E.D. PROJECT

TOPIC: FRACHISE OF DOMINO’S PIZZA, INC.

Submitted in partial fulfilment of the requirement for the award of degree of Bachelor of Business Administration of Christ University, Bangalore-560029

Under The Guidance of Professor :- Mrs. Bhama T.

DEPARTMENT OF MANAGEMENT STUDIES

CHRIST UNIVERSITY, BANGALORE

2010 – 2011

Compiled By:-

Ms. Christie Philip: 0911645

Ms. Soma Dewangan: 0911661

GUIDE CERTIFICATE

This is to certify that Christie Philip (0911645) and Soma Dewangan (0911661), student of

BBA - B , IVth Semester at Christ University, Bangalore have completed their project on the

topic titled “FRANCHISE OF DOMINO’S PIZZA, INC.” under my guidance and

supervision.

This has not previously formed the basis of the award of any degree, diploma or other similar title of recognition.

Place: Bengaluru

Date: 02nd February, 2011

Christ University, Bengaluru

Ms. Bhama T

Class Coordinator, 4th BBA –B

DEPARTMENT OF MANAGEMENT STUDIES

CHRIST UNIVERSITY, BANGALORE

2010 – 2011

GUIDE CERTIFICATE

This is to certify that Christie Philip (0911645) and Soma Dewangan (0911661), student of

BBA - B , IVth Semester at Christ University, Bangalore have completed their project on the

topic titled “FRANCHISE OF DOMINO’S PIZZA, INC.” under my guidance and

supervision.

This has not previously formed the basis of the award of any degree, diploma or other similar title of recognition.

Place: Bengaluru

Date: 02nd February, 2011

Christ University, Bengaluru

Dr. Jain Matthew

Head of Department

DEPARTMENT OF MANAGEMENT STUDIES

CHRIST UNIVERSITY, BANGALORE

2010 – 2011

TABLE OF CONTENTS

Executive Summary

CHAPTER 1 INTRODUCTION:

1.1: Entrepreneur’s profile

1.2:Company Profile

1.3:Industry Profile

1.4:About SSI/ MSI, license required

1.5:Purpose of selecting

1.6:Approximate investment

CHAPTER 2 FEASIBILITY STUDY –

2.1:Competitive analysis/SWOT

2.2:Questionnaire ( Market, product, Technical feasibility)

2.3:Data Analysis

2.4:Interpretation

CHAPTER 3 MARKETING

4 P’s / 7 P’s

Advertisement Copy – 2 print Ads

STP

CHAPTER 4 HUMAN RESOURCE

- Organization structure- Qualification and conditions required for

manpower training- Duties and responsibilities- Working Hours- Leave policy- Loan grant policy- Retirement policy- Recruitment policy

Salary Structure

CHAPTER 5 FINANCE

Investment Break up

Projected Balance sheet for three years

Projected P&L A/C

Income statements

Break even analysis.

Calculation of fixed assets with depreciation

Loan Repayment

Cash Flow statement

CHAPTER 6 PRODUCTION AND OPERATION

Location analysis

Layout Design

Quality testing Procedure (ISO certificate, dummy copy, GAP Model)

Machinery

Process Flow chart (blue – print)

CHAPTER 7 Conclusion

References

Annexure

ACKNOWLEDGEMENT

DECLARATION

We therefore declare that the Entrepreneurship Development Project is a record of a research carried out by us under the guidance of Mr. Roy Mathew, Class Co-ordinator of IVth Semester BBA ‘B’, Department of Management Studies, Christ University, Bangalore.

We further declare that the project done by us is purely original and has not been previously formed on the basis of the award of any degree, diploma or other similar title of recognition.

This is a record of bona fide and original work submitted by us in partial fulfilment of

the requirements for the award of degree of Bachelor of Business Administration.

Place: - Christ University, Bangalore

Date: -

Project compiled and completed by:-

KUMARI APEKSHA (1011552)

MAYALEEN THAKURIA (1011553)

We would like to express our sincere gratitude to all those who have been instrumental in the preparation of our Entrepreneurship Development Project.

I would also like to extend our gratitude and heartfelt thanks to Mr. Jain Mathew, our Head of the Department and Mrs. Jyothi Kumar, our Academic Coordinator for giving me this opportunity to carry out the project. Our project would not have been a complete one without their continued support and keen guidance.

We would like to thank Dr. (Fr). Thomas. C. Mathew, Vice Chancellor and Dr. Jain

Mathew, HOD, for their encouragement

At last we would also like to thank our parents and friends for their moral support.

EXECUTIVE SUMMARY

Domino’s Pizza Inc, is intending to commence its business in the month of March, 2011.

The unit is being endorsed by Christie Philip and Soma Dewangan who belong to well equipped and educated families. We are forecasting to emerge a small scale business.We are developing a partnership contract where we co-labour to achieve and share profits or losses. Forming business partnerships gives the ability to expand the business with innovation and increased productivity. We are franchising the business which involves licensing of trademarks and methods of doing business, for a Chain store, that is retail outlets which share a brand and central management.

We will be establishing our outlet in Malviya Road located in Raipur, Chhattisgarh, 492001. Malviya road is known to be a shopping hub varying from garment stores, accessories, jewellery shops, to shopping complexes and restaurants.But till date there hasn’t been any fast food restaurant located in that area, such as Domino’s, Mc Donald’s, KFC, Taco Bell, Papa John’s, Subway, etc. And there has been know-how of only 1 Domino’s restaurant’s which is situated in the outskirts of Raipur.

Malviya Road is recognized to be the central city of Raipur. And as it nearby to the residential area, it makes it convenient for the customers to be partakers and to indulge themselves and experience the benefits it has to offer.In the initial stages, we are planning to manufacture at a production capacity of 50%.In later stages we may employ higher capacities of 60% to 70% depending upon the future market demand and requirements.

Domino's Pizza has remained focused on delivering great tasting Pizzas and sides, superior quality, exceptional customer service and value for money offerings. We have endeavoured to establish a reputation for being a home delivery specialist capable of delivering pizzas within 30 minutes or else FREE to a community of loyal consumers.

We are committed to bringing fun, happiness and convenience to lives of our consumers by delivering delicious pizzas to their doorstep and our efforts are aimed at fulfilling this commitment towards a large and ever-growing customer base. Domino's constantly strives to develop products that suit the tastes of our consumers and hence delighting them. Domino's believes strongly in the strategy of 'Think global and act local'. Thus, time and again we have been innovating with delicious new products such as crusts, toppings and flavours suitable to the taste buds of Indian Consumers.

Our Brand Positioning of “Khushiyon ki Home Delivery” (Happiness Home delivered) is the emotional benefit we offer to our consumers. All our efforts, whether it is a new innovative and delicious product, offering consumers value for money deals, great service, country wide presence or delivery in 30 minutes or free are all oriented towards delivering happiness to the homes of our consumers.

INTRODUCTION

Domino's Pizza, Inc. is an international pizza delivery corporation headquartered in Ann Arbor, Michigan, United States. Founded in 1960, Domino's is the second-largest pizza chain in the United States. Domino's currently has nearly 9,000 corporate and franchised stores in 60 international markets and all 50 U.S. states. Domino's Pizza was sold to Bain Capital in 1998 and went public in 2004. Domino's menu features pizza, pasta, oven-baked sandwiches, wings, boneless chicken, salads, breadsticks, cheese sticks, and a variety of dessert items.

History Early years

In 1960, Tom Monaghan and his brother, James, purchased DomiNick's, a small pizza store in Ypsilanti, Michigan. The deal was secured by a US$75 down payment and the brothers borrowed $500 to pay for the store. Eight months later, James traded his half of the business to Tom for a used Volkswagen Beetle.

