Black Canyon Coffee (BCC)
Black Encolure Coffee (BCC), founded in 1993 in Thailand, can be described as privately held, greatest chain of coffee shop in Thailand providing western style coffee along with Asian design popular Thai food to consumers, which has a strong incentive of lasting international expansion. Key external forces prominent the company's efficiency and the interior competencies and weaknesses affecting the key the desired info is identified in below synopsis table. Strength
Unique menu offering mix-matching coffee with savory Thai food (differentiated customer experience) Wide-spread occurrence of chains throughout the region against worldwide brand's goals in uptown locations just Strong group knowledge and relationship with local consumers as compared to foreign brands Reasonable & inexpensive pricing
Title of exceptional coffee digesting design (supported by community university) Business office efficient supports in key procedure areas of procurement, logistic, cafe design and support, worker development Weak points
Limited inside financial capital to fund international expansion Weak international entrepreneur relation constraining access to exterior capital important for progress Scarce multi-linguistic Human capital deterring worldwide expansion Inefficiency in handling complex source chain difficulty associated with intercontinental operation (stale inventory or stock shortages)
Ever increasing coffee demand globally
Consumer's changing coffee habit style to luxurious coffee types than classic types Government support in community coffee industry which BCC can influence for sustainable supply string stability Potential " leave strategy" of competitor in Thailand therefore potential opening of marketplace segment
Raising strong head-to-head competition in the market (increasing presence of intercontinental brands such as Starbucks as well as local organizations such as Coffee World) Solid potential menace of community conglomerate (PTT)'s interest intended for economies of scope diversification in for the & mini-restaurant segment (could lead to crimson ocean competition) Global coffee chains under a threat of industry consolidation
Setting aside existing competitions by international and also local brands, the biggest potential threat of PTT's affinity for kiosk and mini-restaurant industry segment forced BCC to believe twice in its future strategies. What ought to BCC management do to improve domestic business? What strategies should BCC management apply to achieve significant and eco friendly expansions in international industry?
Alternative Activities and Evaluation of Alternatives
Differentiated Strategy by providing varieties of foreign cuisine (current strategy) *ability to serve different sections of customers through different types of restaurants & different types of menu *continuous, innovative supplying of popular menu to enhance customer retention *increased natural material input cost to provide non-standardized meals & drink menu *increased requirement of foodstuff experts intended for continuous innovation of food & drink menu Concentrated differentiation strategy by offering simply Thai dishes & Thailander roasted gourmet coffee *targeted Thai food addicts are served through non-fine dining ambiance *narrower and focused romantic relationship with customers based on " the love of Thai food" *competitors difficult to imitate BCC's innovative Thai coffee bean control technology & roasting equipment *challenge in availability of Thai ingredients supplier in the targeted country *availability/retention of meals expert associated with " Thailander food" Centered low-cost strategy by offering standard one-dish Thai menu and Thai-roasted gourmet coffee *Achieve financial systems of scale to better serve focused customer groups at inexpensive costs *Customers can expect exactly what they may get through standardised F& N menu *Relatively easier...