*Please look at the attached file as an example for my assignment, I want simple words, please! Instruction: I would like you to help only the sections I listed here: 1. Perceptual Maps, 2. Firm Valuation, 3. Recommendations (Year 1, Year 2, Year 3), 4. EPS-EBIT Analysis, 5. Projected Financial Statements, 6. Projected Financial Ratios, 7. Executive Summary, 8. International Expansion, 9. Content Library, 10. Service Diversification Strengths-Weaknesses-Opportunities-Threats (SWOT) Matrix Strengths 1. Krispy Kreme has a deal to sell different kinds of doughnuts and coffee at Wal-Mart and sell house blends coffee in Sam’s Club stores across the Southeast. 2. The company reported revenues of $518.7 million for the fiscal year ended January 2016 (fiscal year 2016), an increase of 5.8% over fiscal year 2015. In fiscal year 2016, the company’s operating margin was 10%, compared to an operating margin of 9.8% in fiscal year 2015. In fiscal year 2016, the company recorded a net margin of 6.2%, compared to a net margin of 6.1% in fiscal year 2015. 3. Krispy Kreme sells 16 or more varieties of doughnuts, which include various packaged and unpackaged doughnuts. The doughnuts are cooked in 100 percent vegetable oil. Krispy Kreme has a high capability to make about 5 million doughnuts everyday. 4. Krispy Kreme also offers beverages such as coffee roasts, espresso drinks and chillers. In February 2017, the company introduced a new, freshly brewed coffee for the perfect complement for its Original Glazed doughnuts. 5. Krispy Kreme launched two new Halloween doughnuts, an orange-flavored pumpkin and an apple-flavored Frankenstein’s monster covered with cookie crumb with a limited time offered in October 2018. 6. Krispy Kreme Doughnuts has 9.45% change latest vs. preceding. While Dunkin’ Donuts has 5.28% change and Starbucks Coffee has 4.38% according to the growth in total number of U.S. units. 7. Open late hours to cater to travelers. The locations will be open for 24 hours a day in Time Square, New York City. Krispy Kreme is planning to expand more locations in New York City in early 2020. 8. Krispy Kreme offers “hot light” app. The app tells users where Krispy Kreme’s hot light is on, and even alerts customers when a hot light is on in a location near them. 9. Offer fundraising opportunities to groups with 50%-60% profit margin. 10. Corporate web site is navigable and well designed and offers many items for sale. Weaknesses 1. Krispy Kreme stores were closed in many markets because Krispy Kreme had opened too quickly too many stores and overreached by expanding into grocery and convenience stores. 2. Krispy Kreme’s sales peaked in 2005 with $1.07 billion across 344 U.S. stores. By the time it had scaled down to 222 U.S. stores in 2009, sales had dropped to $468 million. 3. Advertising is not aggressive enough to appeal to customers. 4. The doughnuts have the high of calories and fat, such as Original Glazed doughnuts with 200 calories. 5. Krispy Kreme has limited menu selections. 6. Krispy Kreme does not offer breakfast menu items. 7. There were only 316 Krispy Kreme stores compared to 7,000 Dunkin’ Donuts and 13,930 Starbucks in 2017. 8. International preferences with different items and different doughnut flavors. 9. Low income in comparing with rivals. 10. Krispy Kreme had different slogans over the years. This does not make Krispy Kreme rare. Opportunities 1. Open factory stores where customers can see the doughnuts being made. Customer can always buy the freshest doughnuts possible. 2. Sell Gluten-free doughnuts and new flavors overtime. 3. Dunkin’ Donuts does not have hot doughnuts. 4. Krispy Kreme should open in-store locations in airports, bookstores, and other retail outlets. Krispy Kreme could develop online ordering and delivery apps for a better convenience to attract more customers. 5. Merging with other businesses. 6. Offer healthier, fresher, and breakfast options. 7. Market expansion, especially in Asia countries and the Middle East. 8. New online advertising & marketing channels. 9. Starbucks lacks a diversified and distinctive pastry line. 10. Krispy Kreme can use artificial intelligence to better predict on what the customers want. Threats 1. Consumers are now more aware of health issues; they want to eat healthier. 2. Starbucks has approximately 25 times the number of stores universal that Krispy Kreme Donut has. 3. Strong competition with Starbucks, Tim Hortons, and Dunkin Donuts. 4. Development of organic markets. 5. Global presence of the competitors. 6. Competition providing more options and menu to consumers including breakfast items. 7. Government regulation of foods. 8. Gasoline prices are high so that people do not want to drive to the doughnut shop. 9. Shareholders are likely to sell their share due to lack of return or dividend compared to their competitors. 10. Krispy Kreme should be aware of substitute products from many different places in the market place.
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