As sole owner of the company, Tom Monaghan renamed the business Domino's Pizza, Inc. in 1965. In 1967, the first Domino's Pizza franchise store opened in Ypsilanti. The company logo was originally planned to add a new dot with the addition of every new store, but this idea quickly faded as Domino's experienced rapid growth. By 1978, the franchise opened its 200th store.

In 1975, Domino's faced a lawsuit by Amstar Corporation, maker of Domino Sugar, alleging trademark infringement and unfair competition. On May 2, 1980, a federal appeals court found in favor of Domino's Pizza.

International expansion

On May 12, 1983, Domino's opened its first international store, in Winnipeg, Manitoba, Canada. That same year, Domino's opened its 1,000th store overall, and by 1995 Domino's had 1,000 international locations. In 1997, Domino's opened its 1,500th international location, opening seven stores in one day across five continents.

30-minute guarantee

A car with a Domino's stick-on cone on roof

Starting in 1973, Domino's Pizza had a guarantee that customers would receive their pizzas within 30 minutes of placing an order, or they would receive the pizzas free. The guarantee was reduced to $3 off in the mid 1980s. In 1992, the company settled a lawsuit brought by the family of an Indiana woman who had been killed by a Domino's delivery driver, paying the family $2.8 million. In 1993, Domino's settled another lawsuit, this one brought by a woman who was injured when a Domino's delivery driver ran a red light and collided with her vehicle. The woman was paid nearly $80 million. The guarantee was dropped that same year because of the "public perception of reckless driving and irresponsibility", according to Monaghan.

In December 2007, Domino's introduced a new slogan, "You Got 30 Minutes", alluding to the earlier pledge but stopping short of promising delivery in a half hour.

International operations

Domino's Pizza is located in more than 60 countries. The rights to own, operate and franchise branches of the chain in Australia, New Zealand, France, Belgium, the Netherlands and the Principality of Monaco are currently owned by Domino's Pizza Enterprises, having been sold off by the parent company between 1993 and 2007. The master franchises for the UK and Ireland were purchased by Domino's Pizza Group, now publicly traded as Domino's Pizza UK & IRL, in 1993.

Ireland Israel Jamaica Japan Jordan Kuwait

Australia Bahamas Belgium

Canada Cayman Islands People's Republic of China Chile Colombia Costa Rica Cyprus Denmark Dominican Republic Egypt El Salvador (soon to be re-entering) France Germany (soon to be re-entering) Greece Guam India

DOMINO’S IN INDIA

Jubilant Food Works Limited, a Jubilant Bhartia Group Company holds the Master Franchisee Rights for Domino's Pizza for India, Nepal, Sri Lanka and Bangladesh. The company has been listed on the Indian bourses recently. Prior to Sep 24, 2009, the company was known as Domino's Pizza India Limited and underwent a name change, rest of the terms remaining the same. The promoters of the company are Mr. Shyam S Bhartia, Mr. Hari S Bhartia and Jubilant Enpro Private Ltd. Domino's Pizza opened its first store in India in January 1996, at New Delhi. Today Domino's Pizza India has grown into a countrywide network of more than 300 stores with a team of over 9,000 people. According to the India Retail Report 2009, we were the largest Pizza chain in India and the fastest growing multinational fast food chain between 2006-2007 and 2008-2009 in terms of number of stores.

Over the period since 1996, Domino's Pizza India has remained focused on delivering great tasting Pizzas and sides, superior quality, exceptional customer service and value for money offerings. We have endeavored to establish a reputation for being a home delivery specialist capable of delivering pizzas within 30 minutes or else FREE to a community of loyal consumers from all our stores around the country.

Domino's vision is focused on " Exceptional people on a mission to be the best pizza delivery company in the world! ". We are committed to bringing fun, happiness and convenience to lives of our consumers by delivering delicious pizzas to their doorstep and our efforts are aimed at fulfilling this commitment towards a large and ever-growing customer base.

Domino's constantly strives to develop products that suit the tastes of our consumers and hence delighting them. Domino's believes strongly in the strategy of 'Think global and act local'. Thus, time and again we have been innovating with delicious new products such as crusts, toppings and flavours suitable to the taste buds of Indian Consumers. Further providing value for money and affordable products to our consumers has been an important part of our efforts. Our initiatives such as Fun Meal and Pizza Mania have been extremely popular with consumers looking for an affordable and value for money meal option.

Our Brand Positioning of Khushiyon ki Home Delivery (Happiness Home delivered) is the emotional benefit we offer to our consumers. All our efforts, whether it is a new innovative and delicious product, offering consumers value for money deals, great service, country wide presence or delivery in 30 minutes or free are all oriented towards delivering happiness to the homes of our consumers.

INNOVATION AT DOMINO'S PIZZA FRANCHISE

Domino's Pizza, , has launched an innovative new "Real Time" monitoring system, to measure service performance in order to get pizza "out-the-door" in the minimum amount of time. This industry leading initiative is set to boost customer service levels at Domino's nationwide.

The unique "Real Time" system measures and drives store performance by monitoring the time it takes from when an order is placed by the customer until the time the pizza leaves the store. The groundbreaking data incorporates national average "out-the-door" times for the whole of Domino's UK and Ireland business, as well as for individual stores and is updated every 20 seconds. This information can also highlight changing market onditions, such as staff shortages, and facilitate a speedy store response. Information can be viewed by in-store team members on screens, as well as by individual franchisees, and the corporate management team via an internal system or remotely via the internet.

Since its initial launch "Real Time" has had a significant impact on in-store operations. Not only has it improved staff performance, but it has also had a direct impact on customer satisfaction and sales, with impressive measurable results: 

33% increase in performance across the board following the launch In Q4 2006, customer service was the best on record, despite it being an extremely

busy quarter, system sales being up 13.1% from the same six-week period in 2005. The only differentiator between the two sales periods in terms of operations was the introduction of Real Time

Increased motivation and competition in-store and across the whole Domino's system. This is illustrated by the increase in the number of stores in the Domino's Elite Club, membership of which is awarded to stores that demonstrate exceptional customer service.

Store count in this group went from 40 to 90 in the space of just two weeks, following the launch of Real Time - an increase of 125%

Patricia Thomas, Domino's Pizza Operations Director, commented, "When our customers order, they're hungry and at Domino's we are committed to delivering great tasting, hot pizza in the quickest time possible to ensure maximum customer satisfaction. We recognised that driving down "out-the-door" times had a direct impact on customer satisfaction and sales, with stores clocking up the lowest "out-the-door" times hitting the highest like-for-like sales growth in 2006.

These stores also had the fastest level of repeat ordering."

Patricia continued, "Real Time" is effective as it concentrates on ensuring our in-store operations are as efficient as possible to get pizza to the customer as quickly as we can. This removes any pressure from our drivers to make deliveries faster which could impact their safety and that of the communities we serve. Not only that, but the competitive spirit that using "Real Time" has encouraged is so significant, that we are already approaching the customer service goals that we set ourselves for 2010."

Domino's has been at the forefront of home-delivered pizza innovation since it arrived in the UK over 20 years ago and was first to introduce a wealth of inventions from HeatWaveT technology which minimises heat loss during delivery to e-commerce. This latest technological innovation, "Real Time"', continues this market-leading tradition.

VISION, MISSION, VALUES

Vision

Number one in pizza Number one in people

Mission

Sell more pizza, have more fun

Values

Treat people as you’d like to be treated. Produce the best for less. Measure, manage and share what’s important. Think big and grow. Incentivise what you want to change. Set the bar high, train, and never stop learning. Promote from within.

