1. 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?
Panera Bread is a company with distinctive and effective concept and strategy which has given them a competitive advantage over its competitors in the submarket industry. Panera Bread’s strategy includes providing specialty bakery and café experience to urban workers and suburban dwellers. They specialize in fresh baked bread that made with quality and detail, made to order sandwiches, custom roasted coffees and other café beverage. Panera Bread has unique style to its menu, café design, inviting ambience with the decoration of its café locations. Panera offers their customers the chance to come in the café to order breakfast, lunch, daytime and the “chill out”- time between the breakfast and lunch and between lunch and dinner. Panera Bread’s growth strategy was by opening both company-owned and franchised Panera Bread locations, the franchising has been a key competent of the company’s efforts to broaden it markets penetration.
Panera Bread’s strategies can be categorized under the Best-Cost Provider strategy. Panera Bread provide a fairly common café beverages around the country, but they have manage to offer their products at lower cost to its rivals and still gives customers more value for their money by incorporating good to excellent product attributes. Panera Bread tries to achieve a type of competitive advantage that is a lower cost than its rival with a market that targets a broad cross-section of buyers.
2. What does a SWOT analysis of Panera Bread reveal about the overall attractiveness of its situation? Does the company have any core competencies or distinctive competencies?
Strength- Panera Bread is the leading bakery-café in the nation and currently working on how to