Bad brand extensions that just don’t make a whole lot of sense. Some examples: Kellogg selling hip-hop street wear, Burger King marketing underwear and Playboy serving up energy drinks. Those aren’t fictional examples, in case. They are among the worst brand extensions of 2008,” [according to a survey of Brand week readers and marketing professionals 2008. ] The burger kings strategy is a Opened prototype restaurants in Reno, NV in April, ’99.
Includes new color scheme like blue instead of bricks, different approach of interior designing, and they open a open kitchen it shows the neatness and a good advertisement campaign. The burger kings next approach is to virtual fun areas like play stations and children’s park. Burger King Franchises- the Burger King Corporation began franchising in 1959, it relied on a regional franchising model where the franchisees would purchase the right to open stores within a defined geographic region.
This model remained in place until 1978 when the company hired McDonald’s executive Donald N. Smith to help revamp the company. Smith initiated a restructuring of all future franchising agreements, disallowing new owners from living more than one hour from on their restaurants, preventing corporations from owning franchises and prohibiting franchisees from
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Smith also sought to have BKC be the primary owner of new locations and rent or lease the restaurants to its franchises. This policy would allow the company to take over the operations of failing stores or evict those owners who would not conform to the company guidelines and policies. However, by 1988 BKC parent Pillsbury had relaxed many of Smith’s changes, scaled back on construction of new locations and stalling growth. Neglect of Burger King by new owner Grand Met, and its successor Diageo, further hurt the standing of the brand, causing yet more financial damage to BK franchises.
Finally the financial issues facing BK’s financially distressed franchisees. The initiative was designed to assist franchisees in restructuring their businesses in order to meet financial obligations, focus on restaurant operational excellence, reinvest in their operations and return to profitability. Marketing strategy is a process that can allow an organization to concentrate its limited sources resources on the greatest opportunities to increase sales and achieve a sustainable competitive advantage and goals.
A marketing strategy combines a product development, distribution, promotion, pricing, relationship management and other elements A strategy consists of a well thought out series of tactics to make a marketing plan more effective. Marketing strategies serve as the fundamental underpinning of marketing plans designed to fill market needs and reach marketing objectives. Plans and objectives are generally tested. “A marketing strategy often integrates an organization’s marketing goals, policies, and action sequences (tactics) into a cohesive whole.
Similarly, the various strands of the strategy , which might include advertising, channel marketing, internet marketing, promotion and public relations can be orchestrated. Many companies cascade a strategy throughout an organization, by creating strategy tactics that then become strategy goals for the next level or group. Each one group is expected to take that strategy goal and develop a set of tactics to achieve that goal. ” [http://en. wikipedia. org/wiki/Marketing_strategy] Scope “• the company’s strengths and weaknesses and areas of development or decline are analyzed.
Financial, strategic and operational factors are considered. • The opportunities open to the company are considered and its growth potential assessed. Competitive or technological threats are highlighted. • The report contains critical company information – business structure and operations, the company history, major products and services, key competitors, key employees and executive biographies, different locations and important subsidiaries. • It provides detailed financial ratios for the past five years as well as interim ratios for the last four quarters.
• Financial ratios include profitability, margins and returns, liquidity and leverage, financial position and efficiency ratios. Reasons to buy burger kings product, •A quick one-stop-shop to understand the company. • Enhance sales activities by understanding customers businesses better. •Detailed information and financial & strategic analysis on companies operating in the industry. • Identify prospective partners and suppliers – with key data on their businesses and locations. • Capitalize on competitors weaknesses and target the market opportunities available to them.
• Compare the company’s financial trends with those are the competitors. • Detailed insight into the company’s strategic, financial and operational performance. [http://en. wikipedia. org] Burger King has employed varied advertising programs, both successful and unsuccessful, since its foundation in 1954. During the 1970s, output included a memorable jingle, the inspiration for its current mascot the Burger King and several well known and parodied slogans such as Have it your way and It takes two hands to handle a Whopper.
Burger King introduced the first attack ad in the fast food industry with the help of then unknown Sarah Michelle Gellar in 1981. The television spot, which claimed BK burgers were larger than competitor McDonald’s, so enraged executives at McDonald’s parent company, they sued all parties involved. Starting in the early 1980s and running through approximately 2001, BK engaged a series of ad agencies that produced many unsuccessful slogans and programs, including its biggest advertising flop “Where’s Herb? ”
Burger King was first to introduce the dine-in concept, and drive-through food service. Burger King (along with Pillsbury, the previous owner) was bought by Grand Metropolitan in 1988. By 1999, Burger King had 10,506 total owned or franchised restaurants, with sales of $10. 3 billion, good for second behind only McDonald’s CONCLUSION Through this research we can conclude in this way there are some problems regarding the management side of burger king, but later they realised the facts and they trying to change their mind and now they success in their field.
The main problem was they are trying to compete Mc Donald’s for the case of French fries and their new invention to garments business. The franchises helped a lot to make a good reputation for this company.
BIBLIOGRAPHY http://deniseleeyohn. com/bites/2008/12/20/underwear-thats-fun-to-wear/ International marketing, kotler http://en. wikipedia. org/wiki/Management http://findarticles. com/p/articles/mi_m3190/is_v18/ai_3367413/. http://www. slate. com/id/2102906/. http://web. archive. org/web/20071030031316/http://query. nytimes. com/gst/fullpage. html? res=940DE7DE123EF93BA35752C0A96E948260.