Hamburger Haven Case Study

Summary Windham, one of 50 Hamburger Haven franchises own by Patterson-Erie, was not performing as well as the guild had hoped. Cameron McCormick wanted to evaluate the situation thoroughly onwards skirmish with the chief executive souricer(CEO) of the company, William Patterson. The desist food industry, or the agile expediency industry, capitalized on the customers election for a fast, inexpensive and tasty meal. The industry had experienced fundamental growth. The fast food industry was extremely seasonal with top side sales occurring in the summer months. The parent company expects that for each one of their eating places come upon at least $50,000 in annual profits. However, more(prenominal) importantly, they work place at each restaurants cash of our fiscal obligations. Of course, they want the cash flow to be in profusion of breakeven; otherwise, they have to subsidize that restaurant until it is commensurate to positively contribute. In the case of Windham, this continuous subsidizing has forced them to maximise our line of ascribe from the bank, straining our relationship with them The HHC set off strict guidelines requiring exclusively of its franchises to have a standard restaurant design, menu, suppliers, uniforms and signage.

Based on our sales projections, they built the larger fix up restaurant and took out an $881,000 loan to cover all restaurant costs. In the premiere year of operations, Windhams average periodic sales were single 79 per cent of those of the local field of operations of dominant influence. This persona dropped to 75 per cent in 2001. Unfortunately, Windham has not yet shown an pro cession in sales in 2001. It gainms that! the restaurants service element is largely contributing to the problem. During the February closed book shop, they were disappointed to see that the Windham restaurant received a nada pit out of 15 on employee friendliness and a zero grade out of 30 on the travel of service. One of the options that McCormick considered move forth to Patterson was to...If you want to get a full essay, clubhouse it on our website: OrderEssay.net

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