Panera Bread

Topics: Panera Bread, Profit, Marketing Pages: 4 (980 words) Published: April 13, 2011
Panera Bread Case Analysis
Michael Gibbons
Strategic Management W 7:10 - 10:10

1. Panera Bread’s strategy is to provide a superior product to a diverse customer base. Panera Bread’s concept is “to provide a premium specialty bakery and café experience to urban workers and suburban dwellers.” Their strategy has allowed them to provide an alternative meal to fast food restaurants. Analyzing Chapter Five’s generic competitive strategies the most closely fit competitive approach that Panera Bread is taking is the broad differentiation strategy. The broad differentiation strategy shows that Panera Bread is seeking to differentiate what they are trying to offer from their competitors, by providing a product that appeal to a broad spectrum of buyers. The owners researched numerous locations throughout the United States. The owner’s research led them to creating the restaurant, Panera Bread, where they provide a quick and casual dining experience. The owner’s strived to provide the best product, the best environment, and the best service, which they refer to as PEGS. Panera Bread has taken their PEGS strategy and created a product that is superior to their competitors, who are unable to afford what Panera Bread has to offer. The competitive advantage is that Panera Bread has a unique product that offers quick and casual dining at affordable prices. The strategy that Panera Bread has to offer is a great strategy. Panera Bread makes it a great strategy by creating affordable foods, providing a quick service, and an environment that a customer would like to return too.

2. Strengths:
* Providing a variety of appealing menu items
* Leading company in the bakery and café market
* Artisan Breads
* Catering
* Franchises
* Ability to show growth and stability
* Customer satisfaction and repeat business
* Quality Foods

* Company owned stores less profitable than franchise
* Minimum advertising (Word of mouth)...
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