Krispy Kreme Swot Analysis
KRISPY KREME DOUGHNUTS
SWOT ANALYSIS
By: Asleah Jannen C. Samporna
RESOURCE | STRENGTHS | WEAKNESSES | Money | | The proponent has weak financial conditions to sustain the firm’s project so they have to raise capital by initial public offering. | Materials | The company has no problem with regards to materials for they had already networks of suppliers of the needed raw materials. Mix manufacturing is critical in supporting the high quality of KKD. To ensure freshness, truckloads of the main ingredients are received on a regular basis, each incoming shipment of ingredients is tested and each batch of mix is tested. | | Machines & Methods | With expansion in the 1950s, the process of making doughnuts was transformed to an entirely mechanized process with the introduction of an automatic dough cutter. A further change was introduced in 1962 when an extrusion process replacing cutting. | | Manpower | | There is a neeed to hire skilled and diligent workers. | Management | The owner and other members of the management team have the training and education to manage Krispy Kreme. | | Moment | Krispy kreme is dedicated to work full time in making | | FACTORS IN THE ENVIRONMENT | OPPORTUNITIES | THREATS | Socio-cultural | People have developed the habit of eating doughnuts that is best paired with their coffee. | A more health-conscious public has tended to shy away from glazed doughnuts, which have the perception of too many calories and carbohydrates. | Technology and Technical | KKD manufactures its doughnut-making equipment, which all franchisees are required to use. The line of machines can produce from 65 to 1000 dozen doughnuts per hour. Smaller machines such as the tunnel ovens used in hot shops are sold by KKD but manufactured by others. | | Economic | | The purchasing power of the population has lowered because of the dollar devaluation, thus reducing the number of people who buy doughnuts. Since 2005, KKD has gone
SWOT ANALYSIS
By: Asleah Jannen C. Samporna
RESOURCE | STRENGTHS | WEAKNESSES | Money | | The proponent has weak financial conditions to sustain the firm’s project so they have to raise capital by initial public offering. | Materials | The company has no problem with regards to materials for they had already networks of suppliers of the needed raw materials. Mix manufacturing is critical in supporting the high quality of KKD. To ensure freshness, truckloads of the main ingredients are received on a regular basis, each incoming shipment of ingredients is tested and each batch of mix is tested. | | Machines & Methods | With expansion in the 1950s, the process of making doughnuts was transformed to an entirely mechanized process with the introduction of an automatic dough cutter. A further change was introduced in 1962 when an extrusion process replacing cutting. | | Manpower | | There is a neeed to hire skilled and diligent workers. | Management | The owner and other members of the management team have the training and education to manage Krispy Kreme. | | Moment | Krispy kreme is dedicated to work full time in making | | FACTORS IN THE ENVIRONMENT | OPPORTUNITIES | THREATS | Socio-cultural | People have developed the habit of eating doughnuts that is best paired with their coffee. | A more health-conscious public has tended to shy away from glazed doughnuts, which have the perception of too many calories and carbohydrates. | Technology and Technical | KKD manufactures its doughnut-making equipment, which all franchisees are required to use. The line of machines can produce from 65 to 1000 dozen doughnuts per hour. Smaller machines such as the tunnel ovens used in hot shops are sold by KKD but manufactured by others. | | Economic | | The purchasing power of the population has lowered because of the dollar devaluation, thus reducing the number of people who buy doughnuts. Since 2005, KKD has gone