Sunday, November 24, 2019

Dominos Pizza Essay Example

Dominos Pizza Essay Example Dominos Pizza Essay Dominos Pizza Essay This price is only high because there are many things that make this price up. The things that Id get, is the right to use the Pizza Hut trademarks, its system for preparing, marketing and selling food products, its information and specifications. Those were only some of them. There is also some allowance, which is included in the total investment cost but isnt part of the initial fee, for management and staff training. The equipment cost is also included in the total price although; it will vary depending on the site. The franchise agreement is a 10-year term with a 5-year break. Pizza Hut gives the most comprehensive training that there is around. They say that they wont just hand over the keys and let me get on with it; they will train me until I feel comfortable and confident. They will give me about 13 weeks of training. This training is before I open up. Within these weeks, Id get experience in existing stores and we also get tuition in the classrooms. As this goes on, I get on going support from a dedicated Franchise Business Manager and their Restaurant Support Centre. Once Id have started up, I wouldnt have to worry about creativity, production or media costs. This means that Id benefit from their national advertising and PR. On top of all of this, Pizza Hut are always developing new products and bringing them to the market. This is a process that involves a huge amount of research; therefore this is another worry that I would have to bother with. So, all Id have to do is take their ideas, put them into practise and then sit back and watch the money roll in. If you think about it, this training course is pretty impressive. Once Id have chosen the site that I decided to build on. Pizza Hut says that they will give me a list of approved designers, contractors and proprietary equipment suppliers. This is so that I can choose from them to construct the unit. Even though Id get to choose whom I want to build the site, the specifications would have already been agreed. As Id go along, Pizza Hut would approve all the drawings and would be attending all the site meetings, just to ensure that the store is completed to their specifications. This would then minimise the risk of any costly mistakes. If I wanted a third party contractor, to provide a complete project management service, Id have to pay extra. Pizza Hut says that they cant tell me what the pay back time is. Conclusion From all the research that I have done, I have decided that I am going to open up a Dominos Pizza franchise. There are many reasons for why I have chosen this franchise. The investment costs are one of the main reasons. Dominos Pizza has an investment cost of 160,000. Pizza Hut has an investment cost between   150,000 and 185,000. Even though, Pizza Hut says that Id have to negotiate with them for the final amount, I still think that after the final amount is agreed, there will still be costs that I will have to pay for. Also the investment cost for Dominos Pizza is including every thing that Id have to pay for, Pizza Huts isnt. Another reason is that Dominos Pizza says that the pay back time is five years. Pizza Hut says that it all depends on the way the manager runs the restaurant, but I think that theyre just avoiding the question. One other main reason is because there are fewer hours with Dominos Pizza. I dont want long hours everyday. Therefore, Dominos Pizza seems like the best option.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.