BAD 603
Presented to: Dr. Nicolas Khoury
Presented by: Charbel Salameh
Date: 02/06/10
Company Overview:
Dunkin' Donuts claims to be the world's largest coffee and baked goods chain, serving 2.7 million customers per day at approximately 8,800 stores in 31 countries which include approximately 6,400 Dunkin' Donuts locations throughout the USA. This figure compares with the 15,011 stores of coffee chain Starbucks, whose baked goods are usually prepared out of shop. Most Dunkin' Donuts stores are franchises. There are no Dunkin' Donuts stores anywhere in the state of California, and a notice on the company's web site states that franchises are not being offered in that state. No explanation is given as to why. Only 75 franchisees exist west of the Mississippi River, mostly in Arizona, Nevada and Texas.
Key Facts & Business Description:
Dunkin' Donuts, along with Baskin-Robbins, is owned by Dunkin' Brands Inc. (previously known as Allied Domecq Quick Service Restaurants, when it was a part of Allied Domecq). Dunkin' Brands used to own the Togo's chain, but sold this in late 2007 to a private equity firm. Dunkin' Brands was owned by French Beverage Company, Pernod Ricard S.A. after it purchased Allied Domecq. They reached an agreement in December 2005 to sell the brand to a consortium of three private equity firms, Bain Capital Partners, the Carlyle Group and Thomas H. Lee Partners.
In the U.S., Dunkin' Donuts is sometimes paired with Baskin-Robbins ice cream shops. While such locations usually have two counters set up for each chain (much like the Wendy's/Tim Hortons co-branded locations), depending on business that day both products can be bought at the same counter (usually the Dunkin' counter), much like the Yum! Brands stores.
History of Dunkin Donuts:
It all started in 1946 when William Rosenberg (founder of Dunkin Donuts and also the International Franchise Association) invested $5,000 to form Industrial Luncheon