college cantina
DESCRIPTION
College Cantina. Mike, Mario, Lauren, JT. Mission and Competitors. P enetrate the already existing, but limited, Mexican food market, while providing a fun and friendly atmosphere to keep people coming back. Core Competencies and Processes. Market Know-how - PowerPoint PPT PresentationTRANSCRIPT
College Cantina
Mike, Mario, Lauren, JT
Mission and Competitors
• Penetrate the already existing, but limited, Mexican food market, while providing a fun and friendly atmosphere to keep people coming back
Core Competencies and Processes
• Market Know-howo Being a part of the target market
• Facilitieso Location
• Place to hang out and stay for more than a meal• Customer Relationship
o What will differentiate ourselves• Order Fulfillment
o Restaurants need great order fulfillment
SWOT AnalysisStrengths
-Combination of successful markets
-Big target market in this area
Weaknesses-New player in the
market-Seasonal demand
Opportunities--Growth in college areas
Threats-Legal issues with
alcohol-Changes in consumer demand or preferences
Market Description• Limited direct competition• Differentiation from Chipotle and bars
o Atmosphere• Order Winners
Consistent QualityCustomizationLow Cost
Products & Services
Operations Strategy• Assemble to order
o Customization is keyo Make to order/make to stock
• Why?o Heavy customer involvement
• Flexible
Supplier Relationship• Local Farmers
o Qualityo Constant improvement
• Supplier Selectiono Sysco Foods
• Proven
ToolingEqupiment Price · Large grill (62 inch gas grill) $ 2,500
· deep fryer $ 620 · Tortilla press (tortilla steamer) $ 919 · Meat slicer $ 250 · Mixer $ 639 · Hot food table $ 2,500 · Refrigerators/Freezers x2 $ 2,500 · Eating utensils 500 sets (Alibaba) $ 1,500 · Napkins 3000 paper napkins $ 27 · Condiments Mayo/gal Ketchup/gal Mustard/gal $ 85 · Wet towels 1000 $ 17 · Beverage dispenser (8 beverages) $ 4,100 · Coffee Maker $ 270 · Shelves (66 inch 3 tier backlight display) $ 980
Quality Control• Lean System
o Overproductiono Inventory
• Employee Trainingo Non-utilized resources
• Implementation of Inspections
Quality Strategy• 5s Method• Sort• Straighten• Shine• Standardize• Sustain
Supply Chain Inventory Management
Local Farmers
Chaes Food Distributor
Philadelphia Wholesale Produce Market
Rosemont Beverage Center
Southern Wine and Spirits
Intend to maintain as largest food distributor
Meat distributor for when local farmers are not an option
Vegetable distributor when local farmers are not an option
Source of Beer including all domestic and foreign brands
Source of liquors and other hard alcohols
Maintain low cost and show interest in sustenance of area of business
Philadelphia distributor, local business for ease of access
Philadelphia distributor, local business for ease of access
Close proximity to store location in case of sudden spikes in demand
Relatively close to location of business for convenience
Forecasting Demand
Judgment methods • Salesforce estimates• Executive opinion • Market research
Quantitative forecasting• Time-series methods• Weighted moving average
Customer Demand
Product Demand & Inputs
Inputs Quanity (daily) Quantity (weekly)Chicken (lbs) 23 161Steak (lbs) 23 161Pork (lbs) 23 161Shrimp (lbs) 3 23White rice (cups) 35 245Brown rice (cups) 20 140Refried beans (cups) 10 70Black beans 18 123Red beans 18 123Salsa (cups) 20 140Sour cream (cups) 17 118Guacamole (cups) 16 114Lettuce (heads) 18 126Tomatoes 52 364Cheese (lbs) 33 231Peppers 13 88Onions 19 133Cooking oil (liters) 4 25Hard taco shells 25 175Soft taco shells 45 315Soft flour tortilla 150 1050
Pricing Decision• Start-up fixed costs = $265,000
o Cost for capital equipment = $100,000• Including; furniture, equipment, fixtures, and
computers/registers etc.o Administrative expenses = $150,000
• rent, utilities, legal and accounting fees, prepaid insurance, and pre-opening salaries
o Opening inventory = $15,000• Including all of the produce, Mexican food related inputs,
utensils, and napkins etc.
• Annual fixed cost = 75,000 o Including depreciation, insurance, interest expense, rent, and
utilities
• Monthly variable costs = $20,000 (will vary directly with output) o Comprised of the cost for direct materials, staff wages, production supplies, and credit card fees
Conclusion• Great opportunity in this area• Great place for fun and delicious food• Come and join us!