Strategic Management for Five Guys Expansion into Italy

Running head: STRATEGIC MANAGEMENT
STRATEGIC MANAGEMENT
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STRATEGIC MANAGEMENT
Executive Summary
The aim of the report is to assess the success and failure of the expansion process of the
American local fast food joint Fast Guys into the arena of Italy which is one of the developed
European nations of the world. The analysis of the report is done based on the PESTLE of the
country along with the Porter’s five forces model for the organization on which the analysis
is being done. Moreover, the Porter’s generic strategies are also taken into consideration
which means that the analysis of the future prospects of the organization into the target
country is being done along with the marketing mix analysis. The recommendations for the
expansion and analysis are also being provided which acts as a statement to the analysis of
the facts making the success of the expansion of Five Guys into Italy one of the best
decisions of the enterprise.

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STRATEGIC MANAGEMENT
Table of Contents
1. Introduction........................................................................................................................3
1.1 Company Background..................................................................................................3
1.2 Key challenges faced by Five Guys.............................................................................3
2. External environmental analysis for identifying opportunities and threats.......................3
2.1 PESTLE analysis..........................................................................................................4
Micro Analysis...................................................................................................................5
2.2 Porter’s Five Force Framework...................................................................................5
3. Internal environmental analysis for Identifying strengths and weakness..........................7
3.1 VRIO analysis..............................................................................................................7
4. Identification of Competitive strategies.............................................................................9
4.1 Porter’s Generic Strategies...........................................................................................9
5. Strategic Directions for Market, Product and Services and methods for expansion........11
5.1 Market........................................................................................................................11
5.2 Product.......................................................................................................................11
5.3 Services......................................................................................................................12
5.4 Methods of expansion................................................................................................12
6. Conclusion........................................................................................................................13
8. References........................................................................................................................14

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STRATEGIC MANAGEMENT