15. What are the current strategies in other functional areas, such as HR and information systems? Papa John’s have a very strong focus on the employee training program. They have regional training sites all over the United States, where manager go and receive training and go implement these standards at their business location. This training ensures that at each and every location are giving the customer the same quality service.
16. What strengths exist for the organization?
Strength 1: High Quality Ingredients:
Justification
Papa John’s only uses fresh ingredients in their production process. Customers can perceive the high quality fresh ingredients. Many of Papa John’s competitors allow individual stores to purchase outside of the company; therefore allowing little or no control over the quality of the product. Most of Papa John’s competitors use frozen dough and sauces made from concentrate, therefore using fresh ingredients it enables
Strength 2: Strong Employee Training Program
Justification
Papa John’s competition relies on the stores management to train employees, by doing so this can result in different customer experiences across the company.
Papa John’s offers regional training centers around the U.S allowing all team members to assist in learning skills needed to make better pizzas and run profitable stores. This provides consistency in the customers experience for every store.
Strength 3: Strong Marketing Support
Justification
The marketing strategy used by Papa John’s allows them to reach out to the individual communities it serves. This allows them to act in the best interest of the customers.
Strength 4: Efficient Restaurant lay-out
Justification
Papa John’s lay-out is very customer friendly. The lay-out provides employees a clear view of the front of the restaurant to better serve the customers’ needs. It also provides the ability of the customer to see the pizza being made.
The lay-out of many of Papa John’s competitors is not as customer friendly. Most have varying lay-outs and do not allow the customer to see throughout the store, it also enable the employee to not be able to see throughout the store and as a result can affect the customer response time.
17. What weaknesses exist for the organization?
Weakness 1: Limited Menu Items
Justification
Papa John’s only offers a few items on their menu compared to that of their competitors. As a result a customer that wants more variety to meet the needs of the entire family may turn to the competition.
Offering only appetizers, pizzas and drinks Papa John’s may be losing customers to the competition which offers salads, sandwiches, pasta and pizza.
Weakness 2: Location
Since Papa John’s is relatively new to the pizza market, they have not reached the level of their competitors. Most of Papa John’s competition has doubled the amount of stores. This is the result of Papa John’s not being able to serve such a large market as its competitors.
Weakness 3: Switching Costs
Justification
Papa John’s does not saturate the market with coupons in the mall as its competitors. Papa John’s sends coupons to customers who have previously ordered from them. As a result of this Papa John’s does not have coupons relatively available as often as its competition.
The pizza industry does have its loyal brand customers, however many will go with the company who offers a coupon. The switching cost for consumers is extremely low considering that calling Papa John’s is just as easy as calling the competition.
18. What are opportunities of the organization?
Opportunity 1: New Menu Items
Justification
The addition of menu items will allow Papa John’s to better serve the needs of the customer.
Papa John’s could capitalize on the new item addition in the short run by adding various types of pizzas and crusts. In the long-run they could add sandwiches, salad and pastas that would better serve the customers’ needs.
Opportunity 2: Locations
Justification
Papa John’s is still considered a newer pizza company; they have not yet saturated the market for the quality product that is served.
Papa John’s can open more stores in the market they are currently in. In the future they can open in markets they are not yet operating in.
Opportunity 3: Strong Brand Recognition
Justification
Papa John’s has a strong customer following across the United States as a result it needs to exploit its brand to gain more customers and to keep it their first choice.
Papa John’s could offer coupons to all consumers in the areas in which they operate. In the future they could do more sponsorships and to continue to grow the business in the untapped markets.
19. What are the threats of the organization?
Threat 1: Competitions Larger Menu
Justification
Papa John’s competition offers a variety of items on their menu. Where Papa John’s only offers a select choice of pizza, appetizers and drinks.
To prevent the limitation of capabilities Papa John’s needs to offer new and exciting menu items to continue to focus on their motto “Better Ingredients, Better Pizza”.
Threat 2: Competitions Location
Justification
Papa John’s competitors have twice as many locations operating, this allows the competition to serve more people as well as meet their varying needs.
Papa John’s could eliminate some of this threat by extending its delivery areas, and also open more locations in the future.
Threat 3: Competitions Brand Recognition
Justification
Papa John’s is not the only pizza chain with a brand reputation, therefore the competition can advertise locally , regionally and nationally just as well if not better due to the larger market they are supplying than that of Papa John’s.
Papa John’s can advertise at times when people are more apt to purchasing pizzas, such as football season, basketball season and summer since children are home from school. In the future Papa John’s can sponsor more sporting events to get more publicity than just the commercials being aired on television.
STRENGTHS | WEAKNESSES |
* High Quality Ingredients * Strong Employee Training Programs * Strong Marketing Support * Efficient Restaurant Lay-out | * Location * Limited Menu Items * Switching Costs |
OPPORTUNITIES | THREATS |
* New Menu Items * Locations * Strong Brand Recognition | * Competitions Larger Menu * Competitions Locations * Competitors Brand Recognition |