-
Why Should Domino Pizza Open a Store On
Wangjiang Campus of Sichuan University?
Prepared for: Domino Pizza Management
Departure
Prepared by:
向鹏基
Date: December 26, 2013
1
Preface
Based on lots of
investigation and market analysis, this report is
written to indicate why Domino Pizza
would like to set up its first
store on
Wangjiang campus of Sichuan University. This
report is
written in the following way:
introduction of Domino Pizza Company
and Sichuan University, market research
and analysis, and then
suggestions and
strategies and so on.
This report
organizes the information by charts and data,
aiming at
analyzing the market better.
We inquire of a lot of students so that
we have collected the data first-hand,
which is the highlight of this
report.
At last, I also would like
to thank teacher Xie for his guidance to how
to write this report.
2
Contents
Executive
Summary
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4
p>
Introduction
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??
5
Market
data
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6
p>
Findings
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7
Potential actions
analysis
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9
SWOT analysis
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????
10
Suggestions
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13
Appe
ndix
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15<
/p>
3
Executive Summary
Domino
Pizza
plans
to
set
up
its
store
on
Wangjiang
campus
of
Sichuan
University,
because
there
is
a
great
quantity
of
potential
demands.
Domino
Pizza,
one
of
American
best
pizza
companies,
mainly
provides
delicious
and
custom-made
on
the
internet
pizza
for
customers.
At
present,
it
has
opened
many
stores
in
big
cities
around China.
By our precise
investigation, we find that the number of students
of
Wangjiang campus
can totally support the new store, and
they are
potential and direct
customers. We also have surveyed their income
and their preference, which are
optimistic. According to prediction,
the project will bring increases in
revenue and profit by 130% and
150%
respectively in the first year and do more in the
year to come.
The new store will
certainly meet the needs of the large number of
students, and increase the revenue.
At
last,
the
store
should
be
opened
in
Eastern
Yard,
and
concern
whether the price
is reasonable and acceptable for most
students
or not.
4
Introduction
Founded in 1960, Domino Pizza was a
small store at the beginning.
But
it
has
developed
into
a
multinational
pizza
company
over
the
past
years.
And
in
1989,
Domino
Pizza
entered
Taiwan
market,
indicating that it tried to intervene
into the Broader Chinese market.
Finally, it set up its first branch
store in Chinese Mainland in 1997.
Nowadays, it owns 23 branch stores in
China. At present, it plans to
expand
markets to the western area of China.
Sichuan
University,
is
the
largest
university
in
the
Southwest
of
China. At present, there are about
70,000 students and teachers in
SCU.
Wangjiang
campus,
located
around
the
First
Ring
Road
of
Chengdu
city, has capacity of about 40,000 students and
teachers.
Besides,
many
pedestrians
and
visitors
shuttle
back
and
forth
the
campus, who
are able and willing to consume pizza.
So if Domino
Pizza
can
open
its
store
in
or
near
to
Wenhua
Avenue,
it
benefits
from the project.
The
project
is
aimed
to
improve
the
profits
of
Domino
Pizza
Company,
and
the
report
is
written
to
shows
the
feasibility
of
opening branch store on Wangjiang
campus of
Sichuan University.
5
My
data are first-handed, based on a lot of
investigation. However,
for
lack
of
funds
and
time,
the
collected
data
may
be
partial
and
incomplete,
which
could
have
some
influence
on
my
results,
so
I
hereby plead for your
forgiveness.
Market data
We made a questionnaire and researched
200 students
in front of
school
restaurants
when
they
passed
by.
The
basic
factors
in
our
questionnaire
include:
their
income,
their
preference,
the
acceptable price, the
satisfaction to the present school restaurants,
the
ideal
location,
and
so
on.
Based
on
the
data
we
collected,
I
make
three charts in order to trim them clearly.
the income of SCU students
80
70
60
51
50
40
30
20
10
0
the income
9<
/p>
4
36
27
<<
/p>
600yuan
600-800yuan
800-1000yuan
1000-1200yuan
120
0
—
1500yuan
>
1500yuan
73
6
their preference
0.3
1.4
pizza
rice
2.6
5.7
noodle
ohters
p>
the satisfaction
to the present school
restaurants
80
70
60
50
40
30
20
10
p>
0
very
satisfied
satisfied
basically
satisfied
unsatisfied
very uns
atisfied
13
28
41
34
74
the satisfaction
to the present school restaurants
The
charts
tell
us
that
their
income
is
pervasively
high,
that
over
half of
the students prefer eating pizza to other Chinese
food, and
that most of all, 54% of the
inquired students are not satisfied with
7
the
school Chinese-style restaurants. All results show
it is beneficial
to open a western-
style pizza store on Wangjiang campus. Realizing
such a commercial opportunity, any
company is supposed to take it.
Findings
By
now,
no
pizza
company
has
opened
its
first
branch
store
on
Wangjiang
campus
of
Sichuan
University,
which
means
that
the
demand of those students who can
consume the pizza is not met.
Other
pizza company has not realized the market. But SCU
students
have a strong desire for
Western fast food. They are weary of eating
Chinese food all the time, so they want
to change their flavor.
Through our survey, those who were
under investigation show their
willingness
to
buy
pizza
if
a
store
is
convenient
and
the
price
is
reasonable, and the proportion account
for nearly 60%.
Therefore
we
reckon that the number of
customers on
Wangjiang campus is
about
24,000.
So
if
Domino
Pizza
sets
up
a
store
on
Wangjiang
campus, it will bring it high payback.
Domino Pizza should make the
wise
decision as soon as possible.
8