Friday, August 23, 2019

The market and Krispy Kreme Essay Example | Topics and Well Written Essays - 3000 words

The market and Krispy Kreme - Essay Example The paper tells that a worldwide doughnut company was born in an old building on July 13, 1937. Krispy Kreme was established in Winston-Salem, North Carolina by Vernon Rudolph. Then just a store, Krispy Kreme used a classified recipe for yeast-raised doughnuts. Because of the very appealing aroma of freshly cooked doughnuts, mere passers-by would inquire to ask if they can have an order of the freshly cooked treat. With such request from customers, Rudolph then put a hole on an outside wall of the store to make the fresh and hot Krispy Kreme doughnut more accessible to its buyers. Most of the time, it is the product’s consistency whether in taste or in quality that appears to be the problem. Krispy Kreme is not an exemption to this inconsistency. For the company to be able to hurdle over this hindrance in quality, Krispy Kreme constructed a mixing plant and a distributing system that will deliver the perfect Krispy Kreme doughnut mix. The company did not just bring an original yeast-raised doughnut to the market but also a technology that will increase product consistency in its stores. The 1940s and 50s were the decades that Rudolph and his equipment engineers created Krispy Kreme’s own doughnut-making machineries. Even if the company was just starting to expand its market across the state, it was pretty obvious that Vernon Rudolph cared about the quality of the products that his company will be giving out to its market. This proves that the company is putting their customers first and not just the amount of money the company can make. As long as the customers are happy, the satisfaction that the doughnuts are bringing to its patrons will equate to the company’s well-earned income. The quality consistency hurdle was surpassed by the company. Although, it was considered as a challenge since Krispy Kreme was just starting its ground on broader market, the problem was properly addressed by Rudolph and a contingency plan was made to ensure tha t the public and the patrons of the products will get the quality products that they deserve. Delivering the mixture on a daily basis increased the expenses of the company. To cut the expenses being brought by the regular transportation of the mixture, Rudolph together with his equipment engineers developed Krispy Kreme’s own doughnut-making machineries. It was a wise marketing strategy in ensuring the quality of the products that are being produced by the different stores and still be able to achieve the desired profit out of the stores. A decade was dedicated to further develop and systematize the whole doughnut-making process (KrispyKreme.Com, 2009; David & Musa, 2008, p. 26). The first international Krispy Kreme store was opened on December 2001 in Canada near Toronto. The company further expanded its market to Australia and Europe in 2003. Asia, Southern America and the Middle East were the next markets that the doughnut company explored. Krispy Kreme Doughnuts (KKD) was able to expand their markets in 5 continents in less than a decade. KKD has a total of 123 stores in 5 continents by the 28th of January 2007. Two hundred thirty nine KKD factory stores and 33 satellite stores were operating giving a total of 272 stores nationwide (KrispyKreme.Com, 2009; David & Musa, 2008, p. 27). KKD then focused more on the markets in Asia and the Middle East. Demographically, KKD perceives that these 2 locations will be more favorable for its products. Asia and the Middle East have high consumptions of sweet goods which will work pretty well for the company’s signature products. It has also been noted that Western products have high popularity in these Eastern locations. The future success of KKD in these places given the fore mentioned facts appears to be very promising (David & Musa, 2008, p. 27). The Asian and Middle East markets is showing very good potential with regards to KKD’s success. There is one market that the company

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