Tim Hortons Inc.
(10 pages of text)
In 2014, Tim Hortons Inc., a powerhouse in the Canadian quick service restaurant industry for 50 years, has a number of strategic choices to make if it is going to address increasing competition and shifting consumer trends. To have an international presence, it needs the financial resources, organizational capabilities, store saturation, product innovation and brand recognition to compete with Starbucks, McDonald’s and Dunkin’ Donuts, the world’s largest and best known providers of fast food such as coffee, donuts and sandwiches. However, while the brand is almost synonymous with Canada, it is far less known beyond that country’s borders. In mid-August, the company announced its potential acquisition by 3G Capital, the Brazilian parent of Burger King, but this still has to be approved by its shareholders and likely by Canadian and U.S. regulators. The potential merger might help the company move forward, but will it be enough to create a competitive advantage on a global scale?
The case fits nicely in any core strategy or strategic management course at the undergraduate or MBA level to achieve the following objectives:
- To allow for industry analysis in an industry that most students are aware of and have experience with.
- To provide an analysis of the internal operations of a company (management preferences, resources/capabilities, organization) as well as a consideration of how it is competing (goals, value proposition, activities, and product market focus).
- To evaluate strategic alternatives and make a recommendation as the company deals with challenges and opportunities.
Accommodation & Food Services
Canada; United States, Large, 2014
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