Question

Describe Value chain for Dominos pizza where to describe Demographic, Geographic, psychographic, behavioral, socialgraphic.

Answer 1

Value Chain

• Inbound Logistics
• Operations
• Outbound Logistics
• Sales & Marketing
• Service

These are primary activities. The support activities are procurement, technology, firm infrastructure, and, human resource management. Margin comes from both primary, and, support activities.

Competitive advantage comes from the activities that are the sub-categories under the primary, and, the support activities:

• Reception, storage, inventory control, transportation planning
• Operations: Printing, Finishing
• Warehousing: Transportation, order fulfilment, warehousing, and, distribution
• Marketing, and, distribution: Advertising, distribution, promotion
• Service: Customer, support

The support activities are General Management, firm infrastructure, finance accounting, and, planning management. For procurement, the activities are printing consumables, and, purchasing power. The organization believes in setting the bar high, and, learning.

In Human Resource Management, the activities are retention, recruitment, research & development, training.

Using the supply chain, wheat, and, other ingredients by commissionaires, the value chain with the above processes is used to minimize costs. The distribution is done through home delivery.

The process includes preparing pizza dough, pack order for Domino's outlets, topping, and, seasoning.

The supply chain is vertically integrated -from Domino's commissionaires to Domino's stores.

The benefits are:

• control on the whole system
• supply chain coordination
• product price

Cities are segmented into class I, class II, small towns, and, metros. The segments are those in the age group, lower middle class, upper middle, and, high class

The age groups are under 13 years, 13-21 years, 21-35 years, 31-50, 50+ years.

Characteristics of the service are:

• Intangibility
• Heterogeneity
• Perishability
• Inseparability

The organization targets, families, teenagers, and, freshmen. The freshmen spend a high percentage on essential items.

• Pricing - Offers, deals, discounted prices
• The Pizza stores cater to all price changes