Broadway Cafe Part 1 and 2

Topics: First-mover advantage, Marketing, Customer service Pages: 8 (2483 words) Published: March 13, 2011
The Broadway Cafe' Cis 500
Final Project 1

Final Project

The Broadway Cafe' Part I and II

CIS 500

Strayer University

Final Project 2

The Broadway cafe is a family inherited coffee shop located in downtown Atlanta, Georgia. The cafe' has been in business for 58 years. The business offers specialized coffees, teas, a full service bakery, homemade sandwiches, soups, and salads. It was once a hotspot but for the past five years business has been declining. Although my grandfather was very adroit at managing the business, Starbucks will be coming to the area. My grandfather never used computer and everything was manual including ordering and employee payroll. He had terrific memory and he knew his all customers. All recipes for homemade soups and baked goods were in his memory. The café didn’t have a marketing scheme in place to attract new costumers. To bring café  into 21 century we needs new technology like providing wireless hotspot, customer database, build an e-business strategy, create an online community for collaboration, deploy a wireless network for customers and use customer relationship management to implement marketing campaigns and sales strategies.

The Broadway Café is the only coffee shop in neighborhood. Right now we have competitive advantage, because we are only café which is specialized in coffee products. The situation will change when Starbuck will open a new shop. As Baltzan & Phillips (2009) have stated, “competitive advantages are typically temporary because competitors often seek ways to duplicate the competitive advantage” (p. 22). The café have first mover advantage to be first in business but Starbucks is technologically advanced and have wholesale coffee business in the market.


Porter's Five Forces is a useful tool to aid organizations facing the challenging decision of entering a new industry or industry segment (Baltzan & Phillips, 2009). The five forces if used properly can help us to analyze the depth of competition to the profitability and attractiveness of an industry. Porter uses a Five Forces Model to show the relationship between the different competitive forces. By performing this analysis I hope to gain a clear understanding of how power lies in the business that I want to manage, so that I can take clear advantage of my strengths and improve my weaknesses to prevent from taking the wrong steps when looking at the opportunities and threats I will face.

The Broadway Cafe' has been in business since 1952 and has had no competitors so therefore buyer power is low. There may be a change in buyer power because Starbucks is opening a store a few blocks away. Loyalty programs reward customers based on the amount of business they do with a particular organization (Baltzan & Phillips, 2009). An advantage would be for the Cafe to implement a customer loyalty member program to keep existing customers and to attract new ones. To influence buyer power the Broadway Cafe' cold also survey the customers and ask them the extent to which they believe each activity adds value to the product or service (Baltzan & Phillips, 2009). Another way to keep buyer power low is to target many and different buyers so that no one buyer has any particular influence on product or price. Buyer power will also remain low if the products are not standardized and the buyer cannot easily switch to another product (Bing. 2010).

Final Project 4

At the Broadway Cafe' supplier power should definitely be low because as a buyer the organization can create a competitive advantage by locating alternative supply sources. Information technology enabled business-to-business (B2B) marketplaces can help (Baltzan & Phillips 2009). To bring the cafe into the twentieth century it should definitely take advantage of the business-to-business marketplace by making sure to equip the cafe' with computers to provide the business with accurate record keeping and storing information....

References: Baltzan, P., & Phillips, A. (2009). CIS500: Business driven information systems: 2009 custom edition (2nd ed.). New York: McGraw-Hill
Bing. Viral Marketing. Retrieved November 5, 2010, from
Bing. Virtual Tour. Retrieved November 5, 2010, from
Google. Threat of substitute products. Retrieved November 5, 2010, from
Starbucks (2010). . Retrieved November 5, 2010, from
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