abhishreshthaa
Abhijeet S
SWOT ANALYSIS ON Krispy Kreme : Krispy Kreme is a chain of doughnut stores. Its parent company is Krispy Kreme Doughnuts, Inc. (NYSE: KKD), based in Winston-Salem, North Carolina, United States.
Krispy Kreme sells doughnuts, among them glazed doughnuts, served warm. Krispy Kreme doughnuts are sold in supermarkets, grocery stores, convenience stores, gas stations, Wal-Mart and Target stores in the US; Loblaws supermarkets and Petro-Canada gas stations in Canada; Woolworths supermarkets in Australia, and Tesco supermarkets, Tesco Extra and Moto service stations in the UK.
The company's growth was steady prior to its initial public offering but profits have decreased in recent quarters.
Strengths
• KKD produces approx 5.5 million doughnuts a day consisting of over 20 categories.
• KKD doughnuts are available in super markets, grocery stores convenience stores, gas station, Wal-Mart and Target stores.
• KKD has 395 stores with the presence in 40 states on USA and in 10 foreign countries.
• KKD provides best quality doughnuts to the customers.
Weaknesses
• Fall in revenues and profits since year 2008.
• Major reduction in stock price after year 2005.
• KKD profits are in negative.
• Randomly closing and opening of new stores.
• Weak business in International market.
• Strong competition for Dunkin doughnuts and Starbucks.
• Several lawsuits against the company in the past
• Weak position in UK and Spain in term of revenues.
• Franchising business is not doing well.
• KKD does not have an updated register Uniform Franchise opening circular which prevents it from offering franchises to new franchisees.
Opportunities
• Joint ventures in other countries for expansion.
• Entrance into new markets
• Increase number of domestic stores
• Improve franchise business
• Opening of new stores in Japan and Spain and increase number of stores in the countries where they are currently operating.
• People are becoming health conscious so KKD should find a way to reduce calories in existing products and offer something new to the customers
Threats
• Majority of people in USA and UK are concerned about their weight.
• People are well aware of the fact that sweet food contains more calories which will result in variety of diseases.
• Strong competitors domestically and internationally
Krispy Kreme sells doughnuts, among them glazed doughnuts, served warm. Krispy Kreme doughnuts are sold in supermarkets, grocery stores, convenience stores, gas stations, Wal-Mart and Target stores in the US; Loblaws supermarkets and Petro-Canada gas stations in Canada; Woolworths supermarkets in Australia, and Tesco supermarkets, Tesco Extra and Moto service stations in the UK.
The company's growth was steady prior to its initial public offering but profits have decreased in recent quarters.
Strengths
• KKD produces approx 5.5 million doughnuts a day consisting of over 20 categories.
• KKD doughnuts are available in super markets, grocery stores convenience stores, gas station, Wal-Mart and Target stores.
• KKD has 395 stores with the presence in 40 states on USA and in 10 foreign countries.
• KKD provides best quality doughnuts to the customers.
Weaknesses
• Fall in revenues and profits since year 2008.
• Major reduction in stock price after year 2005.
• KKD profits are in negative.
• Randomly closing and opening of new stores.
• Weak business in International market.
• Strong competition for Dunkin doughnuts and Starbucks.
• Several lawsuits against the company in the past
• Weak position in UK and Spain in term of revenues.
• Franchising business is not doing well.
• KKD does not have an updated register Uniform Franchise opening circular which prevents it from offering franchises to new franchisees.
Opportunities
• Joint ventures in other countries for expansion.
• Entrance into new markets
• Increase number of domestic stores
• Improve franchise business
• Opening of new stores in Japan and Spain and increase number of stores in the countries where they are currently operating.
• People are becoming health conscious so KKD should find a way to reduce calories in existing products and offer something new to the customers
Threats
• Majority of people in USA and UK are concerned about their weight.
• People are well aware of the fact that sweet food contains more calories which will result in variety of diseases.
• Strong competitors domestically and internationally
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