BUSINESS PARTNERS

At Domino’s Pizza, we understand the importance of successful relationships with our business partners. Across all markets, our dedicated team members are constantly striving to achieve best practice operations, while sourcing high-quality ingredients, to ensure our customers enjoy only the freshest products.

FRANCHISE

Domino's Pizza Enterprises Limited ("Domino's") is the largest quick service pizza franchise in Australia with more Network Stores and Network Sales than any competitor. It is also the largest franchisee for the Domino's Pizza brand in the world outside of the United States.

Today we have more than 750 stores across Australia, New Zealand, France, Belgium and The Netherlands employing approximately 16,000 people and making more than 60 million pizzas a year.

The main objective is to ensure that every franchisee in the network is successful. The following attributes are looked upon in potential franchisees:

A passion, commitment and drive to succeed Strong leadership skills Good people skills Good administration skills Entrepreneurial flair An ability to have fun and work in a young, energetic and vibrant organisation

PARTNERS FOUNDATION

The Partners Foundation is a Domino's Pizza internal non-profit organisation established to assist team members in time of special need or tragedy as a result of natural disasters, unexpected afflictions, on-the-job accidents and other emergencies. Since its inception, the Partners Foundation has helped many Domino's Pizza team members and their families with financial, emotional, intermediary and advisory assistance throughout Australia.

In the Community

Domino’s is proud to support communities across Australia and New Zealand everyday of the year.

Locally owned and operated, Domino’s strongly believes in giving back to Australian and New Zealand communities and lending a helping hand where we can.While pizza is our first passion, helping communities in difficult times or times when they just need our support is at the core of our beliefs.

Our big heart is there in times of natural disasters – providing food for communities who are facing significant hardship, when local community groups, sporting teams or schools needs an extra hand to raise funds for a cause or when our team members and their families are faced with their own challenges.

In the past two years Domino’s has donated more than 15,000 pizzas and more than $420,000 back into Australian and New Zealand local communities through doughraisers, pizza and monetary donations.

Dough raisers

Dough raisers aim to support local communities by raising funds through the sale of pizza products on a particular day for a chosen charity, school, sporting or community group.

Dough raisers are ideal for local community groups, charities, sporting clubs and schools as they raise much needed dough, at no expense to the organisation and are a great way of promoting a cause to the local community.

Every Domino’s store is unique but here’s an example of how doughraisers work:

Once a stores has agreed to run a doughriaser for your group or organisation, one day of the week, usually a Monday or a Wednesday night, is chosen as the doughraiser day

On this day a pre-determined amount, usually $1, from every pizza sold goes directly to the chosen group or organisation.

If you’re involved with any organisation, be it a sporting club, charity, or school, and are looking for fundraising support, please contact your local Domino’s store on 1300 DOMINOS to find out more information about doughraisers.

Natural disaster food relief

Domino’s is committed to providing food for communities who have experienced natural disasters and have limited access to food. Where possible, our nearest functional Domino’s stores will fire up the ovens and call in the troops to make sure communities who have been hit hard don’t need to think about what’s to eat.

On many occasions our team members have been out to areas hit by natural disasters within 24 hours to delivery free pizzas to effected people.

With more than 530 stores throughout Australia and New Zealand, there is always a Domino’s store close by able to help a region in their time of need through the donation of pizzas to feed the local residents, emergency workers and volunteers.

Over the past few years Domino’s has been able to offer disaster relief to the victims of Cyclone Larry, the Brisbane storms in November 2008 and the Victoria Bushfires in early 2009.

Local sponsorship

Our stores across Australia and New Zealand are either locally owned or operated by franchisees and dedicated team members who live within the local community.

This means we have a great number local sponsorships with sporting teams, clubs or groups running throughout the year.

From ‘Man of the Match’ sports awards, to financial sponsorships our stores and team members are keen to help members of their community.

If you have a team, club or group which could benefit from a Domino’s local sponsorship please complete the application on the ‘sponsorships’ page of our website.

Our support

In every market across Australia and New Zealand our team members support worthwhile charities and community groups, below are just a few of the groups we have supported recently.

Trends

Health concerns

Some of the large fast food chains are beginning to incorporate healthier alternatives in their menu, e.g., white meat, snack wraps, salads, and fresh fruit. However, some people see these moves as a tokenistic and commercial measure, rather than an appropriate reaction to ethical concerns about the world ecology and people's health.

Consumer appeal

Fast food outlets have become popular with consumers for several reasons. One is that through economies of scale in purchasing and producing food, these companies can deliver food to consumers at a very low cost. In addition, although some people dislike fast food for its predictability, it can be reassuring to a hungry person in a hurry or far from home.

In other parts of the world, American and American-style fast food outlets have been popular for their quality, customer service, and novelty, even though they are often the targets of popular anger towards American foreign policy or globalization more generally.

Many consumers nonetheless see them as symbols of the wealth, progress, and well-ordered openness of Western society and therefore become trendy attractions in many cities around the world, particularly among younger people with more varied tastes.

Technology

In order to make speedy service possible and to ensure accuracy and security, many fast food restaurants have incorporated hospitality point of sale systems.

This makes it possible for kitchen crew people to view orders placed at the front counter or drive through in real time. Wireless systems allow orders placed at drive through speakers to be taken by cashiers and cooks.

Drive through and walk through configurations will allow orders to be taken at one register and paid at another. Modern point of sale systems can operate on computer networks using a variety of software programs. Sales records can be generated and remote access to computer reports can be given to corporate offices, managers, troubleshooters, and other authorized personnel.

CHAPTER 1: INTRODUCTION

PROFILE OF ENTREPRENEURS:

NAME: Ms. Soma Dewangan

EDUCATION: BBA at Christ University

AGE: 19 years

GENDER: female

FATHER’S NAME: Mr. Hemant Dewangan

NAME: Ms. Christie Philip

EDUCATION: BBA at Christ University

AGE: 19 years

GENDER: female

FATHER’S NAME: Mr. Philip Abraham

Both the Entrepreneurs belong to well educated business families, from whom they gained explicit business knowledge and experience during the education period.

NATURE OF BUSINESS:

We are franchising the business which involves licensing of trademarks and methods of doing business, for a Chain store, that is retail outlets which share a brand and central management.nefits of Franchising On the whole, Franchising's primary benefit is risk minimization. And starting a new business is risky. Most studies show that over 90 percent fail within three years. The primary reason that the failure rate is so high is because the owners have to go through the learning curve of operating that specific type business. Franchising reduces that curve substantially.

Another reason we buy a franchise is that a franchise investment can be thoroughly researched before any significant expenditures are made. Existing franchisees offer a wealth of information about the business so that new franchisees can try the business on before they buy to make sure it's a good fit for them.

Franchisers sell a defined, proven business format or method of operation, offering a product or service that has sold successfully.

An independent business is based on both an untried idea and operation.

The experience of the franchiser's management team increases the potential for success. This experience is often conveyed through formal instruction and on-the-job training.

Franchisees can often buy lower-cost goods and supplies through the franchiser, resulting from the group purchasing power of all the franchises.

Established franchisers offer national or regional name recognition. While this may not be true with a new franchiser, the benefit of starting with one is the potential to grow as its business and name recognition grow.

Franchising provides a uniform system of operation, so that consumers receive uniform quality, efficiently and cost-effectively. A uniform system brings with it the advantages of mass purchasing power, brand identification, and customer loyalty, capitalizing on the proven format.

A franchiser also provides management assistance, including accounting procedures, personnel and facility management. An individual with experience in these areas may not be familiar with how to apply them in a new business. The franchiser helps a franchisee overcome this lack of experience.

