Subway

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Student Name

Analysis of Subway Entrepreneurial Start Up Subway’s Mission and Social Responsibility SWOT Analysis

Strengths Weaknesses Opportunities Threats

Differentiation Strategy First Mover Advantage Controls for Product Safety Subway’s Success

Subway: Entrepreneurship

Founder: Fred DeLuca Seeking way to make money

for college tuition. Dr. Buck, Entrepreneur in

sandwich shops Suggested Fred open

submarine sandwich shop Dr. Peter Buck and Fred

DeLuca initial venture: Pete’s Super Submarines

30,000 Subway’s Today Global Presence

Subway’s Mission & Social Responsibility Mission Statement: “To

provide the tools and knowledge to allow entrepreneurs to compete successfully in the Quick Service Restaurant industry worldwide, by consistently offering value to consumers through providing great tasting food that is good for them and made the way they like it.”

Subway’s Mission & Social Responsibility Social Responsibility:

Recyclable Napkins. Nutrition facts on

napkins. Corporate Philosophy:

“…to offer healthy, convenient fast food and currently features seven sub sandwiches with six grams of fat or less.”

SWOT (Strengths) Number of stores. Located throughout the

world. “Eat Fresh” slogan. Store start up costs are very

low. (Lowest that I could find in any restaurants)

Partnership with the American Heart Association.

Customers are able to watch food preparation.

Inexpensive $5 foot long sub.

Use of celebrities in their commercials.

SWOT (Weaknesses)

Employee turnover high.

Unhappy franchisees. Franchises fighting

over having more control of restaurants.

Meat portions smaller on subs.

Employees lack product knowledge.

SWOT (Opportunities) Continue global

expansion Encourage more dining

in. Agreement with

franchisers about business control.

Drive-thru introduction. Improve employee

satisfaction. Employee training.

SWOT (Threats) Food contamination Competition

(Quiznos), and fast-food restaurants offering subs recently.

Poor economy Unhappy franchisers Unsatisfied

customers.

Subway’s Differentiation Strategy

Eating fresh, healthy foods.

A healthy fast food restaurant.

Low prices for quality foods.

Subway’s First-Mover Advantage

$5 foot long subs.

Product Safety Controls at Subway Preliminary Controls

Gold Standard Policy Food and Product Manufacturing Plant Inspections

On-Line Safe Serv Food Safety Programs Implemented with all franchisees. Training for all crew members..

Operation Control Policies

Product Safety Controls at Subway Screening Controls

Proper hand washing Glove use Product Rotation Food prepared fresh daily Monitor temperatures for refrigeration and cooking.

Product Safety Controls at Subway Post Action Controls

Local regulatory food service inspections follow up.

Re-certifications on-line at the University of Subway

Franchisor inspections, communication, and follow up.

Subway’s Success! Private company – No stock is traded on a

public stock exchange All Subway’s are franchised. Rated #1 Franchise by Entrepreneur

Magazine Owned by Doctor’s Associates – Dr. Buck

and Fred DeLuca’s ownership company. Goal: Ranked number ONE restaurant by

consumers.

Any Questions?