come from various countries from different parts of the world (Daspit et al., 2017). The development of business in the country will be thereby related to the communication process between the employees who belong to various cultures. Dominos teaches the employees about professional ethics, social ethics and the individual ethics as well.
Values of Dominos – Treating people the way by which they wish to be treated. Producing the best for the least. Measuring, managing and sharing the important things. The process of thinking big and growing. The process of incentivising the things that they wish to change. Setting the bar high and providing training to the employees. The process of promoting from within the organization. The main value is related of Dominos is related to the thought that they are not ordinary and the operations of the organization are exceptional in nature (Engert et al. 2016).
The major core competency of Domino’s Pizza has been the high quality products that are provided to the customers. The organization has thereby been able to use new technologies and innovative methods to provide the best services to the customers. The business method of Domino’s has been quite disruptive in nature with which the organization has been successful in implementing the ground-breaking technologies for providing the best services that are provided to the customers. The major resources that have been acquired by Dominos in New Zealand are the high-end IT systems so that the stores can be improved (Frynas & Mellahi, 2015). The new IT systems have been provided to the franchises of the organization in New Zealand. The marketing communications of Dominos have been improved with the help of the digital technologies that have been implemented in the corporate stores and the franchise stores of the company. The high brand value that has been gained by Dominos is another huge asset for the proper operations of the organization (Gamble & Thompson, 2014).
The pizza and fast-food industry of New Zealand is dominated by Dominos with the help of the modern technologies that are used by the company in the process of delivery. The organization was the first in using drones for the purpose of delivering food to the customers. The organization has partnered its operations with Flirtey for launching the commercial drones in the market. The company is further investigating in the new and the innovative methods of delivering products to the customers. These innovations have helped Dominos to create a competitive position in the food industry (Hill, Jones & Schilling, 2014).
The generic strategy that has been used by Dominos in the New Zealand fast food industry is related to differentiation that is created by the company with the help of its products. The organization mainly focusses on the high quality and the better ingredients. The company maintains its advantage in the market by offering better products as compared to the others in the industry (Hubbard, Rice & Galvin, 2014).
Product – Dominos is known in the market for providing fresh and high quality pizza to the customers. The products of the organization include both the non-vegetarian and vegetarian variety. Dominos has used the unique concept which is related to the usage of local flavours so that they can capture the market.
Promotion – Dominos has implemented the idea of maintaining contact with the customers so that the company can be taken to new heights. Dominos checks the competitors and keeps their news to formulate its strategies (Karadag, 2015).
Price – The major target of the products that are offered by the organization are the lower middle class and middle class customers. The pricing policy of Dominos is consistent and uniform in nature.
Place – Dominos has maintained a channel with the customers and the orders are placed with the help of calls or internet. The delivery boys of the company are considered to be heroes as they are able to provide the products to customers within the stipulated time (Meyer, Neck & Meeks, n2017).
Political factors – The trends and demands of the customers affect food industry. The restaurants of the fast food industry in New Zealand are trying to add healthier options to their menu as the various public health related policies have changed. The current policies in the country encourage the intake healthy and quality food.
Economic factors – The unemployment rates and the state in which the country has its operations affect the food related industry. The industry has depicted great expansion in the past few years. The taxation rates, the interest rates and the consumer spending relates to the operations of the fast food industry (Michael, Storey & Thomas, 2017).
Social factors – The trends the shifts that has been experienced in the society have affected the needs and demands of the customers. The demands for whole foods and organic foods has also increased. The lifestyle of the younger generation has changed and they have shifted more towards the healthier food options.
Technological factors – The changes that have occurred in the external technologies have affected the operations of organizations like Dominos. The technologies are used for the production food items and products and the packaging based facilities. Dominos has used the technologies for delivering food to the customers with the help of drones (Morschett, Schramm-Klein & Zentes, 2015).
Threats of the new entrants – The new entrants in the restaurant industry brings innovation and new ways are also introduced. This has increased the pressure on the operations of Dominos in the industry. The challenges need to be balanced by Dominos by building the effective barriers to maintain its competitive edge.
