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Competitor’s Analysis
Porter’s Five Forces ModelCompetitive Advantage
POWER GAMES AMONG COMPETITVE PLAYERS
AKSHAY MATHURVINIT GUPTA
MBA- 2nd SemesterDMS, JNVU, Jodhpur
A CASE STUDY WITH
REFERNCE TO
PIZZA HUT
V/S
DOMINOS SWOT of Pizza Hut & Dominos
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VISSIONDomino’s v/s Pizza Hut
“Exceptional People on a mission, to be best pizza delivery company
in the world.”
“Best Pizzas under on roof.”
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Competitor’s Analysis
POWER GAMES AMONG COMPETITVE PLAYERS
Who are CompetitorsWhat are their product &
ServicesWhat are their Market Share
What are their financial positions
What gives them cost & price advantage
What are their SWOTWho are potential
competitors
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COMPETITORS STRENGTH WEAKNESS
Subway
a. King of sandwich market
b. Customised preparation
a. Still adapting to Indian taste
b. Expensive
Pizza Corner
Variety and Qualitya. Low investment in adb. Delivery not
satisfactory
Kfc Variety's master for chicken
More of chicken and less for veggies
Mc Donald’s
a. King of burger market
b. Fast servicesc. More offers
Lack of varieties
Papa John’s
Excellent Variety and Quality Expensive
Ccd Quality & variety in beverages
Concentrate more on beverages and less on
snacks
Baristaa. Excellent ambienceb. Variety in beveragesc. Quality assurance
a. Expensiveb. Lack of proper
distribution channels
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Porter’s Five Forces Model
POWER GAMES AMONG COMPETITVE PLAYERS
BARGAINING POWER OF
BUYERS
THREAT OF NEW
ENTRANT
BARGAINING POWER OF SUPPLIERS
INDUSTRY COMPETITORS
RIVALRY AMONG EXISTING FIRMS
THREAT OF SUBSTITUES
Competitive pressure coming
from threat ofentry of new
players
Competitive pressure
stemming from buyers
bargaining power Competitive
pressure coming from substitute products &
services
Competitive pressure
Stemming from suppliers
bargaining power
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Competitive Advantage
POWER GAMES AMONG COMPETITVE PLAYERS
Porter’s Generic Strategies
“An organization’s ability to learn, and translate that learning into action rapidly, is the ultimate
competitive advantage” Jack Welch
DIFFERENTITAION
FOCUS COSTCOST
LEADERSHIP
DIFFERENTITAION
FOCUS
LO
W
HIG
H
NARROW BROAD
SCOPE OF BUSINESS ACTIVITIES
DEG
REE O
F P
RO
DU
CT
DIF
FER
EN
TIA
TIO
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Porter’s Generic Strategies
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Core-Competencies
POWER GAMES AMONG COMPETITVE PLAYERS
Cost efficiency
Reliable Innovation CER Agility
Strategy Standard operations, nominal price
Ordering ease
“Khushiyon ki Home Delivery”
Outsourcing
Fastest delivery (30 min)
Structure
More outlets
System Wider reach
Quick service, Phone orders
Style Take away,Excellent offers
Quality standards
New crusts, toppings, flavours
Responsive to customer need
StaffShared values
Performance based incentive
Service levels
Think global act local
Skills Fast processing and delivery
Transparency
Domino’s
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Core-Competencies
POWER GAMES AMONG COMPETITVE PLAYERS
Pizza HutCost efficiency Reliable Innovation CER Agility
Strategy 5 star ambience
Best Pizza under one roof
Menu, 100% Jain pizzas, menu for busy bees
Outsourcing,Customer satisfaction
Variety, hangout zone, organises parties and meetings
StructureSystem Hygiene Incomparabl
e qualityCustomer focus,Wider reach
Phone orders
Style Excellent service,Quality standards
Unique dining experience, Half & Half pizza
Responsive to customer taste
Personalised service
Staff Customer mania
Warm and friendly attitude of staff
Shared values
Recognition, Team work, Service levels
Together we grow
Trust in people
Skills Accountability Thinking out of box
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SWOT of Pizza Hut v/s Dominos
POWER GAMES AMONG COMPETITVE PLAYERS
STRENGTH
Leading pizza delivery company in the US with more than 5,000 stores in the US
Less than 30 minutes home delivery
Global franchise operations - more than 3,500 in over 50 countries
Strong brand equity supported by heavy advertising & marketing campaigns
Supply chain & distribution network
Leader in online & mobile ordering
Pizza Hut is the market leader in providing different products of pizzas
Another big Strength and even a Competitive Advantage is the fact that they have a full service restaurant as well as delivery services
Because of the restaurant, Pizza Hut can market too many different segments that other pizza chains cannot. For example, Pizza Hut can market to families much easier than Domino's or Little Caesar's
Pizza Hut Domino’s
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SWOT of Pizza Hut v/s Dominos
POWER GAMES AMONG COMPETITVE PLAYERS
WEAKNESS
Pizza Hut Domino’s
Inadequate advertisement
Inadequacy of outlets
High prices
They are providing less
range of products
comparatively with high
prices
They are more focused on
Western taste instead of
Eastern
Lack of parking facilities at
outlets
Slow growing and declining
same-store sales
Weakening bottom line
High staff turnover due to
lack of training and
development
Same and industrial flavour
Same sauce tastes like card
board
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SWOT of Pizza Hut v/s Dominos
POWER GAMES AMONG COMPETITVE PLAYERS
OPPORTUNITIESPizza Hut Domino’s
Growing fast food market
Introduce attractive offers
Diversification of new
products can increase
their market share.
They can reduce their
prices because of more
resources.
Bigger outlets
More vegetarian topping
also seafood topping for
pizza
Growing presence in
emerging markets,
particularly in India, China
Leverage supply chain &
distribution system to
introduce new products
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SWOT of Pizza Hut v/s Dominos
POWER GAMES AMONG COMPETITVE PLAYERS
THREATS
Pizza Hut Domino’s
Closest competitor
Domino's Pizza whose
competitive advantage
over Pizza Hut is their
Lower price.
Little Caesar's right behind
Domino's in market share
famous for offering
delicious pizza for less
money.
Social factors can affect
their image as a Western
organization.
Changing consumer habits
towards healthier food
choices Franchise operations
affected by currency exchange fluctuations
Intensive competition from a fragmented number of small competitors
Better quality & variety of
competitors
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