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INTRODUCTION

A. Preface

Headquartered in Canton, Massachusetts, Dunkin’ Brands (Dunkin’) sells hot and cold

coffee and baked goods, as well as hard-serve ice cream, using a near-100 percent franchised

business model. With 11,300 Dunkin’ Donuts restaurants in 40 states and 32 foreign countries,

and 7,500 Baskin-Robbins restaurants in 43 states and 46 foreign countries, Dunkin’ is one of the

world’s largest franchisors of quick-service (QSR). All but 36 Dunkin’ Donuts and Baskin-Robbins

are franchisee-owned. In the last few years, more and more customers are coming into Dunkin’

restaurants and spending more and more money when they are there. About 70 percent of all

Dunkin’ stores have a drive thru, which caters in a hurry. Dunkin’ is a speed leader among QSR,

even given increased ticket volume and menu complexity.

Dunkin’ recently launched a loyalty and rewards program that enable the company to

collect data from customers to determine their habits. For example, if you normally visit Dunkin’

Donuts in the morning, the firm may soon send you offers to purchase some donuts in the

afternoon or evening. Companies increasingly are using business analytic to make strategic

decisions. Major rival firms in the coffee retailing business include Starbucks, Krispy Kreme

Doughnuts, and Tim Hortons. Dunkin’ especially caters to the on-the-go consumer looking for a

quick coffee and breakfast. One potential weakness for Dunkin’ is that the firm does not offer

many healthy food options for health-conscious customers.

Coffee price rose 50 percent in 2014 due to drought conditions in South America,

especially since Brazil endured its worst drought in decades. The 2014 coffee harvest in Brazil
was the lowest in three years. To take up the slack, Columbia, the world’s number-two Arabica

grower, was increasing production, but Columbia only produce about one quarter as much coffee

as Brazil.

Dunkin’ Brands is performing quite well. In mid-2015, Dunkin’ announced agreements

with seven franchise groups to open 51 new restaurants in Virginia and West Virginia over the

next several year. Of the seven groups, only one is a new franchisee while the rest are existing

franchisees/franchise groups. For Q1 of 2015, the company’s revenues increased 8.1 percent

year-over-year to $185.9 million, driven partly by revenue from the Dunkin’ K-Cup pack licensing

agreement with Keurig Green Mountain, Inc.

B. Corporate History

Independently in the 1940s, Bill Rosenberg founded the first Dunkin’ Donut restaurant,

and Burt Baskin and Irv Robbins each founded a chain of ice cream shops that eventually

combines to form Baskin-Robbins. Baskin-Robbins and Dunkin’ Donuts were acquired by Allied

Domecq in 1973 and 1989, respectively, and renamed Dunkin’ Brand, Inc. in 2004. Allies was

acquired in 2005 by Pernod Ricard, who soon sold the firm to Bain Capital Partners, LLC, The

Carlyle Group, and Thomas H. Lee Partners, L.P. In 2011, Dunkin’ Brands became listed on the

NASDAQ Global Select Market under the symbol “DNKN”.

B.1 Dunkin Donuts

Bill Rosenberg opened his first restaurant, Kettle Donuts, in 1948, in Quincy,

Massachusetts. The name changed to Dunkin’ Donuts in 1950. Rosenberg sold franchisees to the

others as early as 1955. The 100th restaurant opened in 1963, the 1,000th in 1979, and the 3,000th
in the 1992. In 1996, bagels were introduced to the Dunkin’ Donuts menu and breakfast

sandwiches the following year.

In 2013, Dunkin’ Donuts received the No. 1 ranking for customer loyalty in the coffee

category by Brand Keys for eight years running, and was rated by CREST in December 2013 as

number-one in iced regular/decaf/flavored coffee, number-one in hot regular/decaf/flavored

coffee, number-one donut category, and number-one in bagel and muffin category.

The following year, Dunkin’ Donuts reentered the United Kingdom, 20 years after it exited

the country, with its first store opening in Harrow, London. In Canada, Dunkin’ Donuts has lost a

substantial percent of its market share in recent years, and now has only five restaurants, all in

Quebec, Dunkin Canadian decline is largely due to rival donut firm Tim Hortons.