Franchisors help franchisees develop a business plan. Many elements of the plan are standard operating procedures established by the franchisor. The most difficult part of a new business is its start-up, since even experienced managers lack the knowledge to set up a new business.

One of the biggest benefits to franchising is marketing. The franchiser can prepare and pay for the development of professional advertising campaigns. Regional or national marketing done by the franchiser benefits all franchisees. In addition, the franchiser can provide advice about how to develop effective marketing programs for a local area through a cooperative marketing fund, to which the franchisees contribute a percentage of their gross income.

It's possible to receive assistance in financing a new franchise through the franchiser, who often makes arrangements with a lending institution to lend money to a franchisee. The franchisee must still accept responsibility for the loan, but the franchiser's involvement usually increases the likelihood that a loan will be approved.

A franchiser also provides training for the franchisee. This is especially important if the concept is complex. The best training combines classroom or one-on-one training at the franchiser's facility with field training at the franchisee's place of business.

Finally, franchising has found a solid economic niche that caters to specialized needs. Many American consumers no longer want a muffler installed by a service station, a hamburger from a diner, a pizza from someone who won't deliver it within 30 minutes or their hair cut by a local barber. Specialists, it seems, "do it better," and the franchise industry is only too willing help.

Hence we adopt Franchise.

SIZE OF UNIT:

We are forecasting to emerge a small scale business.

LEGAL OWNERSHIP PATTERN:

We are developing a partnership contract where we co-labor to achieve and share profits or losses.Forming business partnerships gives the ability to expand the business with innovation and increased productivity.

A Partnership Agreement is an effective method of helping each of the partners to:

• Agree to share a vision to collaborate together• Set up mutually acceptable goals• Specify the basis on which to begin working together• Make sure that each of the partners are clear about what needs to be achieved• Assess the effectiveness of the agreement• Bring out issues related to accountability and responsibility• Lay a strong foundation that can sail through difficulties and testing times ahead

ORGANISATION STRUCTURE:

Another strategy of Domino’s is currently working with is to improve operating efficiencies. This in turn can directly impact the operating profit of the firm. In 1989, Domino’s centered on elimination of overhead costs and increased efficiency.

This reorganization was in the U.S. operations and included a revision of Domino’s crew training programs and operating standards. They emphasized customer service, cleaner restaurants, faster and friendlier service, and continued high-quality products.

So when David Brandon was named Domino’s CEO in 1999, he went on a crusade to reduce

Domino’s 158% employee turnover rate. Brandon’s crusade has been a success. These days,

Domino’s employee turnover rate hovers around an impressive 107%.

In reducing its employee turnover rate, Domino’s choose not to go the conventional path of

paying workers more money.

As Brandon put it, “If we had increased everybody’s pay 20%, could have moved the needle

a little bit to buy a little loyalty? Maybe, but that’s not a long-term solution.” He went on to

say, “… you can’t overcome a bad culture by paying people a few bucks more.”

Instead, Domino's chose to focus on retaining store managers more than store employees to

reduce staff turnover.

It is Domino's experience when store managers churn at high rates, it has a tremendous

negative effect with store-level employee turnover rates.

So the Domino’s Theory to Keeping Employees is about ensuring store managers are (a) of

better quality, (b) have better tools, and (c) are better incentivized.

(a) Hire Better Quality Store Managers

According to research commissioned by Dominos, the critical success factor of a Domino’s

store is not location, location, location ... but rather ... store manager selection, selection,

selection. One way Domino's selects better store managers is to have each candidate undergo

an online test to measure their financial acumen and people management style.

(b) Give Store Managers Better Tools

Each Domino’s store has an in-store computerized tracking program which details store sales

figures down to the employee level with stats like average order size per employee and the

time it takes to get a pizza order out the door. These tools help Domino’s managers to better

track their star performers and challenged performers.

(c) More Meaningfully Incentify Store Managers

Besides giving profit-based bonuses, Domino’s also doles out stock options to top-

performing managers based upon customer service measurements and store sales growth

gains.

PROPOSED PRODUCT INFORMATION:

The menu includes:

VEG PIZZA’S:

Margherita Cheese and tomato pizza Double cheese Margherita Fresh veggie Country special Farm house Peppy Paneer Mexican green wave Deluxe veggie

NON- VEG

Cheese and BBQ chicken Spicy chicken Chicken Mexican red wave Keema do pyaaza Chicken golden delight

FEAST PIZZA’S

Meatzaa Non veg extravaganza Cheese and pepperoni

SIDE ORDERS

VEG Veg Mexican wrap Veg pasta italiano white Veg pasta italiano red Garlic breadsticks Cheese jalapeno dip Cheese dip Choco lava cake

NON VEG

Non veg Mexican wrap

Non veg pasta Haliano white Non veg pasta Haliano red Chicken wings

BEVERAGES

Coke Fanta Sprite

CHOICE OF CRUSTS

Double burst Cheese burst Ultimate deep dish Crunchy thin crust

Pizza, without any second opinion is one of the most popular foods greatly cherished mostly in urbanized areas of the world. In this regard, domino Pizza is among the best corporations that provide wide range of food items like pizza, pasta, oven-baked sandwiches, wings, boneless chicken, salads, breadsticks, cheese sticks, and a variety of dessert items. Dominos pizza menu provides a wide range of choice for every age group.

From the very beginning of it start in 1990s, dominos pizza menu has been kept simple by providing Pizza in 4 different sizes. Depending upon the number of the people and appetite of the customers an order can be placed from small, medium, large and X-Large sizes which are 10,12,14,16 inches respectively. This policy gives liberty to the customers to feel free while enjoying their delicious pizza. Even with a wide range and variety of options dominos menu has been kept simple. This was a touch different than the other organizations’ policy which

puzzles their customers by lengthy and cumbersome menus. Dominos menu takes pleasure by satisfying its customers in every aspect. Their own well-known Dominos menu includes olive, pepperoni, natural spice up and more. Their incredible delicious toppings are similarly well-liked in non-meat eaters.

Dominos pizza menu establishes a close relationship with its customers because this is not mere leaflet but an introduction of the company’s items and services. Moreover, it is very attractive and colorful with beautiful pictorial description of the food items. This quality enhances the appetite of the customers, once they are give the charge of menu, and they feel more than satisfied after having their delicious pizza and other food items. With its composition, it starts ideally with appetizers, describing the currently available items and then ending up at desserts. Moreover, sometime when special offers are introduced, one page leaflets are also attached with to show that how much the company cares about it customers.

If you are a pizza lover, dominos pizza menu is the right package to satisfy your taste buds with all the possible items. Mostly Coca Cola is served with Pizza and other items but other soft drinks are readily available. Moreover, dominos menu takes care of their diabetic customers very well by serving zero calorie soft drinks to them. No matter from where you belong and what type of flavor do you want, dominos menu is the right choice not only for you but for your friends and family as well. World over dominos pizza menu is prized for its customer friendly description. There is hardly anyone filling complaint about the services and products of Domino’s Pizza.

Each Day people up to one million get pleasure from piping hot and tasty Domino’s Pizza products on very inhabit continent of the earth.  Dominos pizza menu deals in all kinds of pizza and is rightly popular due to its taste and services. Even with the presence of so many items, Domino’s Pizza Menu is easy to follow. Today dominos menu has become a mark of innovation in food industry all over the world. It accommodates variety of culture in various countries around the globe.

CHAPTER 2

FEASIBILITY STUDY

SWOT ANALYSIS:

Domino’s is a very recognizable brand name throughout the world and is the leader in the pizza delivery and takeout business. Domino’s continues to operate throughout the United States as well as in over 55 other countries.

