Management and Environment Report: A Deep Dive into Domino's Pizza

This report provides a comprehensive analysis of Domino's Pizza's management practices and strategic positioning within the fast-food industry. It begins with an overview of Domino's, including its global presence, sales figures, and employee count. The report then delves into the company's customer base, identifying target demographics and their preferences. It outlines Domino's mission, core values, and vision statement, highlighting the company's commitment to customer satisfaction and global expansion. The analysis continues with an examination of Domino's corporate-level strategies, specifically its growth-oriented approach through market development and expansion of stores, and its business-level strategies, which combine cost leadership and differentiation to maintain competitive pricing and offer varied product options. The report further presents a SWOT analysis, detailing Domino's strengths, such as its international presence and technological advancements; weaknesses, including store ambiance and menu limitations; opportunities, like introducing health-conscious menu items and leveraging disruptive technologies; and threats, such as changing consumer preferences and competition from both large and small firms. This detailed examination offers insights into how Domino's Pizza has achieved and sustained its position as a leading fast-food chain.

Running Head: MANAGEMENT 0
MANAGEMENT AND ENVIRONMENT

MANAGEMENT 1
Contents
Dominos Summary...................................................................................................................2
Customer Base..........................................................................................................................2
Mission and Core Values.........................................................................................................3
Vision.........................................................................................................................................3
Corporate Level Strategies......................................................................................................4
Business Level Strategies.........................................................................................................4
SWOT Analysis........................................................................................................................5
References.................................................................................................................................8

MANAGEMENT 2
Dominos Summary
Dominos is one of the leading fast food chains incorporate in 1960 and presently, the
company is having its presence in more than 85 countries. The brand is known for its
premium offerings of different types of pizza, pasta, drinks, chicken wings and desert. In
2017, the company accounted for nearly 6 billion U.S. dollars systemwide sales. Globally,
Dominos operates somewhat around 16, 000 stores (Lock, 2019) and due to this and various
other factors, Dominos ranked above its competitors Pizza Hut. In the entire company
system, there are nearly 310000 employees working under Dominos and in 2019 (Pratap,
2018), the company also earned 3.62 billion revenue U.S. dollar world-wide (Lock, 2019). In
this research analysis paper, the core them that will be included in the research includes
customer group of Dominos, company mission and vision statements, core values, business
and corporate strategies as well as company internal environment using SWOT framework.
This will help all in exploring management concepts in a more practical and explicit way.
Customer Base
Customer of Dominos varies geographically across the world however, company
product and marketing strategy vary from country to country. The customers of Dominos are
mostly valued sensitive instead of price sensitive (Shah, 2013). The company also primarily
targets people of age groups 18-44. However, Dominos also essentially concentrates on the
teenagers mainly on college students. Dominos target market also represents middle and
above middle income families, who have no issue to spend for eating fast food out. In terms
of occupation, customer base for the company also includes working people and employees
as Dominos can effectively deliver pizza to their job place as well as house. The geographic
density for the customer group of Dominos includes both urban and rural areas and this raised

MANAGEMENT 3
the degree of loyalty among different customer groups. At last, all the customer groups
purchase or consumer Pizza from Dominos sought benefits in terms of cost efficiency and
time efficiency.
Mission and Core Values
The purpose at Dominos implies that company always put efforts to bring people
closer and connecting them via global best bonding food i.e. Pizza. In simple worlds,
Dominos reduced and break the barriers in the divided world between their customer and the
food company love to share (dominos.com.au, 2015). From a long time ago, Dominos strives
to develop food products that match the customer taste effectively and strongly supports their
plan of – “Think globally and act locally”. Such practices help the brand to offer value for
money and reasonable products to the customers as a substantial share of their work.
In relation with Dominos values, it includes - Be generous and offer joyful
familiarities, Crush convention, Do the right thing, because it's the right thing to do, Invest to
make devotion, help individuals prosper and grow (dominos.com.au, 2015). The company is
obsessed to provide exceptional fast food at the best for less. Such practices and culture help
Dominos to maintain a unique brand image in the minds of customers.
Vision
Dominos vision statement signifies that – striving to become global optimal Pizza
Delivery Corporation together with employees’ development and form the best scenario via
catering to our guest. Dominos has expanded into vast range of market and formed goodwill
for being a home delivery platform supplying pizza to its loyal customer base from various
nation-wide stores. In simple term, the company vision is to No.1 brand in People and No.1
in Pizza. The company also ensures that each and every employee at the company do role as

MANAGEMENT 4
the ambassadors for their vision and mission with following the companies’ values. This
shows that Dominos vision is also supported by brand corporate governance leading
promotion from within.
Corporate Level Strategies
Corporate level strategies are essentially about the choice of direction that an
organisation embraces in order to accomplish its objectives (Bouhali et al, 2015). In relation
with Dominos corporate level strategy, the company pursue growth as the corporate strategy
as it tends to equate success for the company and under it, the key focus of the brand is on the
market development with tapping into new markets and increasing number of stores.
Dominos practice on three different segments considering the business line. The first is
locally owned and franchised store in the US comprising 390 company owned and 5486
franchised Dominos stores. The next segment considers to domestic supply chain stores
which the company operate via manufacturing and supply chain centres. The third segment is
the Dominos global operating stores which comprises of total stores external of the adjoining
United States. This shows that Dominos has embraced over adaptive strategy so as to capture
the market globally and with this practice, the company also constantly plan to dominate the
Pizza Market.
Business Level Strategies
The business level strategy of Dominos is an integrated combination of both cost
leadership and differentiation. Such strategy benefits a brand to uphold its competitive
pricing together with build new products draw the attention of new market segments. In
relation with cost leadership, Dominos is cutting different costs in significant areas such as
selection of suppliers and food ingredient. In addition, its low cost infrastructure franchisee