B.2 Baskin-Robbins

In 1945, brothers-in-law Burt Baskin and Irv Robbins owned different ice cream parlors,

Burton’s Ice Cream and Snowbird Ice Cream, both in Glendale, California. The separate

companies merged in 1953 and the number of ice cream flavors increased to 31. That year,

Baskin-Robbins hired Carson-Roberts Advertising who recommended typeface. In the 1970s, the

company went international, opening stores in Japan, Saudi Arabic, Korea, and Australia. Baskin-

Robbins was the first company to introduce ice cream cakes to the public, and the first to offer

both hand scooped and Soft Serve ice cream. In some places, such as Malaysia, Baskin-Robbins

gives 31 percent off their hand-packed ice cream on the 31st of a month.

Today, Baskin-Robbins is the world’s largest chain ice cream specialty shops serving

premium ice cream, specialty-frozen desserts, and beverages to more than 300 million customers
annually. In 2014, the company was named the top U.S. ice cream and frozen dessert franchise

by Entrepreneur magazine.

C. Commitment to Corporate Social Responsibility

CORPORATE SOCIAL RESPONSIBILITY provides Dunkin' Brands with a central frame of

reference for organizational decisions, strategic goal setting and behaviors that respect all of our

stakeholders. Corporate Social Responsibility is also a way to formalize our tradition of doing

what's right for our consumers, franchisees, employees and the communities we serve.

D. Vision Statement

Serving Responsibly - To be recognized as a company that responsibly serves our guests,

franchisees, employees, communities, business partners, and the interests of our planet.

E. Priorities

Our People: From our employees and franchisees to the farmers who grow our coffee, we believe

in treating everyone with respect and fairness so they are empowered to reach their goals.

Our Guests: We are passionate about offering our guests delicious products they will enjoy,

giving them plenty of menu options, and providing accurate nutrition information so they can

make the best choices for themselves.

Our Neighborhoods: We are dedicated to serving the basic needs of our local communities –

from providing food for the hungry and support for children’s health and wellness, to ensuring

our neighborhoods are safe and secure.


Our Planet: We recognize that everything we do has an impact on the environment. From the

materials we use, to the way we construct and operate our stores, we are committed to adopting

better, more sustainable approaches whenever possible.

F. Development of Vision Statement

Dunkin’ Donuts Vision Revised

To be accepted as a dependable company that considers the well-being of our guests,

franchisees, business partners, and above all, the importance of the planet.

STATEMENT OF THE PROBLEM

This case study aimed to solve issues of Dunkin’ Donuts regarding the four different

priorities – people, guests, neighborhood, and planet.

Specifically, the study sought to answer the following:

1. How can Dunkin’ Donuts solve the problem about labor shortage?

2. How can Dunkin’ Donuts help guests in making decisions about their dietary preferences?

3. How can Dunkin’ Donuts improve its community relations?

4. How can Dunkin’ Donuts continuously improve its product that would benefit the planet?
OBJECTIVE OF THE PROBLEM

1. To unite employees with the employee value proposition: Extraordinary Brands,

Extraordinary People, and to make Dunkin’ Brands an incredible place to work.

2. To help our guests make informed decisions about their dining experience.

3. To help support causes that make a difference in the neighborhoods where employees

and franchisees live and work.

4. To further improve the products offered that would give a positive environmental impact.

Dunkin’ Donuts External Opportunities and Threats

A. Opportunities

International Expansion: In its year-end 2014 earnings release, management spoke of its intent

to focus its expansion efforts in Europe, The Middle East, and China. With roughly 19,000 total

locations, and an expectation to expand to more than 30,000, these markets will soon be

saturated by locations. But beyond these regions, there are a multitude of emerging economies

that could provide growth opportunities for Dunkin Brands. And, if the company continues

expanding its base on the West coast of the U.S., and generates stronger volumes from its present

locations in the Midwest, the top line would certainly see a material increase.

Menu Diversification: The Company has more than just entertained the idea of breaking into

lunch and dinner day-parts over the past few years. Dunkin has added new sandwiches and drink

options to its menu to meet this growing demand. But to go even farther, the company has a
significant opportunity in the health craze that has swept the nation recently. Therefore, we

would keep an eye on low-calorie items, and generally health-conscious choices going forward.

