Questions

What factors in the external environment will impact Southern in the near term? Are

there factors that impact all of Dominos markets including those of Southern? Are there

factors that are unique to Southerns markets?

Well, all the commerce existence, have their own struggles to works off. In this case, Pizza market
is one of the most competitive market due to its products can be easily substituted as it can be
easily imitated. The competition is very intense as we can see there are several huge company like
Pizza Hut, Papa Johns, and Little Caesars that win each other depending on the area they are
operated in. Although, Dominos Pizza currently ranks a strong second among the four national
pizza chains and Southern still faces these competitors in all of its markets. In addition, all these
competitors, have their own main advantage on the products that they handle out of care, to satisfy
their customers and of course to make sure everything is on right track.

On the other side, the degree of rivalry would be increased too, due to it is easy enter into
the market due to ease of getting ingredients to start their activities anywhere. Therefore, if any
business owner have the sufficient budget to enter into the market, the competitors will increase
which will further increase the competition just like how Papa John are able to compete with
Dominos in some city like Greenwood despite it just founded in year 1984 while Dominos was
founded in year 1960.

One unique factors that unique to Southerns market was that they have a Calls Continuous
Improvement Teams (CITs) which is a team involved in probing the key processes within the
company and propose areas for improvement to help in continuous improvement and help the to
be a learning organisation. It is only made possible because they have an innovative, open
atmosphere which encourage in the hunt for ideas for new products, management practices, and
marketing strategies.
Which of Southerns three goals is most important and why?

Southern want Malcolm Baldridge Award which are only presented to company that can
demonstrate excellence in quality and performance which it will not be achievable unless it can
move Dominos Pizza to number one in all markets. In addition, the other two goals are more like
a a supplementary to the main goal as to be number one in all market, you need to dominate both
college and inner-city market. For instance, focusing on college market will not help in their
performance because if there is any college break, the sales of the area will also be affected.
However, if they focus on both market, the sales performance will be better compared to just
focusing on one market. Therefore, we believe moving Dominos Pizza to number one in all
market is the most important goal for Southern to increase their profit and also to receive Malcolm
Baldridge Award.

Based on the secondary research youve done on the pizza industry and its consumers,

what do you feel about Southerns belief that pizza buying is promotion rather than

loyalty driven? Create a plan to increase customer loyalty

Despite that Southerns belief that pizza buying is promotion rather than loyalties driven but we
found that promotion help to drive customer loyalties. In fact, a research conducted by Omotayo
(2011) in Nigerian found that sales promotion has a positive relationship with customer loyalties
(r=0.360, p<0.01). According to research conducted in Malaysia, Rashid, Rani, Yusuf and Shaari
(2015) found that both services quality and customer satisfaction affect customer loyalties in fast
food restaurant. In the research, the respondents must select factor that will mostly affect their
decision respondents and from the data 126 (42%) of respondents rated Food Quality while 102
(34%) respondents rated food menu price. From the research, we can see that food quality and
food price are the factors that has major influence over customer loyalties. Therefore, we believed
that Domino Pizza should not only focus on the promotion activities but also in increase their
product and service quality.

There are several ways that Dominos can do to increase their customer loyalty, but they
must understand the demand of the customers and why their competitors are able to attract them
in each area before planning. For instance, Southern can visit the competitors like Pizza Hut to
find out the success factor through contrasting the differences between their branches and other
through observation of the stores and speaking with their customers. For instance, finding out why
Pizza Hut is able to implement dine-in experience successfully and why it can dominate the market.
Through that, Southern will have better understanding of the market which allows them to
personalize the promotion or improve the facilities to increase customers satisfaction based on the
demands in the area. In other word, Southern should gather information through feedback and
research on other successful company and then based on the information to create strategies,
implement it, and evaluate and revise the strategy for the future.

Evaluate Information
and revise Gathering

Implement
Create
the
Strategies
Strategy

Choose
the best
Strategy
References

Omotayo, O. (2011). Sales Promotion and Consumer Loyalty: A Study. Journal of

Competitiveness | Issue 4/2011, 66-77. Retrieved from http://cjournal.cz/files/76.pdf

Rashid, I., Rani, M., Yusuf, B., & Shaari, M. (2015). The Impact Of Service Quality And Customer
Satisfaction On CustomerS Loyalty: Evidence From Fast Food Restaurant Of Malaysia.
International Journal of Information, Business and Management, Vol. 7, No.4, 201-258.