Dough Pizza Market Position
Dough Pizza Market Position Coursework
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Updated: Jun 6th, 2022
As its business, the environment of stability and consistent profits encourage considerations regarding the future of the company. Thus, the main purpose of the paper is to discuss the current position of the pizzeria in the market and therefore offer a comprehensive look at where the company can go next, and what the opportunities or limitations are. Dough Pizza is positioned as a restaurant that offers great quality pizzas and sub sandwiches at affordable prices with a specific focus on positive relations with customers.
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The current market that is a community of residents, university students, teachers, families, and friends in Lynchburg, VA. The key strength of the business is linked to close connections with clients and catering to their demands. Being a small company, Dough Pizza can immediately get customers feedback and make changes accordingly. Such modifications range from menu adjustments to interior changes in order to please customers and ensure that they return. The main skill is associated with the expertise of the restaurants team in providing the best services possible while the resources include the marketing, expertise, and a loyal customer base that can help in reaching success in the future.
Understanding the application of Porters Five Forces to Dough Pizza can be helpful in identifying the businesss opportunities. Competitive rivalry is high for the restaurant because of the range of large pizzeria chains and fast food locations that offer food at reasonable prices (Porters five forces for the pizza industry, 2019). The supplier power is moderate in the case of Dough Pizza because there are a lot of farmers or bulk-buy businesses from which the company can choose. However, these suppliers may raise their prices depending on the circumstances, leading to possible price increases at Dough Pizza due to rising costs.
Buyer power in the restaurant industry is high because clients directly influence the way in which companies develop their prices, which products they offer. Also, marketing efforts are needed for ensuring success. Because buyer power is high, threats of substitutions are also on a high level (Martin, 2018). This is explained by the fact that Dough Pizzas products are not unique to the company and can be found in other restaurants or chains. Threats of new entries are low in the restaurant industry because it is hard for new businesses to have a unique value proposition that will attract customers.
Corporate entrepreneurship implies the process of developing new opportunities within an existing business to create value and generate revenue. Dough Pizza may look at the process through the lens of developing new products or services to generate value and the growth of revenue through the entrepreneurial perspective. A new market that the company can enter is linked to party planning, with Dough Pizza being the place where celebrations will be held. Such a plan seems ambitious, as mentioned in the Scripture, many are the plans in the mind of a man, but it is the purpose of the Lord that will stand (Prov. 19:21, ESV). The proposal regarding party planning should a unique selling proposition as other restaurants leave the process of organizing a party to their clients. Hiring a specialist in party planning can be of benefit for the restaurant as it will offer confidence in the services provided to them.
Overall, Dough Pizza has multiple opportunities for future development despite the high competition in the market. By listening to customers needs as well as discovering new ways in which clients can be attracted to the business, the company is expected to reach a competitive advantage. Apart from expanding the menu to include international cuisine, which was mentioned previously, offering party planning services to customers is a unique opportunity recommended for Dough Pizza to pursue.
Martin, M. (2018). Porters five forces: Analyzing the competition. . Web.
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Porters five forces for pizza industry. (2019). Web.
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