Question

1. Tim Horton's Case Discussion. Perform a SWOT analysis of Tim Hortons Inc. Does the company have any competences? What are they? Does it lead them to have a sustainable competitive advantage?

2. Conduct a competitive comparison between Tim Hortons Inc. and its biggest competitors in Canada and the US.

3. Based on your analysis of the company's 5 year strategic plan, are there any flaws in the company's direction? Assess its current performance. What recommendations could you make to strengthen its strategy?

Answer 1

Answer: 1

Tim Horton Inc.: It is the Canadian origin multi-national organization, of restaurants in fast food products for the consumer needs in the global market. It is mainly known for its coffee and donut products in the global world.

The SWOT Analysis is the analysis of listing down the strength, weakness, opportunities and threats for the business in the global competitive market. The SWOT for the Tin Horton as below

Strength:

• It is the Canada’s largest quick service restaurant chain.
• It is the well known restaurant business in the Canada and other countries.
• It has well famous products like Coffee and Donuts.
• Strong market share – 27% of dollars and 42% in Canada in traffic of restaurants.
• High iconic brand: I brand in Canada and 40^th rank in global 100 products of the similar segments.
• Strong financial and finance indicators for the organization.
• Well establish and growing organization till now.

Weakness:

• Declining their profits in the franchisee business and store owners.
• US expansion was slow with low market share in US.
• Low sale growth in stores in US market

Opportunities:

• Innovations to be explore for new ways of business in this segment.
• Explore in the segment of full day breakfast and snacks which is the growing demand in recent time by consumers.
• Explore their healthier products for the consumers benefits.

Threats:

• High competition in the market.
• High increase of competition due to increase of high players recently around 12% increase in Canada market.
• Hard time or economic downturn had impacts on the restaurant business.
• High pressure from the investors on the business.

Yes , the company has competences. The core competencies of the Tim Horton Inc are as below

• Operational Efficiency
• Brand Management

Yes, these had leaded them to have a sustainable competitive advantage in the market. Because the operational efficiency and brand management help them to achieve better business results and create a better image of the brand in the market which resulted in sustained competitive advantage in the market.