Romano's Takeout
Autor: Tina Castillo • September 4, 2018 • Case Study • 1,346 Words (6 Pages) • 557 Views
POINT OF VIEW
Angelina Cello, the manager of Romano’s take-out store in Flint, Michigan.
Justification: Angelina has the full knowledge of the case – she is actively involved in the day-to-day-operations of the business and was given full authority to decide on which alternative is to be chosen to be able to improve the performance of the branch.
PROBLEM STATEMENT
What should the manager do to ensure prompt customer delivery and avoid losing customers to sustain the profitability of Flint store?
ANALYSIS OF RELEVANT CASE FACTS
Resources. Resources are important drivers of business. RT experiences a lack of resources in the form of ovens available. The current oven capacity is not sufficient to heat all orders at the same time, hence limiting the delivery capacity of the company.
Location. Location decisions can have a big impact on costs and revenues. Businesses that are near centers of population concentration tend to thrive as more customers are likely to visit them. RT is currently far from residential neighborhoods and mainly services large industrial plants. It almost always has customers that come from the plants that work in three shifts.
Competition. RT has no competition that offers the same product and service in the area. For the national scale, competitors are aggressive – heavy advertising, offering coupons, and 2-for-1 deals.
SWOT ANALYSIS
The group used SWOT method of analysis to explore important case facts that served as basis for problem analysis. The figure that follows presents the details of the SWOT.
Strengths:
RT has other branches that are doing well – an opportunity to learn and benchmark them is available.
Advance ordering via phone call/fax – the store is given more time to prepare the orders.
The restaurant is 5-8 mins. away from the plants.
About 50% of the orders are from the residential delivery requests.
Receives orders from the same plant – transportation cost and time is saved when doing the delivery.
No other pizza delivery stores are in good positions to serve most plant locations and/or have chosen to compete.
Weaknesses:
The store is far from residential neighborhoods.
Insufficient oven and staff capacity.
Opportunities:
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