Reference no: EM132190115 , Length: word count:2500
Case Study Analysis Domino's Pizza. by Borja, Tina extracted from:
R. Duane Ireland, Robert E. Hoskisson, Michael A. Hitt., (2012) The management of strategy: concepts and cases South-Western, pages 84-99.
You are required to analyse the case study on Domino's Pizza. A digitised copy of the case study is on Moodle.
When answering the case questions below only use information on Domino's Pizza contained in the case study. Your marks will be heavily penalised if you use information on the company from alternative sources as it is your assessment of the case information provide which is being assessed.
Questions
1. Drawing on your knowledge of the PESTEL model, analyse the external environment facing Domino's Pizza and identify the key external factors which impact on the company.
2. Use the Porter's five forces framework, analyse the industry and determine the attractiveness of the pizza industry in which Domino's Pizza is competing. Support your analysis with evidence from the case study.
3. Conduct a value chain analysis to determine Domino's organisational capabilities and use this analysis to identify the core competencies that can build or sustain its competitive advantage.
4. Using the Ansoff's product & market matrix, analyse the direction of growth that Domino's Pizza has undertaken to grow their business. Provide recommendations for future growth.
Mark allocated for the presentation of analysis, use of case evidence and conclusion.
Guidance notes
The assessment feedback sheet provides the marking criteria for the overall case analysis. Adjust the length of your answers to reflect the % weighting allocated to each question. Remember that in writing your solution to the questions you must not describe what the case says but use the concepts to analyse the information and use the evidence/facts in the case to support your analysis.
To answer question 1 you need to review the PESTEL framework (Unit 1). Specifically, the external political, economic, social, technological, ecological and legal trends that could impact Domino's Pizza leading strategic position. At this stage, do not focus too much on how Domino's Pizza has managed to protect their strategic position because this requires an analysis of its internal capabilities (Question 3) and how they are utilised to establish a position in the industry which you are asked to discuss in question 2.
To answer question 2, you need to review Porter's Five Forces model (Unit 2). Specifically, the five forces which enable you to determine the overall attractiveness of the Pizza industry within which Domino's Pizza operates. At this stage, your review of the competitive rivalry will be helpful in determining Domino's organisational capabilities and core competencies which is the focus of Question 2.
Question 3 asks you to conduct a value chain analysis of Domino's Pizza. Divide your analysis into 3 stages:
- Discuss each value chain activity in turn, primary through to support activities. Some activities will have more information to discuss than others. Explain what the firm does in each activity but extend your discussion to include a brief evaluation on whether each activity is strength or a weakness.
- Identify and explain key VC linkages as an intermediary stage to identify core competencies (CCs). These linkages can be: primary to primary; support to support; and primary to support. The linkages are not only between two activities but could link 3 or 4 activities.
- Based on the linkages, select those which are CCs and show how they meet the VRIN criteria to be a CC (see the textbook, chapter 3.3, pg.54-59). Most organisations are likely to have only a few CCs. Firms with limited competitive advantage may only have potential CCs which are still under development but have not yet yielded the superior returns associated with competitive advantage.
The focus of your answer is on Internal analysis, the S & W of a SWOT not the external analysis (O & T) and is covered in Unit 3. You should read your textbook, Johnson et al chapter 3 and follow the stages of analysis above.
Question 4 focuses on how Domino's Pizza has used their capabilities to grow the business. You are asked to focus on three of the options in Ansoff's matrix which are explained in your textbook and in Unit 5. The three options are market penetration, market development and product development. In your value chain analysis in question 3 you will have identified capabilities which they have used to support these strategies and in your answer to this question you should highlight how these capabilities support each growth option and make recommendations on how they should use these capabilities to implement future growth options.
Attachment:- homework.rar