B. Threats

Strong Competition: Dunkin Brands may have a strong presence in Northeastern United States,

but elsewhere it is not always the dominant breakfast force on the market. Companies like

Starbucks (SBUX) and Krispy Kreme (KKD) have been worthy adversaries in the battle for quick-

service dominance in the breakfast day-part. And now, competition from local coffee shops and

bakeries has grown, as well, with cultural changes in some urban areas resulting in an unfavorable

view for large restaurant chains. All the while, Restaurant Brands (QSR), the operator of Burger

King, recently made the move to acquire Tim Horton’s, the Canadian coffee distributor. Under

the wing of the burger chain, we may soon witness another attempt by the company to crack

into the larger American markets.

Raw Material Costs: Coffee and other commodities are subject to substantial price fluctuations

and potential shortages. While there haven’t been particularly noteworthy price changes

recently (prices have actually declined over the last 3 months), we have seen the negative effects

that coffee shortages have had in the past. If commodity prices rise again, which is likely,

franchisees could witness reduced sales due to lower consumer demand stemming from higher

retail prices. Too, interruptions in the supply chain have the potential to magnify any potential

cost increases, and would hurt Dunkin’s lofty margins.


Competitive Profile Matrix (CPM)

A Competitive Profile Matrix (CPM) can be used to compare one company to another across a

range of factors critical to success and is another strategic tool which can be useful in helping the

organization define their strategy. The total score for a given company shows how competitive that

company is in the marketplace relative to other companies.

Competitive Profit Matrix

Company 1- Dunkin’ Donuts Company 2- Company 3- Krispy


Starbucks Kreme

Critical Success Factor Weight Rating Weighted Rating Weighted Rating Weighted
Score Score Score

Market Share 0.16 3 0.48 4 0.64 1 0.16

Financial position 0.14 3 0.42 4 0.56 2 0.28

Global Expansion 0.12 3 0.36 4 0.48 2 0.24

Product Quality 0.10 3 0.30 4 0.40 2 0.20

Customer loyalty 0.09 3 0.27 4 0.36 2 0.18

Growth 0.011 3 0.33 4 0.44 2 0.22

Advertising 0.06 2 0.12 3 0.18 1 0.06

Geographical coverage 0.08 3 0.24 4 0.32 2 0.16

Price Competitiveness 0.09 4 0.36 3 0.27 2 0.18

Technological Advances 0.05 3 0.15 4 0.20 1 0.05

Total 1.00 3.03 3.85 1.73

Starbucks Corporation received a score of 3.85, while Dunkin Donuts received the second

highest total of 3.03 and Krispy Kreme coming in last with a total score of 1.73. Thus, Dunkin’
Donuts is stronger in the marketplace relative to Krispy Kreme. With a score differential of 1.3,

Dunkin’ Donuts have bigger competitive advantage against Krispy Kreme.

External Factor Evaluation (EFE) Matrix

The External Factor Evaluation (EFE) Matrix is an analytical technique related to the SWOT

Analysis. EFE Matrix evaluates external position of the organization or its strategic intents.

Key External Factor Weight Rating Weighted

Score

Opportunities

The donut store industry is estimated to be $11.6 billion and continuing to 0.10 4 0.40
grow

Through 2017, IBIS World projects industry revenue to accelerate to an 0.08 3 0.24
annualized rate of 3.8 percent to $13.9 billion

The number of industry locations is also projected to grow, at an annualized 0.07 4 0.28
rate of 2.7 percent to 20,653 by 2017

Coffee and other beverages account for 35 percent of total sales in donut 0.06 3 0.18
stores and will continue to be important to the sector.

Consumers are searching for healthier foods: IBIS expects healthy eating 0.05 1 0.05
index to rise 2.6% from 2015-2019

International expansion is anticipated to be the largest source of revenue and 0.05 3 0.15
profit growth for major players over the five years to 2021

International expansion to the Middle East, and China with 30,000 market 0.04 2 0.08
expected to be saturated in these location

Disposable income is expected to grow at a rate 2.5% over the next five years 0.02 1 0.02

The average consumer spent about 5.2% of their annual expenditure on food 0.02 2 0.02
and beverages consumed outside the home
Breakfast sandwich sales have increased 408% annually from 2007-2012 in 0.03 2 0.06
the fastfood industry

