PorciniProntoCH - CASE STUDY PORCINI PRONTO OPS 5095...

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CASE STUDY PORCINI PRONTO OPS 5095 Executive Summary The Porcini brand has seen lots of success since its inception in 1969. As of recent, Porcini's has continued its growth, even as the competitors who have remained steady or have seen decreases in their revenue. Last year the profit margin jumped from 3% to 4%, which by industry standards, sets Porcini's apart from those competitors. In 2010 the 23 current locations generated $94.3 million in revenue and the need to continue to maximize that revenue is of great importance. Currently the idea of a lower-priced and more convenient restaurant, which would be located by busy interstate highways and targeted at travelers and the workers in those cities, would contribute substantially to that addition revenue. To roll out this concept of Porcini Pronto, a syndication model allows the brand to continue to operate at a very high service level and sustain the high food quality at Porcini's. Background Porcini Inc, Boston’s Italian cuisine restaurant, has been in business since 1969. The restaurant has seen great success in recent years even during the down economic times. Recently, in an effort to substantially increase revenues, Porcini’s has decided to pursue a more convenient restaurant option called Porcini’s Pronto. The intention for the restaurant concept is to provide a convenient, low cost, and high quality meal alternative for customers. Porcini’s has explored many options for expanding, and have narrowed their choices to syndication,
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franchising the concept, or building and developing the new Porcini Pronto restaurant. All the potential options has obvious pros and cons that vary in cost and the amount of control that Porcini has to give up. Porcini has contributed their success to its service and the high quality of their food, and wants to continue to build their reputation based on those attributes.
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