CORNER BAKERY CAFÉ Harvard Case Solution & Analysis

Corner Bakery café Case Study Solution

The highly serving food restaurant named “Corner Bakery Café” providesa number of scrumptious products in breakfast, lunch and dinner. It is a U.S based restaurant, highly known for its high quality products and intends to open a restaurant that will be required to give memorable time to its customers. This restaurant intends to fulfill the desires of its customers while working in a peaceful environment where delicious food is served with lots of love and humbleness. The staff intends to satisfy the customers by serving food with admiration. The Café admitted a policy to avoid abhorrence if the customers get angry and shouted on its staff. It tries to give friendly environment to its customers with the idea of providing tasty food .It tries to provide every standard to its customers because they cannot afford to be abortive. The bakery items contain healthy ingredients in their recipes so that customers no longer regret on their decision of coming to the cafe. Moreover, it uses the finest recipes to make the items delicious and different from others.

The Café was first offering bread and espresso coffee which got popularity among customers,so Cafe was asked to make more products and to make bread with more flavors (fast food menu prices, 2015). CBC took this demand as a compliment and started working on fulfilling the desires of its customers. It made flavored and more delicious bread that its customers will find nowhere. After getting positive response of customers, CBC expanded its business in different tastes with the intention to provide a wide variety of products to its customers. Itprovided various combination of foods around 100with calories of less than 600.

Business Plan for Corner Bakery Cafe (CBC):

For CBC to open its branch in Saudi Arabia, a business plan is made to lay down the foundation. This plan analyzes the different aspects that can have an impact on the on-going business of the Café and illustrates the pros and cons that the café would have if it expandsits business in Saudi Arabia.

Phase 1: Planning the Global Enterprise:

This phase identifies the opportunities that CBC will have when expanding its business globally and further evaluates these business opportunities. It illustrates the economic, cultural and political condition of the place selected and what effect it can have on the business, the risks that the café might face, and what competitive advantage it would have in comparison to its competitors. It further discusses that what impacts can the use of technology have in the department of marketing and distribution and production of goods.

Section-1: Choice of Hosting Market:

The main source of entertainment for the people of KSA is eating out. Considering this, KSA encourages new businesses in this industry as thefood and beverages industry offers a lot of potential. High incomes mean that the population of Saudi Arabia can go out more often than before. The advancement in technology is bringing realization among the people, and that results is benefiting the food industry of KSA. (Allen, 2017)

CBC is thinking of expanding its business in Saudi Arabia in the Eastern province in the Corniche Al Khobar. The reason for choosing this country for expansion is discussed below:

  • Fast Growing Industry:

One main reason to expand the business in Saudi Arabia is because KSA’s industry is growing fast. Though KSA’s economy is mostly based on the production of oil, Foreign Direct Investment (FDI) is playing a major role in the growth of other industries as well. The government of Saudi Arabia is also finding opportunities to grow in other industries.

  • Growth of Private Sector:

The government of Saudi Arabia is investing heavily for the growth of private sector. It is expected that in the long run the private sector of KSA will become strong.

  • Good connection between the two countries:

Corner Bakery Café is originally from the United States of America. The expansion in Saudi Arabia would boost the already good relation between the countries. (Hossain, 2017)

Saudi Arabia is in the top twenty countries list of having the highest GDP.

This means that the growth of money is very high in Saudi Arabia.

  • Stable and big Market:

The biggest market in Middle-East is that of KSA, it ensures the long-life of businesses and their stability.

  • Virgin Market:

KSA is still considered as a virgin market asthe people and economic conditions of KSA welcome new businesses and companies. (Nimri, 2017)

CORNER BAKERY CAFÉ Harvard Case Solution & Analysis



  • Growth of Food Industry in KSA:

The food industry of Saudi Arabia is expected to grow in the future, it is currently one of the most eye-catching food industries in the world, which expects an increase in sales in the up-coming years.Saudi Arabia is currently importing eighty percent of the requirement of food from all over the world, and solely takes up to fifteen percent of its total import. The government of KSA has taken initiatives in order to over power the hurdles that it is facing in the food industry, and the government itself is encouraging the investment of foreigners in this industry. (Saudi food & Beverage Industry, 2017)................

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