Threats 0.00

Healthy eating index is expected to increase to 66.9% in 2017 as consumers 0.09 2 0.18
diets progressively improve

The world price of coffee is projected to increase at an annualize rate of 1.1% 0.06 2 0.12
per year over the next five years

Droughts in Brazil are expected to cause harvest of popular Robusta and 0.05 2 0.10
Arabica coffee beans to drop by almost 10% over the next year

Worldwide consumption has shifted towards more expensive, premium blend 0.03 1 0.03
of coffee, which has caused the average price of coffee to rise to 200-300
cents per pound

The increase of local coffee shops in the area. Many people prefer to support 0.02 2 0.04
local business.

Environment agencies are encouraging more people to consume less meat, 0.02 2 0.04
which means investing more money in Research and Development

50% of people could be working from home by 2020 0.06 1 0.06

Starbucks is going to be offering home and coffee delivery in select markets in 0.08 1 0.08
late 2015 through post mates

Cultural changes in urban areas resulting in an unfavorable view for large 0.03 2 0.06
restaurant chains

Reduced sales due to lower consumer demand and steaming from higher 0.04 2 0.08
retail price 0.9% higher according to Investopedia

Total 1.00 2.27

From the table above, the total weighted score of 2.27 is below the average of 2.5. This

indicates that the firm’s strategies are not capitalizing on opportunities or avoiding external

threats.
Dunkin’ Donuts Internal Strengths and Weaknesses

A. Strengths

Brand Recognition: With its strong geographic coverage, legendary variety of more than 1,000

doughnut products, and strong loyalty by the average Joe, Dunkin Donuts is one of the most

recognizable quick-service restaurants in the world. The company’s tag line “America runs on

Dunkin” reminds us of the loyalty that its customers possess for its pastries, bagels, muffins, and

coffee. It was this loyalty that thwarted an attempt by Canadian based Tim Horton’s to expand

its American market share in 2010. Meanwhile, DNKN’s Baskin-Robbins brand is one of the most

notable ice-cream parlors in the world. Its trademarked 31 flavors helped it grow in the 1940s

and 50s, and the company now has roots in many of the largest economic markets in the world.

Convenience: Dunkin Brands’ storefront offers customers a time-saving opportunity that is

valuable during breakfast hours. Many of its various locations offer drive-up service and others

are located strategically in and around airports, train stations, and travel ports that generally

necessitate fast service. The advance that the company anticipates in China and the Middle East

over the coming years will likely stem from the company’s growing position in these geographies.

But to weigh the value of this characteristic, one would need to look no further than the

increasing same-store sales figures for the company over the past year. Despite an unappealing

operating environment, it was still able to raise comps in the December term by 1.4%. This missed

expectations, but Dunkin still managed to perform better than some of its industry competitors.
B. Weaknesses

Poor Franchisee Relationships: In order to grow a franchised business, the franchisor must be

able to attract new ownership to manage its locations. The franchisor should offer a proven

business plan and support the needs of those that operate its storefronts. That said, Dunkin

Brands has a significant history of lawsuits with its franchisees. In 2010 alone, the company

experienced legal battles with 15 separate owners. And while those that have opened franchises

over the course of the company’s history have been able to fatten their wallets, this history of

bad relationships could be enough to deter potential investors from entering the DNKN family,

particularly when noting the bevy of successful franchises in a similar price range.

Domestic Expansion: Opportunities present in the emerging economies of the world are

intriguing for Dunkin’ Brands. However, maintained expansion within the United States may not

be as easy to come by over the long term. The current layout of restaurants suggests there is

little room for the company to grow in the Northeast, where the majority of its sales come from.

Too, when delving into the company’s geographic sales breakdown, sales volume significantly

drops off in the Midwest, and that could make it difficult to find franchisees willing to take a

position in those locations.


Strengths-Weaknesses-Opportunities-Threats (SWOT) Matrix

SWOT Analysis is a methodological approach to analyze the - Strengths & Weaknesses

that Dunkin Brands possess, and Opportunities & Threats that the company faces because of

competitive and macro-economic factors.

SWOT analysis provides key insights into both internal and external factors that can

impact the performance of an organization. It can help the management of the organization to

optimize performance, look for new opportunities, manage competition, maximize return on

resources employed, and minimization of various business and policy making risks.

