Strengths of the Organization This case study identified many strengths Panera Bread has including those dating back to Au Bon Pain Company; however, this section will only identify those strengths associated with the current position of Panera Bread Company. First and foremost is customer service. The company has been awarded with two major customer service awards including the J.D. Power and Associates’ restaurant satisfaction study which ‘‘ranked Panera Bread highest among quick-service restaurants in the Midwest and Northeast regions of the United States in all categories’’ (C-162). Customer loyalty is another key to Panera’s success. Studies from the case show that Panera has a high rate of returning customers once Panera has
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As before mentioned in the difficulties of obtaining a franchise the company has the right to purchase any location within the first five years of the contract. This provides the company with a way to build up its number of corporate owned locations with those that have proven to be successful and are already built and staffed.
Threats in the Environment More restaurants are now offering healthier choices on their menus and at lower prices than Panera is. Most quick-service (fast food restaurants) have special menus and advertising campaign designating specifically for raising the public’s awareness of these special selections. Fast food chains are also providing a specially trained chef or baker to each location as Panera has done for a number of years. Each of these threats in the environment makes Panera Bread lass distinguishable from other fast food restaurants since they are not the only ones providing these features and choices anymore. In a struggling economy the first thing to go in most families is the spending of money on extras and since most families see eating out as an extra, dinning out is one of the first things to go. Panera is a more expensive quick-service choice than most other competitors in the market and in an economy