The document proposes deploying Domino's Pizza in Myanmar. It begins with an agenda that includes analyzing the market opportunities and objectives, performing a SWOT and Porter's Five Forces analysis, addressing ethical dilemmas and CSR strategy, and assessing feasibility. It then provides background on Domino's history and operations, a country profile of Myanmar including demographics, and analysis of the food industry and market opportunities there. The document concludes with sales expectations, addressing competition, and questions.
2. PRESENTATION AGENDA
DEPLOYING DOMINO’S PIZZA IN MYANMAR
• SUCCESS IN THE MARKET
• ANALASIS
• MARKET OBJECTIVES
• SWOT
• PORTERS 5 FORCES MODEL
• ETHICAL DILEMMAS
• CSR STRATEGY
• FEASIBILITY
• CONCLUSION
• QUESTIONS
• REFERENCES
3. SUCCESS IN THE MARKET
Dominoes can enter the Myanmar market place
for fast food without compromising its brand
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4. GENERAL ANALYSIS
OVERVIEW
WHY WE CHOSE DOMINO’S
POSITIVES
• International pizza delivery business
• 11,700 stores/75 locations
• Very strong brand equity
• Comprehensive Ethics/CSR
• Proven success in Asia/Pacific (15 countries)
• Soft competition/substitutes in Myanmar
NEGATIVES
• Governmental Regulatory Issues
• Demand? (Unknown)
• Supply Chains
• Low Profit Margins
5. GENERAL ANALYSIS
REQUIREMENTS
Franchise Business Model
Authorization by a company to provide products/services
under the companies name, and by the company’s standards
• Master Franchise.
Development is based on potential of market size benefits.
• Sub-Franchise.
Master franchisers are able to sub-franchise within their market.
6. GENERAL ANALYSIS
CULTURE COST
Domino’s Values vs.
Myanmar Culture?
Will entry costs (dollar and
opportunity) impede or
enable?
SUSTAINABILITY FEASIBILITY
To be determined!Long term prospect…
7. DOMINO’S HISTORY:
Domino's Pizza Inc. International franchise
pizza delivery .
Founded in 1960.
Second-largest pizza chain in the United
States.
Largest worldwide, over 12,000 stores in 70
countries.
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8. “Dominick's” Pizza began in Ypsilanti, Michigan.
Renamed to Domino's Pizza, Inc. in 1965.
First franchise store opened May, 1983.
First international store opened in Winnipeg,
Canada.
1998, sold 93% to Bain Capital Inc. for ~ $1
billion.
Went public in 2004 (DPZ).
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DOMINO’S HISTORY:
9. COMPANY PROFILE:
Type: Public
Traded as: NYSE: DPZ
Industry: Restaurants
Founded: Ypsilanti, Michigan on June 10, 1960
Headquarters: Domino Farms Office Park Ann Arbor Charter
Township, Michigan, United States
Area served: Worldwide
Key people: Tom Monaghan, Founder J. Patrick Doyle, CEO
Products: Italian-American cuisine, Pizza, pasta, chicken
wings, submarine sandwiches, wraps, desserts
Revenue: Increase $1.802 billion USD (2013)
Slogan: Get the door, it's Domino's
Website: https://order.dominos.com/en/
Number of employees: 220,000 (Dec 2013)
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10.
11. SHORT COUNTRY PROFILE
OF MYANMAR:
POPULATION:
53.26 million. (2013)
MAJOR RELIGIONS IN MYANMAR:
Buddhism 89%.
Christian 4%.
Muslims 4%.
Hindus 3%.
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19. INDUSTRY ANALYSIS:
Increasing disposable income
Large market
Ongoing economic reform
drive opportunities for food & drink companies
Eergence of a middle class
Attractive for fast food chains
Myanmar = next frontier market for fast food
By entering the Burmese market, Domino’s can
pursue its expansion strategy in emerging markets
Fast food chains such as KFC are capitalizing on a
booming food & drink sector there
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20. INDUSTRY ANALYSIS:
Strong opportunities
Forecast per capita:
Main obstacles for fast food chains
Annual growth rate of 11.7% over 2013-2018
< 40% of Burmese consumers frequent restaurants
Strong room for growth in fast foods
Price sensitivity
Increase in real estate prices in major cities
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22. MARKET OBJECTIVES
• Gain New Customers.
• Build Customer Loyalty.
• Increase in Fast Food Market Share.
• Fulfill the Demand of the Customers.
• Maintain the Competitive Edge of the
Innovations.
• Increase Profitability and Growth.
24. STRENGTHS
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• Home delivery service within 30 minutes.
• Quick service at outlets.
• Customer Satisfaction.
• Low Price.
• Provision of offers and discount coupons.
• Largest worldwide pizza chain.
• Fast delivery of services.
• Large range of products.
• Supply chain & distribution network.
• Strong brand equity .
25. WEAKNESSES
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• Leaning tower of pizza.
• Menu not elaborated and modified as compared to
other chains.
• Its ambiance is not up to its competitors.
• No option for birthday parties and corporate.
• Outlets lack space.
• Minimally decorated outlets.
• Franchise management.
• High calorific value of food.
26. OPPORTUNITIES
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• Growing presence in Myanmar market.
• Leverage supply chain & distribution system to
introduce new products.
• Gain stronger hold of online and mobile orders.
• Introduce new toppings that are region specific.
• Go after emerging markets.
• Yet to foray into the restaurant business.
27. THREATS
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• Threat of competition in future.
• Increasing awareness about health related issues.
• Intensive competition from fragmented number of
small competitors.
• Increase in labor and food prices.
• Franchise operations affected by currency
exchange fluctuations.
• No take away counters.
29. PORTER’S 5 FORCES
MODEL
BARGAINING POWER OF SUPPLIERS:
LOW
BARGAINING POWER OF CUSTOMERS:
LOW
THREATS OF NEW ENTRANTS:
HIGH
THREAT OF SUBSITUTES:
HIGH
COMPETITIVE RIVALRY WITHIN AN INDUSTRY:
LOW
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30. ETHICAL DILEMMAS CAN BE
FACED BY DONINOS IN MYANMAR:
Fair Work, Fair Pay.
Decent Food Products.
Fast Food and Obesity.
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31. DOMINO’S CSR
Market opportunities:
Demand is high.
Customers are present.
Market has a strong potential.
A very strong need is also present as there is
no such type of chain.
Dominos has a huge ratio of success factor
present.
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32. DOMINOS VALUES AND
GUIDING PRINCIPLES
To deliver freshly made, quality pizza.
To drive reduction to carbon footprint by monitoring
energy, waste and emissions within the business
and setting targets accordingly.
To encourage career development and cater for the
wellbeing of employees.
To invest and give back to the communities in
which the business operates.
To demonstrate clear leadership, governance and
values by integrating our CSR plan into the
strategic Company mission.
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33. CSR Strategy of Domino’s
Food – premium quality, great tasting,
innovative.
Environment – reduce energy consumption,
reduce, recycle and reuse waste and reduce
emissions.
Employees – happy staff, healthy staff,
engaged staff.
Delivering to the Community – to care, to
share and to be at the heart of our local
communities.
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