Strengths are the firm's capabilities and resources that it can use to design, develop, and

sustain competitive advantage in the marketplace.

Weaknesses of Dunkin Brands can either be absence of strengths or resources of

capabilities that are required but at present the organization doesn't have. Leaders have to be

certain if the weakness is present because of lack of strategic planning or as a result of strategic

choice.

Opportunities are potential areas where the firm can identify potential for - growth,

profits, and market share.

Threats are factors that can be potential dangers to the firm's business models because

of changes in macro-economic factors and changing consumer perceptions. Threats can be

managed but not controlled.


STRENGTHS WEAKNESSES

1. Brand Recognition 1. Poor Franchisee

2. Convenience Relationship

2. Domestic Expansion

OPPORTUNITIES SO STRATEGIES WO STRATEGIES

1. International 1. Expand the market, as 1. Provide a good

Expansion products are being business plan in India.

2. Menu Diversification renowned. (S1, O1) (W1,O1)

2. Expand the menu and 2. Expand the menu that

offer breakfast will be offered to

compliments for potential franchisees.

coffee on a drive- (W1,O2)

thru. (S2,O2)

THREATS ST STRATEGIES WT STRATEGIES

1. Strong Competition 1. Use social media 1. Maintain US

2. Raw Material Costs channels to market expansion to remain

the Dunkin Brands. highly competitive.

(S1,T1) (W2,S1)
Advantages and Disadvantages of SWOT Matrix

SWOT Matrix is a matching tool that is to generate feasible alternative strategies, not to

select or determine which strategies are best.

Although the SWOT matrix is widely used in strategic planning, the analysis does have

some limitations. First, SWOT does not show how to achieve competitive advantage. Second, it

is a static assessment. Third, it may lead the firm to overemphasize a single internal or external

factor in formulating strategies. The ability to link the external strengths and weaknesses of an

organization or its particular element with its external opportunities and threats is the key

advantage of SWOT analysis. This is a critical element in strategic formulation or situational

analysis.

The critical disadvantage of using SWOT analysis is its limitation due to its tendency to

produce ambiguous and subjective information. This analytical tool cannot be used on its own

because it does not define the strategic implication of the identified strengths, weaknesses,

opportunities, and threats.

It is important to remember that SWOT analysis is not an actual strategic process. Instead,

it is an analytical tool used for generalized internal and external situational analysis, especially a

tool for facilitating critical and reflective thinking and brainstorming or exchanging ideas among

decision makers.
Financial Position (FP) Stability Position (SP)

Return on Investment 7 Unemployment -4

Leverage 5 Competitive Pressure -3

Liquidity 7 Technological Changes -1

Working Capital 6 Barriers to Entry -1

FP Average 6.25 SP Average -2.25


Competitive Position (CP) Industry Position (IP)

Market Share -1 Growth Potential 6

Product Quality -2 Profit Potential 7

Customer Loyalty -1 Financial Stability 7

Control over suppliers -4 Extent Leveraged 6

CP Average -2 IP Average 6.5

Directional Vector Coordinates: x-axis: -2.00 + (+6.50) = +4.50

y-axis: -2.25 + (+6.25) = +4.00

Dunkin’ Brands should pursue Aggressive Strategies.

Market Development - Dunkin’ Brands should expand further into India

Product Development - Expand the menu and target health segment.

Backward Integration - Increased control on Dunkin’ Brands supplier.


BCG Matrix

Dunkin’ Brands is a franchise of quick service restaurants, selling hot and cold coffee,

baked goods and ice cream from more than 18,000 outlets worldwide. Dunkin’ Donuts fast

selling products include their range of burgers and iced teas/coffees, so they are listed in the star

category. Cash cows include the donuts which are popular but are less bought compared to the

star category. The problem child above is the question mark category which includes wraps and

other shakes which are on the verge of being extinct and generate less revenue. Last the dog
category includes the products which were bought to market but didn’t do well and hence

became extinct.

Grand Strategy Matrix

Rapid market growth and a strong competitive position put Dunkin’ Brands in an excellent

strategic position. For Dunkin’ Brands, continued concentration on current markets (market

penetration and market development) and products (product development) is an appropriate

strategy. Since Dunkin’ is too heavily committed to coffee and desserts, then related

diversification may reduce the risks associated with a narrow product line. They can take risks

aggressively when necessary.

