Read the case and answer the following questions:
1) Who is the decision maker and what are his or her responsibilities and authority? The decision maker is primarily but not limitedly Dan Hannah, VP for Business development. His responsibilities include developing new business strategies for the sake of continuous growth of franchise and company-owned restaurants. Another duty is maintaining good relations with franchises. When it’s published, Dan has to ensure the expectations of stakeholders are met in term of revenue growth. He has a power to decide which franchise is suitable for the expansion of the brand into global market or judge on a new business strategy proposed to see if it’s positively potential. 2) What are the current problems (or opportunities) facing the company and/or the decision maker? Current problems vary. First, in the situation that domestic market is no longer thriving while there have been lots of cooperation inquiries from all over the world to open franchise restaurants and that’s a challenge for its management team to choose where to expand. Second, due to strict criteria and high franchise cost, a great amount of prospects either give up themselves or are eliminated.
3) Of the problems listed above, which is the main problem? Why? The problem of determining where to go global is the main problem because in the case that national market is not expandable anymore; the chain has to look forward to international businesses for its own survival
4) Why do you think this problem(s) is occurring? Use facts from the case to support your opinion (do not just restate what the case states). The reason that it happens is probably because of saturated market. As we assume from the chart, apparently, the number of new restaurants in the 2000-2005 periods is almost equal to the one in 1980s, approximately 22-25. In addition, the requisites of franchising are technically strict and hard to comply and as a result,...
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