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Subway Sandwich Franchise

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Within the context of today’s global competition, businesses and firms no-longer compete as individual companies but try to corporate with other businesses in their activities (Wu amp. Chien 2007:2). These researchers went further to argue that, this strategy has become quite common in many businesses including the retail clothing chain stores. The conventional vertical integrated company based business model is gradually being replaced by a collaborative relationship between many fragmented, but complementary and specialized value stars and constellation (Wu amp. Chien: 1).
This paper focuses on the Subway Franchise Company. The paper examines the strength weaknesses opportunities and threats of this chain of restaurants. Thereafter the paper examines its competitors at various level of the chain, the third section of the paper uses Porter’s five forces framework to identify the sources of competition in the industry while the last section provides the conclusion and recommendation.
According to the Compa…
1.1 Overview of Subway Sandwich Franchise
According to the Company’s (2008) report, Subway Sandwich Franchise is owned and operated by Doctor’s Associates, Inc. (DAI). This chain of a restaurant has been rated as one of the fastest growing franchises in the world with approximately 30,881 restaurants in 89 countries. The restaurant is the second largest restaurants after the Yum restaurant brands having 35000 locations.
Many analysts have attributed the restaurant’s fast growth to the growing concern by restaurant customers and the community. This has been capitalized on by the company’s marketing department. Subway today is noted as a health-conscious restaurant chain. The restaurants are managed by Doctor’s associates founded in 1965. The restaurant does not follow just the traditional restaurants, Subway operates in many non-traditional locations. For instance, the Company’s (2008) reports states that, there are over 900 Subway locations inside of Wal-Mart stores and 200 on military bases, including several in Iraq, in addition to three located inside the Pentagon, some universities and other shops (Company Report 2008).Many analysts have attributed the restaurant’s fast growth to the growing concern by restaurant customers and the community. This has been capitalized on by the company’s marketing department. Subway today is noted as a health-conscious restaurant chain.