ALTERNATIVE COURSES OF ACTION

1. How can Dunkin’ Donuts solve the problem about labor shortage?

 Streamline the menu

Dunkin’ Brands have a menu that has thousands of combinations of sandwiches

and thousands of combinations of drinks. Dunkin’ should streamline their menu

on variety of markets. They should build quicker throughput and improve service.

If they can simplify their system, it will be better for their employees. They will like

working at Dunkin’ more than they already do and they can retain people in a very

tough labor market.

 Hiring a diverse workforce


A culture of diversity and inclusion, where each person is valued and respected,

delivers extraordinary results. They should strive to develop an inclusive

environment which encourages and supports increased participation of minorities

and women in all facets of our business.

2. How can Dunkin’ Donuts help guests in making decisions about their dietary preferences?

 Nutrition and Better-For-You Choices

Offer better-for-you menu choices like DDSMART based on local nutrition

regulations and dietary preferences. DDSMART is a food that meet at least one of

the following criteria: 25% fewer calories or 25% less sugar, saturated fat or

sodium than comparable products on the menu. Make DDSMART as part of the

menu which will provide with great-tasting, quality products that meet certain

nutrition guidelines, including thresholds for calories, saturated fat, sodium, and

sugar.

 Choice and Transparency

The guests can find nutrition information, such as calorie, sugar and fat content

for each menu item, and obtain ingredient statements and information about

allergens in Nutrition catalogs on DunkinDonuts.com Baskinrobbins.com.

3. How can Dunkin’ Donuts improve its community relations?

 Safety for Our Neighborhoods

Ensuring the safety of their neighborhoods and communities through partnerships

with organizations that support firefighters, public safety officers and troops at

home and abroad.


 Food for Our Hungry

Fulfilling critical hunger in the community through partnerships with local food

banks and hunger relief organizations.

4. How can Dunkin’ Donuts continuously improve its product that would benefit the planet?

 Energy and Climate

Dunkin Brands should prioritize implementing energy efficiency measures on their

corporate facilities.

 Sustainable Packaging

Dunkin’ Brands should create a reusable mug program for hot and iced beverages.

They should encourage their customers to bring their own mug to receive a

discount toward the purchase of a beverage.

ANALYSIS

1. To unite employees with the employee value proposition: Extraordinary Brands,

Extraordinary People, and to make Dunkin’ Brands an incredible place to work.

 If Dunkin will streamline the menu, they can build quicker throughput and improve

service. They can reduce cost, attract more customers through nimble response,

drive higher revenue and compete effectively. If they can simplify their system, it

will be better especially for their employees. They will like working at Dunkin’

more than they already do and they can retain people in a very tough labor

market.
 If Dunkin hire a diverse workforce, it will bring different and important

perspectives to our business. It will also build creativity. Diverse groups tend to

make better decisions and generate more innovative ideas. It could greatly

improve results and returns.

2. To help our guests make informed decisions about their dining experience.

 If Dunkin could offer Nutrition and Better-For-You Choices, it can accommodate

guests with food sensitivities, allergies and dietary restrictions. It can help them in

making decisions that will address their diet, health and allergen concerns.

 If Dunkin will recognize the importance of transparency through the use of

website where guests can obtain nutrition information, it will help in achieving

quicker throughput.

3. To help support causes that make a difference in the neighborhoods where employees

and franchisees live and work.

 If Dunkin accept Safety for Our Neighborhood, it will provide a better place for

their employees and their community to live and work.

 If Dunkin accept Food for Our Hungry, it will provide simple moments of joy to

sick and hungry kids because it will alleviate their hunger. As DNKN is in the food

business industry, it will not incur much cost if DD is going to partner with other

local food banks.


4. To further improve the products offered that would give a positive environmental impact.

 If Dunkin implement energy efficiency measures, it will reduce utility costs and it

will help in reducing carbon footprints and do their share in protecting the

environment.

 If Dunkin decide to promote a reusable mug program for its packaging, it will help

reduce plastic consumption.

