Porcini’s Pronto Harvard Case Solution & Analysis

Porcini’s Pronto: “Great Italian Cuisine without the wait!”

Background:

Porcini Inc. started its family business back in 1969 in the city of Boston. The company is based on providing good food along with best service in terms of quality. As of now, the company arrives at the saturation stage where further growth is not possible.

In order to handle this situation, the company needs to build some new restaurants rapidly in order to establish itself as a powerful brand.

Although, the company has strong local brand image but the company further needs to expand and build its brand image internationally. The company always differentiates itself with its superior quality of goods and services.

Problem Statement:

Porcini Inc. is a company serving Italian food to the customers. The company is stuck with market saturation and low growth rate. The company is looking for expanding its business in the international market but the restaurant is limited in terms of access to capital. In addition to that, the company does not possess brand recognition as compared to the other restaurants that are in the Porcini’s competition. The company needs to meet its hurdle rate of 6% with the help of new concept known as Porcini’s Pronto.

Analysis:

High Quality products and services:

Porcini's could keep up its high service and product quality basically on the grounds that it was a family-possessed restaurant network, which gave extensive measure of control of its sheltered approach regarding organization’s expansion choices. On the other hand, the management was additionally seen as go-abate and contrasting with its rivals like Olive Garden and other full-service chain restaurants like Denny's, Porcini's brand recognition was much lower. The U.S restaurant’s industry had three real fragments: full-service chain restaurants, fast food and single location full-service restaurants.

Porcini's senior administration concocted a Pronto idea, which could conceivably open up another range which nobody has entered yet. Key gimmicks of the Pronto idea included areas at inter-state roadway passage ways, Porcini's quality sustenance and services with quicker turnover of tables, and restricted beer and wine selection. Principle contenders would be fast food chain restaurants which has been working along the inter-state systems for quite some time and particularly focusing for voyagers, and likewise full-service chain restaurants like Denny's. It would be basic to think of a reasonable differentiator to its rivals, on both quality as well as service, and position itself against them.

Chef Molise was taking the creation of an exceptional Pronto menu passionately; which would be less broad with marginally lower cost than Porcini's customary menu. Likewise, Halloran who was Porcini's HR chief; placed critical measure of exertion onto enlisting the right individuals and structure a "Pathfinder Team" with 3 or 4 exceptional Porcini's representatives at every new Pronto's area.

One full week of preparation regarding the quick, quality administration strategy and its execution components would be given. In relation to the employing side, it was a genuine one. Pronto job petitioners would need to pass a few screens which incorporate meetings with HR, then Pathfinder Team and the supervisor. Furthermore, an identity appraisal test was given.

Customer Questionnaire System:

For Porcini Pronto, the company has to make a customized menu which should be a stripped down form of the company’s traditional menu. Now the question comes why people would come to a restaurant with less menu choices. In order to solve this, the company has made a team with its existing employees. Along with that team the company makes a customer questionnaire system to collect information from the customers. The basic purpose of the questionnaire is to find out the satisfaction level of employees.

In addition to that, the visitors who fill these questionnaires will offer a discount card that will encourage visitors to come back. The idea of questionnaire is good but the main focus of the instrument is only based on food and the quality of service such as courtesy, quality of a meal, restaurant cleanliness and efficiency of a server. There are no such things included like food servings, pay bills and time for taking orders. Moreover, the questionnaire should include questions related to the ranking of different factors like time, place, food and services. The Porcini needs response from the customers to get a proper focus on each factor that has to be analyzed and implemented. Moreover, the questionnaire should also include a set of internal metrics that identify the internal operations of a business.

Sustainable Competitive Advantage:

Sustainable competitive advantage can be defined as a long-term competitive advantage that cannot be easily imitated or copied by the competitors within the industry. A company can create a sustainable competitive advantage by executing value creation strategies, which has not been implemented by any other competitor yet. In order to achieve sustainable competitive advantage, the company needs to devise strategies that are valuable, rare and non-sustainable.(Barney, 1991)

For Porcini Pronto, the company can achieve a sustainable competitive advantage by achieving brand recognition as this will be a competitive factor for the company. As of now, the company is at disadvantage in terms of brand recognition specifically, with out-of-region travelers. Competitors of the company like Deny enjoy 97% of the brand recognition all around the world....................

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