In-depth SWOT Analysis Report: Krispy Kreme's Business Strategy

This report provides a detailed SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis of Krispy Kreme, examining the company's internal and external factors. The strengths include brand recognition, a long history, and a strong international presence. Weaknesses involve weak slogans, lack of targeted promotion, and limited menus. Opportunities include international market expansion, product innovation, and technological advancements. Threats encompass competition, economic impacts, and health consciousness. The report uses data from 2016 to support its findings and references relevant academic sources to validate the analysis, offering a comprehensive overview of Krispy Kreme's business strategy and market position.

Running head: SWOT ANALYSIS OF KRISPY KREME
SWOT ANALYSIS OF KRISPY KREME
Name of the Student
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Author Note

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SWOT ANALYSIS OF KRISPY KREME
Company Overview
Krispy Kreme has begun their rapid success and expansion in the 1990s. On February
they have opened 1000th shops in Kansas City. The growth determination can be examined by
this statistics. US$518.714 million was their revenue in 2016 and net income was US$32.398 in
2016. This is huge raise that they have found in net income comparing to 2015
(Krispykreme.com 2018).
Strengths of Krispy Kreme
The positive aspects of strengths of the company are:
 The logo of the company is very famous. As the company is selling baked goods, hot,
iced, frozen beverages so a worldwide influence is there along with the customer
bonding. Hence, a brand identification and acclamation are there.
 The brand name is also important in that case and they have enough longevity in the
market. The company started in 1937 so almost 80 years of customer service experience
is there (Krispykreme.com 2018).
 The company has an excellent reputation among the national and international customers.
The company has several branches in Australia, Brazil, Germany, Mexico, Sweden,
Spain, Malaysia, Iceland, Cambodia, Thailand and many other countries
(Krispykreme.com 2018).
 The fundraising processes are innovative and their segmented sections of food are the
major strength of the company.
 Variety of products and their traditional approach to the business set up appealing for the
company and they process this segment in an efficient manner.
Weaknesses of Krispy Kreme

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SWOT ANALYSIS OF KRISPY KREME
The weaknesses of Krispy Kreme Company are:
 The slogan of the company is merely a weak one. As the company has set different
slogans for the different time of their business so slogans are not so appealing or
recognizable.
 The target audience is not set and lack of continuity happens in case of promotion. The
promoting of products is not process in an ethical way through advertising (Powers
2012). Thus, this is a weak side of their business.
 As huge numbers of shops are opened in nationally and internationally, so production is
the concerned matter for them (Eke 2017). This is the reason product uniqueness are not
coming from their side.
 The menus are also limited.
 The company follows cumber stone web navigation that suggests eye-catching behaviour
from the company but in a large and busy way.
Opportunities of Krispy Kreme
The opportunities of Krispy Kreme are:
 The international market expanse and deliver their products in worldwide is the biggest
opportunity for the company.
 Menu items expansion and innovative choices like “Breakfast crowd” is important for
business innovation and new market opportunity (Krispykreme.com 2018).
 Advertisement through technology and media is a great platform for the company to sell
their products through online processes.

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SWOT ANALYSIS OF KRISPY KREME
 They can extend their business with joint venture where they have to maintain their
quality and gain customers trust and belief through the process of joint venture also
(Lakshminarayanan and Hanspal 2014).
 The division of funding will improve a lot through this process and company can meet
clientele expansion and innovative desire.
Threats of Krispy Kreme
The threats of Krispy Kreme are:
 There are some other basic products are there like Starbucks, Panera, Dunkin' Donuts and
some local competitions. Hence, innovative strategy, product quality will be required for
the sustainable marketplace of the organization (Krispykreme.com 2018).
 Poor jobs economy has impacted the consumers as well as for employees.
 The gas prices are high in order and increase of gas prices, production cost will generate
a high number.
 The products must need increased health consciousness factor and need to promote their
products in an efficient way (Krispykreme.com 2018).
 Some of the food ingredients are important and government rules and regulation is also
persisted for those situations to use the ingredient in their products.

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SWOT ANALYSIS OF KRISPY KREME
References
Eke, H., 2017. The health promotion center A business plan. California State University, Long
Beach.
Krispykreme.com 2018 Krispy Kreme Doughnuts retrieved from: https://krispykreme.com/
[Accessed on 25th March, 2018]
Lakshminarayanan, S. and Hanspal, S., 2014. Cupcakes by Lizbeth: flash in the baking pan or
here to stay. The CASE Journal, 10(2), pp.145-155.
Powers, E.L., 2012. Organizational mission statement guidelines revisited. International Journal
of Management & Information Systems (Online), 16(4), p.281.