Bargaining power of the suppliers – The raw materials that are used in the restaurant are procured from huge number of suppliers. The suppliers who are in the dominant position in the industry can affect the profit margins and revenues of Dominos in the market. The suppliers who are powerful in the industry have the ability to extract high prices from restaurants. Dominos needs to build an effective supply chain to solve this issue (Sakas, Vlachos & Nasiopoulos, 2014).
Bargaining power of the buyers – The buyers of the restaurant industry are powerful in nature and have the ability to put immense pressure on the profitability of Dominos. The bargaining power of the buyers of Dominos is therefore considered to be high. The customers have the power of ask for discounts and other offers from the restaurant.
Threats of the substitute products – The fast food industry is growing with a fast pace and the customers are provided with huge number of options. This factor has created huge pressure on the prices that are provided by Dominos to the customers. The quality of the product is the main point of differentiation from the other fast food organizations in the New Zealand fast food industry (Simon, Fischbach & Schoder, 2014).
Rivalry among the existing organizations – Dominos has been facing intense competition which can further drive the prices down. The overall profitability of Dominos is based on the competition that is provided by the other organizations. The intense rivalry in the fast food industry has further increased the size of the market with huge number of players (Stead & Stead, 2014).
The stakeholders of the organization are the customers and the employees. Dominos has always given utmost importance to the satisfaction of the customers and the ways by which the company can gain their loyalty and retain it forever. The organization thereby aims at providing the highest levels of satisfaction to the customers so that they can maintain their competitive advantage and profitability in the fast food industry. The satisfaction levels of the customers are analysed with the help of feedback that is collected by the company (Trigeorgis & Reuer, 2017).
The employees are also major stakeholders of the organization and form a major part in the operations. Dominos considers the employees to be the major driving forces of the organization. They form the pillars of the organization and further help in the fast food organization to provide utmost satisfaction to the customers. The organization ensures that the employees represent the culture of the fast food chain in the ways by which they provide great food to the customers (Wheelen et al., 2017).
The two practical examples that can be provided with respect to the stakeholders of Dominos are as follows,
Outcomes and results based management strategy is based on the type of management where the organizations take decisions related to the results or feedback that is obtained from the various organizational processes. The feedback that is obtained by the organizations thereby maps the services, products and the business processes as well. This type of management policy can also be defined as the result based management (Trigeorgis & Reuer, 2017).
For example, Dominos had collected feedback from the customers regarding the products that are offered to them. The management thereby termed the products to be boring and tasteless on their social media. Further, the organization aimed at creating new items which were added to the existing line of products. This had helped the company in increasing its sales and bring back their lost position in the fast food market of New Zealand (Domino’s Pizza | Order Pizza Delivery Online | Food Delivery & Takeaway. 2018).
Dominos has always positioned itself in the market as the best delivery option that can be given to the customers. The organization has provided huge emphasis on the delivery based services that are provided to the customers. However, this strategy is not helping Dominos to rise against the huge competition that it has in the fast food industry. The huge number of delivery options that are provided by other organizations to the customers has reduced the importance that was held by Dominos in the past. The organization thereby needs to make changes in the entire business model. The fast food chain needs to concentrate its resources on the opening of full service restaurants so that the customers are able to spend more time within their establishments. The delivery options that are provided by the organization also needs to be put in place. This will help Dominos to retain its loyal customers and further increase the customer base so that it can sustain its profitable operations.
References
Aguinis, H., Edwards, J. R., & Bradley, K. J. (2017). Improving our understanding of moderation and mediation in strategic management research. Organizational Research Methods, 20(4), 665-685.
Barkema, H., & Chvyrkov, O. (2017). What sort of top management team is needed at the helm of internationally diversified firms?. Strategic Entrepreneurship: Creating a New Mindset, 289-305.