FINDINGS AND CONCLUSION

The purpose of analysis is to assess what should Dunkin Brands choose between the

alternatives given on each of the four priorities. In achieving the objectives, it is necessary to

understand some factors that might affect the decision that should be taken. The group findings

are as follows:

1. To unite employees with the employee value proposition: Extraordinary Brands,

Extraordinary People, and to make Dunkin’ Brands an incredible place to work.

To achieve this objective, DNKN should know the factors that could affect the unity

of their employees. If they streamline their menu to utilized their employees more

efficiently, who are then able to provide customers with faster and more accurate

service, and of course maximize profits for franchise owners. And if they hire a

diverse workforce, it will add immeasurable value to the team and help drive the

brand forward. It will also encourage more applicants from diverse community as

they will feel valued and respected.


2. To help our guests make informed decisions about their dining experience.

To attain this, DNKN culinary, consumer insights and marketing teams should work

together to identify the latest lifestyle trends and food and beverage innovations.

If they offer better-for-you choices, it will not show transparency as you are

guiding them by going ahead without knowing what specific dietary restrictions

they needed. If they choose to be transparent by making a website that contains

the food items and nutrition information, it would be beneficial for both parties

as you are not going to ask already the cashier the nutrition content of the menu.

3. To help support causes that make a difference in the neighborhoods where employees

and franchisees live and work.

To help support the community, DNKN should organize a fundraising event to

provide financial support to local non-profit group who are feeding the hungry,

caring for sick children and ensuring the safety of others. This will improve DNKN

community relations.

4. To further improve the products offered that would give a positive environmental

impact.

To achieve this objective, DNKN should discern first what environmental ways

could positively impact the environment. If DNKN, implement energy efficiency

measures, globally, it will reduce the damage that we’re doing to our planet and

our dependence on fossil fuels that are becoming increasingly limited in supply. It

will also reduce utility costs that is becoming increasingly important as energy
costs rise. If DNKN choose to implement the reusable mug program, it will just give

a minimal impact on our planet as some of the consumers will forget to bring their

own mug if they came from important occasions and it will be a hassle for them.

Recommendations

1. How can Dunkin’ Donuts solve the problem about labor shortage?

Between the two alternatives given to resolve this problem, it will be better to

hire a diverse workforce because there will be a strong correlation to success –

from the ability to win top talent to improving customer relations to harvesting

more qualified leaders which in-turn lead to better decision making. Ultimately,

all these wins bring a competitive advantage and rich returns. A diverse workforce

is a symbol of robust and inclusive culture. Potential hires want to feel that they’d

be welcomed if they accepted an offer. And they want to feel like there is a path

forward for growth. The diverse they become, the greater talent pool they will

attract. And once they have a diverse team in place, they’ll reap the rewards. Thus,

it will overcome labor shortage.

2. How can Dunkin’ Donuts help guests in making decisions about their dietary preferences?

Consumer awareness is increasing. Accessibility to information is driving this move

as customers are now aware of how different ingredients affect their health. They

are avoiding foods that can cause harm to their bodies as well as the environment.

DNKN must take action and provide more transparency in the nutrition labels on

their products. They must be transparent about the menu items nutrition
information by making a website that contains the nutrition labels of menu items.

In that way, they are achieving transparency at the same time it will make quicker

throughput because customers will not consume more time in ordering their food

by asking the cashier about their terms.

3. How can Dunkin’ Donuts improve its community relations?

Dunkin’ Brands is part of the fabric of so many communities and neighborhoods

around the globe, and their franchisees value the role they can play in

strengthening their communities. DNKN should organize a fundraising event

where its franchisees, potential investors, and loyal customers can give donations

in cash or in kind to Dunkin’s foundation to achieve both alternatives – Safety for

Our Neighborhood and Food for Our Hungry. Performing these two alternatives

will greatly improve its community relations.

4. How can Dunkin’ Donuts continuously improve its product that would benefit the planet?

Dunkin’ Brands should implement energy efficiency measures by educating

employees on adopting more sustainable habits at their corporate headquarters.

They should turn off menu boards, televisions, café lights and display case lights

every night across all facilities. Replace the fluorescent lighting in the offices with

more efficient LED lighting. Upgrade to ENERGY STAR certified vending machines.

In this way, we can reduce energy consumption. Therefore, it will save our natural

resources and cut down on pollution. Apart from saving energy means saving

money.

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