Strengths

Since Domino’s is so widely known, it has a worldwide presence. Domino’s has stores Mexico, South Korea, Canada, Japan, France, Taiwan, and many other countries. They are a figurehead in the pizza delivery industry. In addition with its worldwide presence, Domino’s has an extremely strong brand image. This results in very loyal customers and helps the company when they introduce new products. Domino’s also has a very strong network with its franchisees. They are all extremely diversified and with their strong network, they are able to increase their market share and encourage sales.

Weaknesses

A major weakness for Domino’s is that they have experienced a decline in their store sales. Over the past two years the revenues have declined and this can affect their brand image and their profits. Part of these losses was due to the decline in the number of domestic franchises that were open in 2008. Domino’s hopes to turn these numbers back around in the next couple years.

Opportunities

Domino’s has multiple opportunities. One significant advantage Domino’s has over its competitors is their focus to delivery pizza the most efficiently. This helps improve their operating effectiveness with minimized spending. There is a large growth in China and India’s population and Domino’s could take advantage of this growth to help increase their market presence and increase their revenues.Domino’s has also begun to offer their services on mobile devices and now many sales come from their iPhone application. They constantly are working to find new improvements to maintain their growth and continue to gain and lead in competitive advantages.

Threats

The competition of the pizza delivery industry is definitely a threat for Domino’s. There are constantly new businesses being formed in the pizza and fast food industries. Some of their emerging competitors are Pizza Hut, Papa John’s, and McDonalds. Another threat is how people are becoming much more aware of their health. With this increase in health awareness, it could affect the profits of Domino’s. A final threat is the increase of labor and food prices. Minimum wage has a major impact on their business. All of Domino’s supplies have also increased in price and this has hurt their profits by increasing their operating costs.

COMPETITORS ANALYSIS:

Domino’s has many competitors both domestically and internationally. Hoover’s states that Domino’s is the “world's #2 pizza chain (behind YUM! Brands' Pizza Hut division.)”8 Their competitors include fast food companies such as McDonald’s, as well as other pizza take-out services like Papa John’s, and worldwide pizza delivery company giant Pizza Hut.

McDonald’s Corporation Inc.

A massive worldwide franchise that specializes in the fast food industry is McDonald’s. In2008, McDonald’s revenues exceeded $23 million.9 McDonald’s brand image is a major strength for them as people of all ages across the globe recognize the golden arches logo. With their well recognized logo, McDonald’s has been involved in many legal issues such as being accused for false advertising and violation of fraud acts.

Papa John’s International, Incorporated

Domino’s competes with Papa John’s on the same level of pizza delivery and pizza takeout. Chicken wings and chicken strips are also a specialty (along with pizzas) for Papa John’s. They recorded a $36.8 million net profit in 2008. This was a twelve percent increase from the previous year.10 They remain a large competitor of Domino’s with their increasing popularity.

Pizza Hut

Pizza Hut operates as a subsidiary to the food giant Yum! Brands. They specialize in pizza making. Pizza Hut is even more focused on health conscious people by incorporating a salad bar into their sit down restaurant section and by serving nutritional pasta bowls. They also have an extremely strong brand image and compete with Domino’s for brand recognition.

DEMAND FORECASTING AND ESTIMATION (REGION WISE & PRODUCT WISE):

The social factors that affect a firm involves the believes, attitudes, values, opinions and life styles of persons in the firm’s external environment, as developed from cultural, ecological, demographic, religious, educational, ethnic conditioning. As social attitudes change so does the demand for the delivery of pizza.

The research shows that on an average, eat out or eat delivered , take away meals around 80 times a year.

As people become busy with their careers and lives, they have less time to prepare meals at home, and the amount of people eating out and ordering will increase.

To avoid obsolescence and to promote innovation, a firm must be aware of technological changes that might influence its industry.

Creative technology adaptations can suggest possibilities for new products, for improvements in existing products, or in manufacturing and marketing techniques.

A technological breakthrough can have a sudden and dramatic effect on the firm’s environment.

ECONOMIC VIABILITY

MARKET POTENTIAL:

Domino’s pizza company in the United States has an 18.4% share of the pizza delivery market based on reported consumer spending. They also have a leading international presence.

They operate through a network of 466 Company-owned stores, all of which are in the United States, and 8,533 franchise stores located in all 50 states and in more than 60 international markets.

In addition, they operate 16 regional dough manufacturing and supply chain centers in the contiguous United States as well as six dough manufacturing and supply chain centers outside the contiguous United States.

In 2009, they converted one of our dough manufacturing and supply chain centers in the United States to a thin crust manufacturing center. This facility supplies the majority of thin crust product for their domestic stores.

Their financial results are driven largely by retail sales at our Company-owned and franchise stores. Changes in retail sales are driven by changes in same store sales and store counts. They monitor both of these metrics very closely, as they directly impact our revenues and profits, and strive to consistently increase both same store sales and our store counts.

Retail sales drive Company-owned store revenues, royalty payments from franchisees and supply chain revenues. Retail sales are primarily impacted by the strength of the Domino's Pizza brand, the results of their marketing promotions, their ability to execute their store operating model, the overall global economic environment and other business strategies.

They devote significant attention to their brand-building efforts, which is evident in their system's estimated $1.4 billion of domestic advertising spending over the past five years and their frequent designation as a Mega Brand by Advertising Age.

They plan on continuing to build their brand and retail sales by satisfying customers worldwide with their pizza delivery offerings and by continuing to invest significant amounts in the advertising and marketing of the Domino's Pizza brand.

They also pay particular attention to the store economics, or the investment performance of a store to its owner, of both their Company-owned and franchise stores.

They believe that their system's favorable store economics benefit from the relatively small initial and ongoing investments required owning and operating a Domino's Pizza store.

They believe these favorable investment requirements, coupled with a strong brand message supported by significant advertising spending, as well as high-quality and focused menu offerings, drive strong store economics, which, in turn, drive demand for new stores.

DEMAND PATTERN:

Most of the Companies do not have a demand classification process.The demand characteristics include Random (unpredictability), Trend, and Seasonal.

In the case of Domino’s company, the demand of consumers may not differ from season to season; seasonal demand is more popular in garment industry manufacturing goods in the clothing line, as the pattern of demand shifts from summer to autumn to spring and winter.

However the demand pattern at Domino’s could be Random; that is, it’s unpredictable, it changes depending upon the marginal utility.It could either be regular or irregular.

DOMESTIC AND INTERNATIONAL MARKET:

Domestic Stores

About 90% of the company's 5,155 domestic stores are franchised. Domino's uses its company-owned stores as a testing ground for new products and technologies which may then be passed onto franchisees. Domino's generates income from company-owned stores in the form of store profits; income from franchisees mostly comes from royalties. Domestic stores had revenues of $552.6 million and operating income of $128.6 million during 2007.

Domestic supply chain

This segment operates 17 supply chain centers that distribute food, equipment and supplies to almost all Domino's in the United States. A vertically integrated supply system provides two important advantages to Domino's and its franchisees.

First, automatic delivery of raw materials cuts out a lot of the "back-of-store" activities letting store operators focus more on sales and customer service.

Second, the vertically integrated supply chain lets Domino's leverage the purchasing power of thousands of company-owned and franchised stores nationwide which can help keep down food costs. In fiscal 2007, the domestic supply segment generated revenues of $783.3 million and operating income $49.7 million.

International

Domino's international segment consists of 3,469 franchised stores outside the United States. Domino's also has a supply chain in a limited number of its international markets; the company operates six supply chain centers which manufacture dough and distribute food and supplies.

Domino's international operation have consistently grown as a percentage of company locations and system wide revenues; in 2007, the international segment accounted for 41% of Domino's store sales worldwide (note: this figure represents percentage of total sales at company-owned and franchise stores and is not percentage of company revenue.)