Bettis, R. A., Ethiraj, S., Gambardella, A., Helfat, C., & Mitchell, W. (2016). Creating repeatable cumulative knowledge in strategic management. Strategic Management Journal, 37(2), 257-261.
Borland, H., Ambrosini, V., Lindgreen, A., & Vanhamme, J. (2016). Building theory at the intersection of ecological sustainability and strategic management. Journal of Business Ethics, 135(2), 293-307.
Daspit, J. J., Chrisman, J. J., Sharma, P., Pearson, A. W., & Long, R. G. (2017). A strategic management perspective of the family firm: Past trends, new insights, and future directions. Journal of Managerial Issues, 29(1), 6.
Domino’s Pizza | Order Pizza Delivery Online | Food Delivery & Takeaway. (2018). Retrieved from https://www.dominos.co.nz/
Engert, S., Rauter, R., & Baumgartner, R. J. (2016). Exploring the integration of corporate sustainability into strategic management: a literature review. Journal of cleaner production, 112, 2833-2850.
Frynas, J. G., & Mellahi, K. (2015). Global strategic management. Oxford University Press, USA.
Gamble, J., & Thompson, A. A. (2014). Essentials of strategic management. Irwin Mcgraw-Hill.
Hill, C. W., Jones, G. R., & Schilling, M. A. (2014). Strategic management: theory: an integrated approach. Cengage Learning.
Hubbard, G., Rice, J., & Galvin, P. (2014). Strategic management. Pearson Australia.
Karadag, H. (2015). Financial management challenges in small and medium-sized enterprises: A strategic management approach. Emerging Markets Journal, 5(1), 26.
Meyer, G. D., Neck, H. M., & Meeks, M. D. (2017). The entrepreneurship?strategic management interface. Strategic entrepreneurship: Creating a new mindset, 17-44.
Michael, S., Storey, D., & Thomas, H. (2017). Discovery and coordination in strategic management and entrepreneurship. Strategic entrepreneurship: Creating a new mindset, 45-65.
Morschett, D., Schramm-Klein, H., & Zentes, J. (2015). Strategic international management (pp. 978-3658078836). Springer.
Sakas, D., Vlachos, D., & Nasiopoulos, D. (2014). Modelling strategic management for the development of competitive advantage, based on technology. Journal of Systems and Information Technology, 16(3), 187-209.
Simon, D., Fischbach, K., & Schoder, D. (2014). Enterprise architecture management and its role in corporate strategic management. Information Systems and e-Business Management, 12(1), 5-42.
Stead, J. G., & Stead, W. E. (2014). Sustainable strategic management. Routledge.
Trigeorgis, L., & Reuer, J. J. (2017). Real options theory in strategic management. Strategic Management Journal, 38(1), 42-63.
Wheelen, T. L., Hunger, J. D., Hoffman, A. N., & Bamford, C. E. (2017). Strategic management and business policy. pearson.
Essay Writing Service Features
Our Experience
No matter how complex your assignment is, we can find the right professional for your specific task. Contact Essay is an essay writing company that hires only the smartest minds to help you with your projects. Our expertise allows us to provide students with high-quality academic writing, editing & proofreading services.
Free Features
Free revision policy
$10Free bibliography & reference
$8Free title page
$8Free formatting
$8How Our Essay Writing Service Works
First, you will need to complete an order form. It's not difficult but, in case there is anything you find not to be clear, you may always call us so that we can guide you through it. On the order form, you will need to include some basic information concerning your order: subject, topic, number of pages, etc. We also encourage our clients to upload any relevant information or sources that will help.
Complete the order form
Once we have all the information and instructions that we need, we select the most suitable writer for your assignment. While everything seems to be clear, the writer, who has complete knowledge of the subject, may need clarification from you. It is at that point that you would receive a call or email from us.
Writer’s assignment
As soon as the writer has finished, it will be delivered both to the website and to your email address so that you will not miss it. If your deadline is close at hand, we will place a call to you to make sure that you receive the paper on time.
Completing the order and download
