Conduct a strategic analysis of the California Pizza Kitchen (CPK).
The objective is to complete an external analysis for CPK, using the Porter 5-Forces Model and a PEST Analysis. Ultimately, this analysis will lead to some conclusions about opportunities and threats facing the company. (First part of the SWOT analysis)
Review the following:
SWOT analysis: Lesson. (2009). Retrieved from Marketing Teacher. Web site: http://marketingteacher.com/Lessons/lesson_swot.htm
Determine the scope of your analysis (entire company, selected business division?) and find the appropriate NAICS code.
Collect some data to support an analysis of each of the 4 elements in the PEST analysis. When considering economic data, use the most current data you can find.
Discuss the results of your external analysis, and be sure to label each of the 5 Forces as either high, low or moderate. Taken together, the 5 Forces analysis and the PEST analysis should lead to conclusions about the opportunities and threats facing CPK as revealed by your research.
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The California Kitchen Pizza faces a mixed environment. Even though industry rivalry is high, Porter's five forces analysis shows that the forces are moderate. The political, social, and technological forces are favorable to California Kitchen Pizza. However, the weak economy sprigs the opportunity of cost leadership to California Kitchen Pizza. The company can also increase its revenues and profits by expanding abroad.
I intend to carry out the external forces analysis of California Kitchen Pizza. In this context I intend to create a Porter's Five forces analysis and then conduct an analysis of the political, economic, social, and technological forces. The objective of carrying out these analysis is to ascertain the opportunities and threats in the environment of California Kitchen Pizza.
The NAICS code is 722211 The first force of Porter that we consider is Supplier Power. The California Kitchen Pizza is gourmet pizza restaurant and so every store must have high quality and appropriate supplies in the required quantity. On the other hand California Kitchen Pizza has a strong bargaining power because all its restaurants are owned by California Kitchen Pizza (1). So the supplier power is moderate. The second force we consider is barriers to entry. In specialized gourmet ...
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