Panera Bread Case Study - What Is Panera Bread's Strategy?

Abstract

This case study is about Panera Bread Company and its strategy that it plans to implement in order to become the best brand name of fresh bread in the United States. Panera Bread's use of the best cost provider has heeled their profitability and growth and rivals have found it hard to compete with competitiveness of Panera bread. A SWOT analysis will show the competitive edge Panera Bread has and why this company is in an attractive situation and what Panera Bread can to remain its competitive advantage over the completion against rival chains.

What is Panera Bread's strategy? Which of the five generic competitive strategies discussed in Chapter 5 most closely fit the competitive approach that Panera Bread is taking? What type of competitive advantage is Panera Bread trying to achieve?

1. The Strategic elements that make up Panera Bread are that Panera Bread aims to provide a premium specialty bakery and café experience to urban workers and suburban dwellers. They plan to compete on the basis of providing an entire dining experience that uses its distinctive menu, signature café design, inviting ambience to obtain customers rather than rely on "price" to attract customers. The objective was for customers to view dining at Panera as being a "good value' which is done by providing high quality foods such as fresh baked breads and made-to-order sandwiches at reasonable prices. The strategic approach that Panera uses to keep its customers coming in is; change menu offering frequently to satisfy changing consumer preferences, being responsive to various seasons' changes throughout the year. Examples of these approaches are that Panera changes the soup lineup changes seasonally and introducing grain breads when customers became more conscious about eating healthier. Panera's growth strategy is to capitalize on Panera's market potential by opening both company-owned and franchised locations by 17 percent per year. ()

The key elements of Paneras Company's strategy are:

1. Commitment to provide fresh baked goods and made to order sandwiches soups, salads, coffees and other beverages. This shows Paneras commitment to providing crave-able food that people trust.

2. Commitment to the traditions of handcrafted, artisan bread. This artisan bread is made by carefully trained bakers on hot stone slabs in a tradition European-style stone deck oven.

3. Distinctive menu- Panera offers distinctive and unique offerings on their menu for breakfast, lunch, and dinner as well as mid afternoon and evening dining. This strategy is to offer food that customers would crave and expect to be delicious.

4. Unit Location- Panera Bread Company site