Dominos Pizza in Mexico - Case Study Example

Data of Case Study- “Domino’s Pizza in Mexico Domino's a multinational pizza delivery corporation that is renowned throughout the world is on the road of expanding their business not only in America but in other continents as well. Formally working on the slogan of "30 minutes or free" Domino's Pizza has ensured taste with speedy transportation to their client which in return has led to its popularity. (Donald J Vlcek, 1992) The company is one of its own kind specially in Latin America but still faces tough resilience from their counter parts namely McDonald’s, Kentucky Fried Chicken, Subway and Hardees. One thing that has been common in all the above mentioned companies is that all have been very successful in capturing their audiences. Their success story hasn't only revolved around the advertising for their company but a complete team effort, hard work, determination; the will to become the leading fast food chain in the world has made them reach the zenith. If we start to compare Domino's with their opposite number, McDonalds, we will come to know that their respective road to success has been full of challenges and somewhat quite similar too. First and for most, the two companies came into existence when no such food company existed. They had to start from scratch and had to make the people feel the importance of their brand and for that the most crucial and important part was team building.( Tom Monaghan,1986) They had to search for people who were determined, fresh and eager to learn in collaboration with their respective companies. Secondly, once established the two companies had to maintain that vibe and hunger ness for the people to buy their product by launching new food items that would surround and match the eating brain of a human being. They had to keep the quality of the food as their first priority in order to attract the customers. (David A Hanks, 1989) Moreover, both Domino's and McDonald’s had to change their advertising setup when launching them selves internationally. They had to grab the local market and the local people with their innovative strategies. They also took under control the prices of their products in accordance to the economy of that country and in accordance of an average person's reach. All and all, Domino's and McDonald's are quite similar in nature excluding their distinct and unique products and because of the adaptability in all cultures; Domino's has been able to stamp their authority in the global market throughout the world. 2. Domino's rely on the work hard, play hard culture where they set themselves tasks and standards and then work collectively to succeed in those tasks. (Tom Monaghan, 1998) They do not compromise on the quality of the food and in the appearance of their company. That is why, where ever they go, in which ever country they enter, they keep their tag line, their presentation, their rules and regulations and the quality of food at the top. For them, a customer’s satisfaction is their satisfaction. (Georgia Brazil, 1986) One important thing that Domino's has followed throughout the years is that they have kept the interface of their outlets identical. This has helped them in reaching far off areas where the people used to recognize Domino's not by their name, rather by the companies’ logo, ‘The Domino's logo’. Another area that Domino's has clicked is by hiring those people as employees who could work in their corporate sectors. (John A Jakle, 1999) Such people are aware of the local food standards and know what the customers require. In this way they can help the higher officials in the company to make them understand the psychic of the food of the local residents of that area. Another aspect that Domino's has taken into account is that in order to nullify any problems in their administration, Domino's regularly takes their managers working across the globe to stores for training. (James Mac Nair, 1987) There they are given lectures on how to run a franchise and what is the right mentality that is required in working in an environment without taking their jobs as a burden on them. 3. Domino's is a renowned pizza place across the globe and is known for their speedy, efficient, elegant work and of course for their delicious, mouth watering, finger licking pizzas. In order to attract and grab audiences, one important factor that counts is the advertising. Domino's has successfully been able to adapt to the areas where ever they have launched themselves and have been able to advertise appropriately and diligently with respect to the local residents. Places where it has been difficult for them to advertise through television, there they have been clever enough to use the alternate source of local markets to sell pamphlets and use print vehicles to get hold of the market. (Thomas S Dicker, 1992) Using this alternative source has greatly reduced the cost of communicating their message to the locals. Domino's has remained consistent with their brand, which is why they have been able to hold the upper hand in the market. They let their products do all the talking and this has worked out perfectly for them in countries across the world. Whether its Japan or Mexico, India or Philippines, United Arab Emirates or France, they have been able to change themselves according to the local environment without compromising to their dignity of originality. (Franco La Cecla, 2007) 4. In the late 1990’s, the economy of Mexico collapsed making the investments by the multi national companies shaky. Domino’s was also affected by this financially. The easy way for them was to end their entire work load in Mexico and launch them in some other country but, they had some other plans. They stick to that country and because of the economy collapse; the domino’s pizza had become a meal for the wealthier families. To regain their spot in the lifestyle of an average person in that country, surprisingly domino’s decreased the rates of the pizzas by considerable amount. (Chapel Hill, 1992) They advertised about the pizza in a way that reflected that the domino’s pizza was good for them and for their health. This strategy worked in favor of the company and in no time they were able to get their old status back in Mexico. Furthermore, to show their concern for the people and as an act of generosity Domino’s started to give away pizzas for free to almost every children living in any orphanage in that country. This act not only linked them with the country financially but emotionally as well. Their sale exceeded their expectations as they started to sell 20,000 slices per week. They dedicated themselves to a self invented phrase of “sell more pizzas, have more fun” in order to boost their working environment.( Neil Sutherland, 1998) Lastly, adapting to this strategy as a part of long term planning might not work in favor of the company. With recession to hit every country, Domino’s would have to think something out of their socks in order to maintain their hold on the market. They will have to increase prices of their products and would have to launch new items to keep the buyers attracted. They would have to advertise extensively and would have to widen their horizon to keep their customers linked to them. If they are able to hold their strong position with respect to their counter parts, then Domino’s might become the golden fish of the world in the region of fast food restaurants in the years to come. References Donald J Vlcek; Jeffrey P Davidson, The domino effect: how to grow sales, profits, and market share through super vision Homewood, Ill.: Business One Irwin, 1992. Tom Monaghan; Robert Anderson Pizza tiger New York: Random House, 1986. David A Hanks, Frank Lloyd Wright: preserving an architectural heritage: decorative designs from the Domino's Pizza Collection New York: E.P. Dutton, 1989. Tom Monaghan, Domino's Pizza International Babson Park, MA: ECCH at Babson, Ltd., Babson College, 1998. Georgia Brazil, Domino's Pizza celebrates: 25th anniversary Nashville, Tenn.: Great American Opportunities, 1986 John A Jakle; Keith A Sculle Fast food: roadside restaurants in the automobile age Baltimore, Md: Johns Hopkins University Press, 1999 James Mac Nair; Patricia Brabant Pizza San Francisco: Chronicle books, 1987 Thomas S Dicker, Pizza Franchising in America: the development of a business method 1992. Chapel Hill: University of North Carolina Press, 1992. Franco La Cecla, Pasta and pizza, Chicago, Ill.: Prickly Paradigm Press, 2007 Neil Sutherland; Sue Michal ski; Rosemary Moon The perfect pizza book Godalming, Surrey: Bramley; New York, NY: Distributed in the USA by Quadrillion Pub., 1998 Read More