During 2007, Domino's international segment generated revenues of $126.9 million, of which approximately 52% resulted from the collection of franchise royalties and fees, accounting for 93% of the segment's $57.2 million in operating income.

Domino's domestic and international store count

CHAPTER 3

MARKETING

MARKET- SEGMENTATION (BASIS OF SEGMENTATION):

We are segmenting our market on the basis of the following:

1) Geographic

Segmenting consumers on the basis of country region, city, density, climate, etc. There are two reasons why people who live in the same area may share similar

characteristics. First, some areas have more expensive properties than others and so people with similar socioeconomic characteristics may cluster together.  Second, they have similar transport and shopping options.  It is easy to reach particular areas by using local newspapers, cinema, outdoor.

2) Demographics

Segmenting consumers on the basis of characteristics such as age or household composition. Domino’s is basically meant for all age groups.

This is easy to do and it is easy to reach such segments with media.  

3) Psychographics

Personality, attitudes, opinions, and life styles, social class are often used a segmentation bases.  These characteristics have some relationship to behaviour and provide insight into how to communicate with chosen segments. Marketing a product requires a deep understanding of the customers psychology, along with their needs, in order for the product to be accepted. Marketers carry out a number of activities in order to better understand the psyche and the habits of the customers, so that they can accurately predict the response to the product they are selling, and thus make accurate sales projections. This is the primary use of psychographic segmentation. 

4) Behavioural

Segmenting the market on the basis of occasion, benefits, readiness stage, attitude towards the product, etc.

Behavioural segmentation is possibly the most useful way to segment the market as it is based on consumers' knowledge of, attitude towards, uses for, and response to a product In particular, markets can be effectively segmented on the basis of benefits sought (benefit segmentation).  After all, marketing is about finding out what people need and want and then developing a product that satisfies those needs. 

TARGETING:

We Target our market in the following ways:

On the basis of Geographic segmentation,We are mainly targeting on the urban area.

On the basis of Demographic segmentation,We are targeting on all age groups.

On the basis of Psychographic segmentation,We target on middle, upper class, and working class.

On the basis of Behavioural segmentation,

We target to serve consumers who are very well aware of the existence of the product, as well as to interest consumers who are enthusiastic, and who have positive, negative and hostile attitude toward the products.

POSITIONING MARKETING PLAN – 7 P’S:

1)PRODUCT

To capture the market, Domino’s had to localize flavors." Thus, DeluxeChicken with Mustard Sauce' and Sardines were confined to the East,Mutton Ghongura and Chicken Chettinad to the South and Chicken Pudina to Mumbai. Butter chicken, Makhani Paneer and the Chatpata Chana Masala were confined to the North.

2)PRICE

Domino's sold a 12" Pizza for Rs 265. Indians are value-, not price-sensitive. We need to offer comeback value to our customer.The high price was attributed to the high quality of ingredients used.For instance, Domino's sourced its Pepperoni and Jalapeno needs from Australia and Spain respectively. However, with competition increasing from Pizza Hut, Domino’s introduced price cuts, and discounts to attract the customers. In 1998, Domino's introduced the Pizza Mania scheme where it offered a large pizza for Rs.129/-.

3)PROMOTION

Dominos use advertising, sales promotion, including promotional education, publicity, and personal selling for promoting his services. Branding refers to the various methods of promoting the services.

4)PLACE

Referring to the channel by which a product or service is sold which geographic region or industry, to which segment (young adults,families, business people), etc. also referring to how the environment inwhich the product is sold in can affect sales.Domino's has a largest network of outlets across the world.

5)PEOPLE

People meeting and dealing with the customers.Domino’s have large number of trained employee for handling his customer 6)PROCESS

The way, in which orders are handled, customers are satisfied and the service is delivered. Self serve provide home delivery facility.

7)PHYSICAL ENVIRONMENT

Tangible evidence of the service customers will receive outlet setup by Domino’s.

CHAPTER 4

HUMAN RESOURCE REQUIREMENTS AT DIFFERENT LEVELS (ADMINISTRATIVE /TECHNICAL STAFF):

Occupation Nos. Salary p.m. each

Total Annual Payment

Manager 2 20000 480000

Supervisor 5 6000 360000

Numbering Staff & Store Keeper

3 4000 144000

Other Unskilled Labors

10 4000 480000

Watchman 3 4000 144000

Accountant 3 5000 180000

Office Staff 5 4000 240000

TOTAL 20,28,000

LIST OF RAW MATERIALS:

Flour Yeast Mozzarella cheese Tomatoes Garlic Olive oil/ corn oil Fresh and dried spices Meat Chicken Mushrooms Spinach Olives Lettuce leaves Broccoli Cucumber Carrot Onions Artichokes Sugar Salt Herbs Parmesan cheese Philadelphia cheese Corn

Capsicum/ Paprika Margheritta cheese Asparagus

SOURCES OF RAW MATERIALS /SUPPLIERS:

The prime raw materials that are considered essential are flour, cheese, olive oil, and other vegetables and meat.

All these raw materials are known to be accessible in Raipur. The producers, suppliers or dealers of raw materials are bounty in figure.

We also schedule to have a bond with the suppliers of raw materials. We plan to have an arrangement with those suppliers who are willing to provide the materials as and when demanded at the cheapest possible rates so that we can benefit because of low cost production and economies of scale.

CHAPTER 5

FINANCIAL VIABILITY

TOTAL INVESTMENT ANALYSIS

PROJECT COST (IN LAKH)

FIXED CAPITAL

Land 50.00

Machinery 35.00

Furniture and fixtures 15.00

Motor vehicles 03.00

Office equipments 07.00

Patents and trademark 10.00

Building 20.00

Laboratory equipments for commercial kitchens 05.00

Video camera’s/camera’s

TOTAL FIXED CAPITAL: 145.00

WORKING CAPITAL 55.00

TOTAL INVESTMENT: 200.00

SOURCES OF FINANCE

As we have mentioned earlier the total investment required for setting up of business is estimated to be Rs. 2 crores.

We the partners have agreed to share the cost on an equal fifty-fifty basis. At present we are not engaging in any kind of short term or long term borrowing from any bank or financial institution.

In future we may/may not have access to loans depending upon the economic and financial situation and requirements.

Therefore, initially our source of finance will be from the owner’s reserve/property itself, and in future it may/may not be from external source, that is either collateral or non-collateral.

BREAK EVEN ANALYSIS

The break-even point (BEP) is the point at which cost or expenses and revenue are equal: there is no net loss or gain, and one has "broken even".

A profit or a loss has not been made, although opportunity costs have been paid, and capital has received the risk-adjusted, expected return.

That is, the period or time it acquires to cover up the total amount of the fixed and variable costs of a business.

Our incorporation may incur fixed costs such as Depreciation of furniture, Research and development, Marketing and advertisement costs, Administration or office expenses and variable costs such as wages, raw materials and maintenance, etc. at an estimate of 10 lakhs.

To recover the capacity or degree of fixed and variable costs incurred during the accounting years it may take an approximate duration of 5 to 7 months.

Because Domino’s is so widely known, it has a worldwide presence. They are a figurehead in the pizza delivery industry. In addition with its worldwide presence, Domino’s has an extremely strong brand image.

This results in very loyal customers and helps the company when they introduce new products. Domino’s also has a very strong network with its franchisees. They are all extremely diversified and with their strong network, they are able to increase their market share and encourage sales.

They constantly are working to find new improvements to maintain their growth and continue to gain and lead in competitive advantages.

