Chapter 2 - Strategic Planning for Competitive Advantage

            Dunkin' Donuts makes it their business to please it's customers. As the Valentines Day starts to roll around, the company advertises and sends e-mails to their customers, letting them them know how DD can help them celebrate the day. The fast food restaurant baked heart shaped doughnuts specially for customers to enjoy. As for those customers who are on the Facebook, DD gives them a chance to send their loved ones personal messages through virtual doughnut.

SWOT Analysis of the Dunkin' Donuts:

            Strengths- Dunkin' Donuts has a strong brand name. The company has over 1000 varieties of doughnuts, and it's stores are an ideal place for having breakfast and coffee. They have world wide franchisees, totaling to more than 10,000 locations across 32 countries.

            Weakness- Competition from other international snacking joints means they have a limited market share growth. They also tend to have constant rift with franchisees owners.

            Opportunities- They are introducing new low calorie snacks, for those customers who are health health conscious. In addition, DD is trying to come up  with ways to create cups that are environmentally friendly. Furthermore, since the company is expanding it's business to newer countries, they have new market.

            Threats- Increase in the cost of raw materials and competitions from other cafes and bakeries such as Starbucks are threats to DD. 

 

Competitive Advantage:

            The Dunkin' Donuts company has lasted since the year 1950. Many companies go into business and does not even make it past the first 10 years. One of the many reasons Dunkin' Donuts has survived for all these years includes their usage of fresh raw material to make their product, and they do it with a smile. In like manner DD makes it their business to be practically on every street corner, so that if anyone is in the mood for good coffee Dunkin' Donuts is there. No wonder DD is so recognizable to everyone.

Strategic Direction: 

            Doughnuts and coffee are the cash cow for Dunkin' Donuts, the Dunkin' Donuts company is known for these two products. Worldwide people are familiar with the taste of Dunkin' Donut coffee.

Target Market: 

            Dunkin' Donuts targets customers of both gender and people of all income who enjoys drinking amazing coffee with mouth watering doughnuts.

The Four Ps of Marketing:

            Product- Dunkin' Donuts offers variety of fresh doughnuts, coffee and many other snacks and drinks to it's customers when they visit their store.

            Place- Dunkin' Donuts stores are almost at every street corner, and they are spread around 32 countries with over 10,000 store worldwide. Many people are familiar with them.

            Price- In all of their stores Dunkin' Donuts tries to sell their product around the same price; at all times the prices are affordable for basically everyone.

            Promotion- When it comes to promoting their business, Dunkin' Donuts does a good job at making their advertisements in the television and radio, even on bill boards. They even  use famous TV personals to endorse their product.

Effective Strategic Planning:

            Dunkin' Donuts is one of the largest fast food empires that is known all over the world. Their signature orange and pink "Dunkin' Donuts" sign can be spotted easily from far away. DD stuck to their original ways of making fresh coffee and doughnuts, which keeps their customers loyal to them. The company is always improving themselves for the benefit of their customers, the  community and for our environment.