Sandwich Shop Case Study

It started with a 17 year old Fred Deluca in 1965 looking to raise money for tuition to study pre-med incollege. A family friend Dr. Peter Buck suggested that Fred open his own submarine sandwich shop. For4 hours the two drew up a business plan and Buck invested a start-up loan of $1,000 and they becamepartners. August 25th 1965 Pete super submarines opened in Bridgeport Connecticut, struggling withschool and the shop Deluca made a big move both he and Buck opened a second location in 1966. Notsatisfied they took another risk in open the third location with that the business began to take off. Theythen changed the name from Peter’s super submarine to subway.1974 Deluca and book had not mettheir goal of only 32 submarine shops and began to explore franchising.
What’s in a yearthey had about another 14 shops. Then business steadily began to grow, in 1985 20 years of partnershipDeluca and Buck had 596 subway stores in the US and abroad. By 1987 they had 1,810, in 1989 therewere 4071 stores, in 1992 there is 7327, 1995 they had 11420, and in 1998 13229 shops worldwide. InApril 1999 a student of Indiana University made the college paper with his story of how subway help himlose 245 pounds. When executives got wind of this by a thank you letter from the student's mom theybrought him on as a spokesperson in 2000, the year of subways 35th anniversary. Since then they'veonly grown now subway has over 22,000 stores worldwide and is planning to continue with the goal of50,000 outlets