PROFITABILITY STATEMENT

TRADING A/C

For the year ended 2011

PARTICULARS AMOUNT PARTICULARS AMOUNT

To Purchase 18,00,000Less: Returns (2,00,000)

16,00,000 By Sales 58,00,000

To Wages 2,50,000 By Closing Stock 5,00,000

To Carriage Inwards 1,00,000

Gross Profit 43,50,000

63,00,000 63,00,000

PROFIT AND LOSS A/C

FOR YEAR 2011

PARTICULARS AMOUNT PARTICULARS AMOUNT

To Salaries 3,00,000 By Gross Profit 43,50,000

To Carriage Outwards 45,000 By Discount Received 40,000

To Printing 40,000

To Travelling Expense 50,000

To Advertising Expense 50,000

To Electricity 70,000

To Repairs and maintenance 30,000

To Depreciation on furniture 1,50,000

To Depreciation on Building 2,00,000

Todepreciation on machinery 1,75,000

To Net Profit 32,80,000

43,90,000 43,90,000

BALANCE SHEET

For 2011

LIABILITY AMOUNT ASSETS AMOUNT

Creditors 5,00,000 Cash in Hand 5,00,000

Capital 2,00,00,000+Net Profit 32,80,000

2,32,80,000 Cash at Bank 20,00,000

Furniture 15,00,000(-)Depreciation 10% 1,50,000

13,50,000

Debtors 5,00,000

Bills Receivable 4,50,000

Land 50,00,000

Building 20,00,000(-)Depreciation 10% 2,00,000

18,00,000

Machinery 35,00,000(-)Depreciation 5% 1,75,000

33,25,000

Office Equipments 12,00,000

Motor Vehicles 3,00,000

Patents and Trademark 10,00,000

Goodwill 34,00,000

Investment 24,55,000

Closing Stock 5,00,000

2,37,80,000 2,37,80,000

TRADING ACCOUNT

For the year ended 2012

PARTICULARS AMOUNT PARTICULARS AMOUNT

To Opening Stock 5,00,000 By Sales 65,00,000

To Purchase 16,00,000Less: Returns (2,00,000)

18,00,000 By Closing Stock 7,00,000

To wages 3,00,000

To Carriage inwards 1,25,000

To Gross Profit 44,75,000

72,00,000 72,00,000

PROFIT AND LOSS ACCOUNT

For year 2012

PARTICULARS AMOUNT PARTICULARS AMOUNT

To Salaries 3,20,000 By Gross Profit 44,75,000

To Carriage Outwards 45,000 By Discount Received 46,000

To Printing 36,000

To Travelling 51,000

To Advertising Expense 45,000

To Electricity 72,000

To Repairs and maintenance 27,000

To depreciation on furniture 1,35,000

To depreciation on building 1,80,000

Todepreciation on machinery 16,250

To Net Profit 35,93,750

45,21,000 45,21,000

BALANCE SHEET

For year 2012

LIABILITY AMOUNT ASSETS AMOUNT

Creditors 3,00,000 Cash in hand 20,00,000

Capital 2,32,80,000Add: Net Profit 35,93,750

2,68,73,750 Cash at Bank 35,00,000

Furniture 13,50,000(-)depreciation 10% 1,35,000

12,15,000

Debtors 4,00,000

Bills receivable 6,00,000

Land 50,00,000

Building 18,00,000(-)depreciation 10% 1,80,000

16,20,000

Machinery 33,25,000(-)depreciation 5% 16,250

33,08,750

Office Equipments 16,00,000

Motor Vehicles 5,00,000

Patents and Trademark 10,00,000

Goodwill 36,30,000

Investments 21,00,000

Closing stock 7,00,000

2,71,73,750 2,71,73,750

TRADING ACCOUNT

For the year ended 2013

PARTICULARS AMOUNT PARTICULARS AMOUNT

To opening stock 7,00,000 By sales 74,00,000

To Purchase 22,00,000Less: Returns (2,00,000)

20,00,000 By Closing Stock 8,00,000

To Wages 3,15,000

To Carriage inwards 1,26,000

Gross Profit 50,74,000

82,00,000 82,00,000

PROFIT AND LOSS ACCOUNT

For year 2013

PARTICULARS AMOUNT PARTICULARS AMOUNT

To Salaries 3,30,000 By Gross profit 50,74,000

To carriage outward 46,000 By discount received 50,000

To printing 10,000

To travelling expenses 52,000

To advertising expenses 10,000

To electricity 50,000

To repairs and maintenance 10,000

To depreciation on furniture 1,21,500

To depreciation on building 1,62,000

To depreciation on machine 1,65,438

Net profit 41,67,062

51,24,000 51,24,000

BALANCE SHEET

For year 2013

LIABILITY AMOUNT ASSETS AMOUNT

Creditors 2,80,000 Cash in hand 30,00,000

Capital 2,68,73,750Add: Net Profit 41,67,062

3,10,40,812 Cash at Bank 45,00,000

Furniture12,15,000+5,00,000(-)depreciation 10% 1,71,500

15,43,500

Debtors 4,50,000

Bills receivable 8,00,000

Land 50,00,000

Building 16,20,000(-)depreciation 10% 1,62,000

14,58,000

Machinery33,08,750+3,00,000(-)depreciation 5% 1,80,438

34,28,313

Office Equipments 20,00,000

Motor Vehicles 8,00,000

Patents and Trademark 10,00,000

Goodwill 40,41,999

Investments 25,00,000

Closing stock 8,00,000

3,13,20,812 3,13,20,812

TRADING ACCOUNT

For year ended 2014

PARTICULARS AMOUNT PARTICULARS AMOUNT

To opening stock 8,00,000 By sales 78,00,000

To Purchase 24,00,000Less: returns (2,00,000)

22,00,000 By Closing Stock 9,00,000

To Wages 3,20,000

To Carriage inwards 1,27,000

Gross Profit 52,53,000

87,00,000 87,00,000

PROFIT AND LOSS ACCOUNT

For year 2014

PARTICULARS AMOUNT PARTICULARS AMOUNT

To Salaries 3,40,000 By Gross profit 52,53,000

To carriage outwards 47,000 By Discount Received 50,000

To printing 30,000

To travelling expenses 53,000

To advertisement expenses 40,000

T o electricity 74,000

To repairs and maintenance 21,000

To depreciation on furniture 1,54,350

To depreciation on building 1,45,8000

To depreciation on machine 1,71,416

To net profit 42,26,434

53,03,000 53,03,000

BALANCE SHEET

For year 2014

LIABILITY AMOUNT ASSETS AMOUNT

Creditors 3,00,000 Cash in hand 40,00,000

Capital 3,10,40,812Add: Net Profit 42,26,434

3,52,67,246 Cash at Bank 55,00,000

Furniture 15,43,500(-)depreciation 10% 1,54,350

13,89,150

Debtors 5,00,000

Bills receivable 10,00,000

Land 50,00,000

Building 14,58,000(-)depreciation 10% 1,45,800

13,12,200

Machinery 34,28,313(-)depreciation 5% 1,71,416

32,56,897

Office Equipments 25,00,000

Motor Vehicles 10,00,000

Patents and Trademark 10,00,000

Goodwill 50,08,999

Investments 32,00,000

Closing stock 9,00,000

3,55,67,246 3,55,67,246

TRADING ACCOUNT

For the year ended 2015

PARTICULARS AMOUNT PARTICULARS AMOUNT

To opening stock 9,00,000 By sales 83,00,000

To Purchase 26,00,000Less: returns (2,00,000)

