Question

1. Provide a SWOT analysis of Tim Hortons.

2. Provide a financial assessment of Tim Hortons.

Answer 1

Tim Hartron Inc -

It is a Canadian based multinational fast food restaurant chain . It offers food items like coffee, doughnuts etc.In 2014, it was purchased by Burger king , a subsidiary of Restaurant Brand International.

1.SWOT ANALYSIS OF TIM HARTON-

A. Strength -

• It is largest restaurant chain service in Canada.
• It has more than 40% shares in Canada market
• After purchase by Burger king, they are become a third largest operator of fast food restaurant in the world.
• It has more than 4500 restaurant in Canada
• Brand value is higher.
• Cheaper products value   

B. Weaknesses -

• It closed many stores in North eastern USA due to high competition
• Main products sold are of low profit like coffee, doughnuts etc.
• Extremely low presence in foreign markets.

C. Opportunity -

• Diversification of food items than only coffee products
• Growing habits of coffee drinking in major markets like India, China

D. Threats -

• Health consciousness is growing among the people in the world.
• Strong compitition is present in the market like Dunkin donuts
• Increasing cost of labour and production
• Major economic setback due to covid pandemic.

2.Financial assessment of Tim Hartron's Inc.-

Approximat shares in quick service restaurant traffic of canada (2014) – 42%

Total Revenue (2018) – 3292 million U.S.$

System wide sales growth(2018) – 2.4%

System wide sales. (2018) – 6869 million U.S $

Comparable sales (2018 ) – 0.6%

Net restaurant growth( 2018)- – 2.1%

Adjusted EBITDA(2018) -1127 million U.S.$

# Source - annual report of Restaurant Brand International 2019