MANAGEMENT 5
and investment owned business model is making the company business more strong than its
rivals. Taking an example, there is no Dominos outlet in any country which is premium
designed with posh interiors and the company ensures to encourage faster consumption
allowing the people to order, eat and move on. The differentiation strategy is used by the
company to serve the market based on the taste and preferences and Dominos also
successfully positioned its product portfolio with varied options to choose from.
SWOT Analysis
Strengths
 Dominos is one of the top Pizza delivery corporations internationally. At a global
level, the brand comes out at 5th rank as to be most valuable fast food brands (Klein,
2018), though, in Australia, it was ranked behind KFC at second spot.
 Internationally, Dominos franchise is available and in relation to the first quarter of
2019, the brand has a developed network of more than 16, 100 franchised and
organisation-owned stores in the United States and also in 85 international markets
(annualreports.com, 2018).
 Dominos also gained first mover advantage in adopting latest technology association
to in-house system, tracking, Pizza theatre and various other. It helps the brand to
improve customer level at a distinct level with relying on its own technological
competence.
 The brand is also known for offering products at reasonable prices matching with
consumer pocket. This is one of the key reason, Dominos has dominated the Pizza
market considering its various decisions and efforts in terms of cost savings and then

MANAGEMENT 6
transfer benefit to the customer. It also helps the brand to be developed effectively in
the Asian markets.
Weakness
 The first weakness is in relation with its competitors signifying low ambience level in
their Pizza stores causing dissatisfaction among consumer groups on both feedback
and social media. In various countries where the Dominos have its store found similar
complaints in terms of service level and infrastructure as many people found to
complain related to mix-up of orders, bad supply of pepperoni, misplaced garlic bread
and so on.
 The company is good in offering quality products; however, the company is not
putting much effort to update its menu log as per the changing preference of the
customers and it can be because Dominos has not introduced any variety in the Pizza
offerings or products in relation with its competitors KFC and McDonald. For
instance, McVeggie burger was introduced by McDonald in many stores in Australia
to evaluate their reaction to the vegetarian-friendly pie choices.
 The size of the store represents another weakness of Dominos, as its average size of
the store is 1600 square feet alongside metros, which is 1,000 square feet. In addition,
its competitor such as McDonald holds an average of 4,000 square feet considering
the size of the store.
Opportunities
 The first opportunity for Dominos is introducing health conscious menu with addition
of new flavor condiments which is low in fat and therefore, help the company to
increase its revenue in the near future.

MANAGEMENT 7
 Embracing disruptive technology is another opportunity for Dominos to improve
customer experience and save operational cost. Taking consideration of this, Dominos
can rely on big data analytics to gain necessary customer consumption insight and use
it with a unique marketing strategy to gain a competitive advantage in the industry.
 With introduction of exclusive Dominos, restaurants in elite regions will benefit the
brand to gain more brand awareness and will draw the attention of a consumer who
prefers to eat outer in plush eateries.
Threats
 The biggest threat for Dominos is changing trends towards customer groups
considering healthy and organic foods. Various NGOs and government all over the
world focusing more on health awareness while encouraging and communicating with
the people and stating what to eat and what to avoid.
 Dominos is also facing threat as competition from various small firms fragmented in
different areas of states together with the national players like McDonald, KFC, and
Pizza Hut. There is also an indirect competition where people are preferring burgers
over Pizza such as in McDonald and KFC.

MANAGEMENT 8
References
annualreports.com. (2018). 2018 Annual Report. Retrieved from
http://www.annualreports.com/HostedData/AnnualReports/PDF/NYSE_DPZ_2018.p
df
Bouhali, R., Mekdad, Y., Lebsir, H., & Ferkha, L. (2015). Leader roles for innovation:
Strategic thinking and planning. Procedia-Social and Behavioral Sciences, 181(11),
72-78.
dominos.com.au. (2015). DOMINO'S PURPOSE AND VALUES. Retrieved from
https://www.dominos.com.au/inside-dominos/corporate/vision-and-mission
Klein, D. (2018). The 8 Most Valuable Fast-Food Brands of 2018. Retrieved from
https://www.qsrmagazine.com/content/8-most-valuable-fast-food-brands-2018
Lock, S. (2019). Domino's Pizza - Statistics & Factss. Retrieved from
https://www.statista.com/topics/1688/dominos-pizza/
Pratap, A. (2018). Domino’s Pizza Number of Employees. Retrieved from
https://notesmatic.com/dominos-pizza-number-of-employees/
Shah, R. B. (2013). Impact of marketing mix elements on customer loyalty: A study of fast
food industry. Prestige International Journal of Management and Research, 6(2/1),
54.