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Baltzan Case Study

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1. Based on the information I have learned from reading Baltzan Chapter 1 and my coffee shop visit I have decided on a business strategy for building loyalty among my customers.
• I will need to update the coffee shop technology wise. This is going to include getting computers to use for orders/sales, inventory, payroll, and also keeping track of our customers. The new computers will help me keep track of each customer that comes in and also how often, helping us to recognize them. This will let our customers know that we care about them and we realize how much they help our business.
• Since the Broadway Cage has been in the neighborhood the longest I have a first-mover advantage with the local customers. They knew my grandfather and they trust the coffee shop. A new competitive advantage I can gain over my competitors is decreasing the wait time for my customers. Observing the time it takes to make certain drinks and food and then removing the problems to …show more content…

I will visit a few star bucks and see what kind of drinks they offer, what kind of specials they offer for loyal customers. I also will interview lovers of star bucks to find out what they like so much about it, why it’s their favorite to see what I can do to help bring the Broadway Café up to date in the modern world.
2. By using Porter’s Five Forces I can reduce the threat of substitute products by making sure the quality of my drinks and food are top notch. If I lower my switching costs, customers are going to be less likely to switch to a different sandwich if they are not as good quality. Customers place a higher value on fresh food, thus giving the Broadway Café the competitive advantage.
An entry barrier the Broadway Café possesses is that of the Café type environment we offer. The new trend nowadays is healthiness. We can give our customers the Café environment, instead of the fast food feel that other competitors in this market struggle

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