SWOT ANALYSIS

Strength

Strength is best describe as a positive tangible and intangible attributes which it capture the positive aspects internal to a business that will add value or give competitive advantage to a company. In this case study untitled Dunkin’ Donuts we had found several strengths existing in Dunkin’ Donuts. First of all, Dunkin’ Donuts is one of the most successful product spin-offs food service industries. Dunkin’ Donuts main strengths are its firm balance sheet and strong brand equity in the morning food retail business which had became an eye-catching company to everyone. With a strong brand equity that Dunkin’ Donut has, it can make consumers respond differently to the marketing of the brand as brand names are one of the most valuable assets that a company has. Good examples of companies with strong brand equity are corporations such as Nike and Coca-Cola, whose corporate logos are recognized worldwide. Besides that, Dunkin’ Donut is one of the biggest and most dominant players in the breakfast food category with 2,700 North American outlets. The reason why Dunkin’ Donuts became one of the most dominant players is because of its various varieties and good quality bagels that became the consumer’s main priority.  Bagels are accepted by American as breakfast and lunch item where more and more people who concern on their health jumped on the bagel bandwagon. On the other hand, Dunkin’ Donut is well-established under the management by Allied Domecq which is a world leader in spirits and retailing. The diversity of the organization could be one of their competitive advantages because Allied Domecq was the world’s leading brandy company and the second largest distributor Scotch whiskey, tequila and liqueurs. Dunkin’ Donut sales increase drastically after the takeover by Allied Domecq based on their experience in retailing. In addition, Inner-built R& D department helped Dunkin’ Donut to have the right product to the right customers. The results of those research shows that consumers desired a large bagels in a variety of flavors and insisted on the complementary product of cream cheese. Since Dunkin’ Donut found out that the consumer favors bagel with cream cheese, Dunkin’ Donut then created a new cream cheese line to go with it to satisfy their consumers.

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Weaknesses

Weaknesses are factors that detract from the corporation ability to have a competitive edge. It captures the negative aspects internal to the business that detract from the value offer or a place a corporation at a competitive disadvantage. In this case study, we had found several weaknesses of Dunkin’ Donuts. Firstly we found out that the Dunkin’ Donut experienced organizational turbulence when they merge with Baskin-Robbins. The initial problems that they faced included simple logistics, resentment from the Baskin-Robbins organization over placement of Dunkin’ Donut people in high-level position and general fear among all parties about ...

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