24,00,000 By Closing stock 10,00,000

To Wages 3,30,000

To Carriage Outwards 1,28,000

Gross Profit 55,42,000

93,00,000 93,00,000

PPROFIT AND LOSS ACCOUNT

For year 2015

PARTICULARS AMOUNT PARTICULARS AMOUNT

To salaries 3,50,000 By gross profit 55,42,000

To carriage outward 48,000 By discount received 52,000

To printing 30,000

To travelling expenses 54,000

To advertisement expenses 40,000

To electricity 75,500

To repairs and maintenance 21,000

To depreciation on furniture 1,48,915

To depreciation on building 1,31,220

To depreciation on machine 1,62,845

To net profit 45,33,020

55,94,000 55,94,000

BALANCE SHEET

For year 2015

LIABILITY AMOUNT ASSETS AMOUNT

Creditors 3,00,000 Cash in hand 50,00,000

Capital 3,52,67,246Add: net profit 45,33,020

3,98,00,266 Cash at bank 65,00,000

Furniture13,89,150+1,00,000Less: depreciation10% 1,48,915

13,40,235

Debtors 5,50,000

Bills receivable 12,00,000

Land (50,00,000+10,00,000)

60,00,000

Building 13,12,200(-)depreciation 10% 1,31,220

11,80,980

Machinery 34,56,897(-)depreciation 5% 1,62,845

30,94,052

Office equipment 30,00,000

Motor vehicles 12,00,000

Patents and trademark 10,00,000

Goodwill 52,34,999

Investment 38,00,000

Closing stock 10,00,000

4,01,00,266 4,01,00,266

PAYBACK PERIOD:

TOTAL NET PROFIT= Rs. 1, 98, 00,266

TOTAL INVESTMENT IN BUSINESS= Rs. 2, 00, 00, 000

PAYBACK PERIOD =

TOTAL INVESTMENT/AVERAGE PROFIT

AVERAGE PROFIT= TOTAL PROFIT/NO. OF YEARS

=. 1, 98, 00,266 /5

= Rs. 39, 60, 054

THEREFORE,

PAYBACK PERIOD= 2, 00, 00, 000/39, 60, 054

= 5 YEARS

IMPLEMENTATION SCHEDULE:

Domino’s Pizza Inc, is intending to commence its business in the month of March, 2011.

We will be establishing our outlet in Malviya Road located in Raipur, Chhattisgarh, 492001.

Malviya road is known to be a shopping hub varying from garment stores, accessories, jewellery shops, to shopping complexes and restaurants.

But till date there hasn’t been any fast food restaurant located in that area, such as Domino’s, Mc Donald’s, KFC, Taco Bell, Papa John’s, Subway, etc.

And there has been know-how of only 1 Domino’s restaurant’s which is situated in the outskirts of Raipur.

Malviya Road is recognized to be the central city of Raipur. And as it nearby to the residential area, it makes it convenient for the customers to be partakers and to indulge themselves and experience the benefits it has to offer.

Domino's Pizza has remained focused on delivering great tasting Pizzas and sides, superior quality, exceptional customer service and value for money offerings. We have endeavoured to establish a reputation for being a home delivery specialist capable of delivering pizzas within 30 minutes or else FREE to a community of loyal consumers.

We are committed to bringing fun, happiness and convenience to lives of our consumers by delivering delicious pizzas to their doorstep and our efforts are aimed at fulfilling this commitment towards a large and ever-growing customer base.

Domino's constantly strives to develop products that suit the tastes of our consumers and hence delighting them.

Domino's believes strongly in the strategy of 'Think global and act local'. Thus, time and again we have been innovating with delicious new products such as crusts, toppings and flavours suitable to the taste buds of Indian Consumers.

Our Brand Positioning of Khushiyon ki Home Delivery (Happiness Home delivered) is the emotional benefit we offer to our consumers.

All our efforts, whether it is a new innovative and delicious product, offering consumers value for money deals, great service, country wide presence or delivery in 30 minutes or free are all oriented towards delivering happiness to the homes of our consumers.

CONCLUSION:

Short Term

With the decline in the economy, Domino’s experienced negative sales in 2007 due to the

decreasing demand of their customers. This directly correlates with their customers’ spending habits. Because of the harsh conditions of the economy, many people are not able to spend as freely as they used to in years past.

To combat the hard economic times, we will ensure that we will invest in marketing procedures like offering more coupons or special offers for certain reasons or times. This not only would help combat competitors, it would also help increase their revenues during these hard economic times.

Along with coupons and special offers, we also plan to enhance our customer base by improving the online ordering procedures. For example, Domino’s could implement a strategy that would be helpful for customers who are looking towards Domino’s for parties or special events. We would also allow the user to create an order and specify the date in which the pizzas would be needed.

The user would also need to enter certain criteria, such as the number of people attending, what type of pizza(s) they wanted, and a contact number so Domino’s could confirm the order before the pizzas are made. Domino’s could work to implement their online ordering strategy to all of their international and domestic stores. This would allow for Domino’s to be more competitive in the market as well as be more flexible with their customers’ needs.

We would also continue to improve our delivery strategy. Although our delivery time has been reduced, there are always situations where customers believe their pizza could have been delivered faster. If we implement a better way of taking and delivering a pizza at a faster pace, they can improve their customer’s visions of the company, which would increase their market share as well as profits.

Long Term

Domino’s has continued to produce fantastic revenues over the past few years. However, Domino’s can use various strategies in order to increase their customer base as well as international expansion in the long run.

For example, we could offer new menu items specific to the store location, by offering new menu items that are specific to the locations that their stores are located, customers can experience domino’s superior products as well as maintain their countries local customs and culture.For example, we can expand further into India and offer better products that do not contain beef. We can create products that include more poultry items such as chicken, duck, and other items. Also, we could also offer more white sauce products on their menu rather than the traditional red sauce that the majority of their products contain.

By doing so, it would better help customers live their lives because they could afford a cheaper food as well as work for Domino’s and create money for their family. We plan to increase the financials as well as create a stronger customer base. By having a wider range of customers, Domino’s can create more products that would better suit their customer’s wants. New products in any business can turn into a competitive advantage for any business. For example, they could compete with Little Caesars by creating a quick and easy pizza that would be ready to eat in less than ten minutes.

In addition, Domino’s could offer soups, salads and other such items that could complement their main course meals. We could pull everything together, whether new or old, and increase the brand name across the globe. But with all the challenges that Domino’s is facing, it has experienced many situations that have made it become a better company, which will help us in the long run become an even greater one.

Conclusion

Since Domino’s conception in 1960, they have proved to be a successful company. The decline in the economy posed a threat for them along with people becoming more health conscious, forcing Domino’s to lean towards healthier options. But Domino’s has shown they are remaining competitive by expanding internationally. Their international sales have been a large asset to their profitability. Like any business, they have challenges of becoming internationalized in ways such as different preferences and menu items. With Domino’s working hard to expand more into India and other countries, it is becoming much harder for other companies to follow in their footsteps. Domino’s is trying to stay in front of their competitors, Pizza Hut, McDonalds & Papa John’s. Domino’s continues to look promising in the future with the pizza industry becoming more popular. And with the strong brand image that Domino’s has built over the years, the company is pushing to remain strong in the pizza industry.

BIBLIOGRAPHY:

www.dominos.co.in/

en.wikipedia.org/wiki/Domino’s Pizza

www.dominos.co.in/our_menu.jsp -

en.wikipedia.org/wiki/Restaurant

www.wikinvest.com/.../Restaurant_Industry_Subject_Substantial_Government_Regulation

www.bized.co.uk › Company Information › Business Profiles

www.wikinvest.com/stock/Domino's_Pizza_(DPZ)

www.scribd.com/doc/29469492/7P-s-of-Domino-s-Marketing-Mix

www.bolender.com/.../BBA473%20Week%202%20new%20edition.ppt

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