GROUP MEMBERS• SANGITA.MATARKA-GROUP LEADER 26• ARCHANA 22• PRANALI 09• RIMA 32• SNEHAL 05• TULSHI 02
INTRODUCTION• The International Food Network provides complete product development services for the food, beverage and nutrition industries.• Beverage & Food World is a leading processed food industry journal that covers the processed foods and beverages industries in India.• Food safety continues to be a global concern. German and French food trade associations, with the assistance of other international retailers, have responded by developing IFS or the International Food Standard.• The aim of the standard is to focus the various requirements of retailers on one standard.
FAST FOOD INDUSTRYWorld’s largest growing food type.Industrial growth is 40% a year.The organized pizza market in India isworth about Rs.675 crore.Foreign investments are worth Rs.3600million (1/4th total investment in thissector)Pizza Hut in India is the market leaderin this industry.
HistoryPizza hut Dominos Frank and Dan Founded in 1965 by Carney opened Pizza Tom Monaghan. hut in 1958. Second-largest Pizza one of the flagship chain in the United brands of Yum! States. Brands, Inc. about 8,500 corporate 12,500 restaurants and franchised stores across 91 countries in 55 countries.
Pizza hut Dominos Indian outlet opened in Dominos Pizza outlet in June 1996 in India opened in Bangalore. 1996. 147 restaurants across Close to 274 outlets in 55 cities of India. 36 cities in India. 70 percent of its 27 per cent market revenue comes from share of the eating- home delivery service & out market and over around 30 70,000 footfalls per percent is over-the- day. counter sales.
CORPORATE STRATEGYPizza hut Dominos “We want to satisfy our “ Exceptional people on customer by offering them the best” a mission to be C.H.A.M.P.S the best pizza delivery (Cleanliness, company in the Hospitality, Accuracy, world! " Maintenance, Product quality and Think global and act Speed) local’ 3F’s ( Fun, Friendly Fun, happiness and and Familiar) convenience
SUPPLY CHAINPizza hut Dominos• SUPPLIERS • Procurement of rawDirect Suppliers materials Pepsi Cremica Group (Buns) • Distribution • Retail OutletsIndirect Suppliers Meat market : Chicken from Brazil Vegetable market : Potatoes from Australia Sauce companies• COLD CHAIN LOGISTICS
StrengthsPizza hut Dominos• Pizza Hut is one of the • It is one of the leading and largest restaurant chains in most popular pizza delivery the world and is a sub brand of Yum! Brands, Inc. Pizza companies in the USA. Hut with a large market • Domino’s Pizza Inc. share and a strong network currently operates in more has become a market leader in United Kingdom than 60 countries across the• Pizza Hut Pizza Inc. globe. currently operates in more than 94 other countries and territories around the world.
Pizza hut Dominos• The marketing of the • The intelligent marketing company is another strength strategy of heavy of the company. The have advertising is a key strength many media partners and to make its brand image use television advertising that attracts people of retained and differentiated various ages. in the minds of its• The company has a huge customers. market share; more • Domino’s Pizza Inc. strong customers mean higher brand equity gives it a percentage in sales that competitive advantage over leads to greater profits. other industry players.
WeaknessPizza hut Dominos• The loyal cutomers of Pizza • The company is faced with crucial hut feel that there is a decline issues of weakening bottom lines in satisfaction and other pizza due to slow growth and decline in chains and restaurants are the sales. offering much more. • The company experienced decline in its operating and net profits• There are some internal during the year 2007 as compared conflicts within the company to the previous year’s reports. as there processes are • 9.5% drop down in operating computerized and centralized. profits and about 64.3% decrease• This has lead to high turnover in net profits was recorded. as well as de-motivation of staff.
OpportunitiesPizza hut Dominos• The company can come up • Especially introduction of with innovative Pizzas, new new flavor additives and flavors and recipes with pizza toppings that are different types of crusts and region specific can be a sizes etc. good stride for Domino’s.• The company can open its • There are favorable market restaurants in different expansion opportunities for countries that have potential Domino’s Pizza Inc in India customers for example it and China where currently it can expand its network in have very few franchises. India, Pakistan, Bangladesh etc.
Pizza hut Dominos• The company can even • Moreover new product introduce new, healthy and development by fresh food items related to pizza for example they can introducing new products introduce fresh pizzas. in the current menu are• The people are these days steps that can be taken. more concerned about their health and pizza hut can meet this need by introducing fresh and healthy pizzas.
ThreatsPizza hut Dominos• The competition in the Pizza • The major threat to industry is increasing, as Domino’s Pizza Inc., like all customers now prefer and other fast food restaurants, look for availability and is the increasing consumer affordability. awareness about the he• The rising prices of special harmful health implications ingredients like cheese, used associated with high calorie in pizzas. fast food items. • The researches in the health sector about the fast food products being saturated with fats, oil, sugars and sodium etc pose a threat to Domino’s.
Pizza hut Dominos• The company faces serious threats • In addition to this there are other from other international restaurant researches showing the potential chains like KFC, McDonalds, harmful effects associated with Dominos pizza etc. the artificial additives, flavors and preservatives added to these fast• Besides these competitors the foods. local restaurants that provide • Intensive competition and pizzas offer food item at more franchise management which vary affordable prices as well as know with currency fluctuations pose a the taste of the local people better. threat to the company.• Many of its competitors are trying • Apart from that Domino’s to capture the market share of the operations in countries like India, Pizza hut by introducing similar where there is unruly traffic system, are greatly affected to kind of pizzas and food items. reach its claim.
CONCLUSIONFast Food industry in India is growing at afast rate. From the study done among the 2fast food services –Dominos and Pizza hut,we can clearly come to the conclusion thatPizza hut with its superior supply chainmanagement (cold chain) is able to balancebetween its quality and cost.The setting up of cold chain has enabled itto cut down on its operational wastage.