Tim Hortons Case Analysis

 Case Title: Tim Hortons Short Cycle ProcessWho is The Decision Maker: Tim Hortons Inc. Executive branchWhat is the Issue: How to continue expansion of the Tim Hortons brandWhy the Issue has arisen: Tim Hortons corporate objectives are for further expansion and sustained growthWhen the Decision must be made: Over the course of the next yearHow: Analytical: 2 Conceptual: 2 Presentation: 1 LONG CYCLE PROCESSA) Issue(s) to solve: Where and how to continue expansion in North America What emerging/foreign markets to enter with which market entry strategyReason Case Assigned: To assess the difficult decisions made by food service brands in the current global environmentTim Hortons Case Study

Case Data Analysis SWOT

Strengths

  • Strong brand presence in Can.

  • Healthier quick-serve options
  • Convenience of diverse Coffee and food menus
  • Presence built in US through Wendy’s partnership
  • Sustained revenue and capital to invest in future expansion
  • Effective promotions| Weakness
  • Low brand recognition in US
  • Over expansion in Can.
  • Simplistic menu
  • Lack of reach of baking facilities
  • Lack of debit/credit capabilities in all stores

Opportunities

  • Growing Can. uick-serve mkt.
  • Large US mkt.
  • Emerging mkts.
  • Health food trends
  • Coffee trends
  • Use Health, convenience & promotions to push expansion in US
  • Use coffee, brand name, western menu to expand in Asia

Follow Can.

  • growth with sustained expansion
  • xpand health/coffee menu in new markets
  • dapt new POS capabilities

Threats

  • Established competition
  • Fallout of Wendy’s breakup in US
  • Economic stagnation in US
  • Push promotions and health food products in US
  • Expand on brand building campaigns in Us/Abroad

Alternative Generation

  1. Keep expansion in Canada
  2. Continue expansion in US
  3. Continue expansion in US with new partnership
  4. Expand in Europe with local partnership
  5. Expand in Asia with local partnership

Decision Criteria

  1. Growth potential
  2. Risk aversion
  3. Utilize brand recognition
  4. Market knowledge
  5. Growing demand for Tim Horton style menu
  6. Alternative Assessment Alternatives| Decision Criteria
  7. Preferred Alternative Establish a new partnership with a US quick-serve chain which will facilitate expansion into the US market, while expanding their brand in Canada at the same time enhancing Tim Horton’s.

    Predicted Outcome: Tim Horton’s will use its strengths in terms of promotion, menu quality, brand recognitions and combine them with the strengths of another organization as it did with Wendy’s, to form a mutually beneficial agreement

  8.  Action & Implementation Plan

Who: Executive branch What: Seek out partnership/merger to facilitate expansion When: Within the next few years Where: In North America How: Through negotiations and aggressive joint location placements Missing Information Who the current executives are Time frame for this decision Market information for EU Assumptions That Tim Horton’s will continue its expansionist strategy and not just focus on improving its stores That there is little demand for Tim Horton’s products in Europe or Asia.

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