Gavin Garry
OS 432 Section 1
Firm Level Analysis Report: Applebee’s
Performance Evaluation: When Applebee’s started in Georgia in 1980 it quickly became a big competitor in the casual dining business. As it stands today, Applebee’s is the largest casual dining establishment by sales, and with over 2,000 stores in 49 states, Puerto Rico, Dominican Republic and sixteen other different countries. Through the course of this analysis several different factors will be identified on what makes Applebee’s so successful. This will include what separates Applebee’s from its competition and makes it a market leader, their business strategies, corporate strategies, their resources and capabilities and what Applebee’s might be able to do better as a company.
Business Strategy: Applebee’s had started its company with
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However, there are a couple of things the company could do to increase their performance. The first of which would be to try and get back to their neighborhood restaurant feel that they originally positioned themselves as. This could boost local sales by making their restaurants more competitive with ‘mom and pop’ restaurants as well as being competitive with the larger scale chain places. The type of customer that truly values local restaurants is a very loyal type of customer which Applebee’s has seen to be their most profitable customer segment. Another recommendation that can be made for Applebee’s is to stick to their simple bar and grill menu that they do best. By branching out into other food dishes it complicates their supply chain that they are looking to streamline. Furthermore, the restaurant industry itself is so saturated there is likely to be competition in any other type of food dish it could offer. The company does things extremely well, but by making these changes it could potentially do even