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Competitive Strategies Case Study

Case Title:

Dunkin’ Donuts’ Competitive Strategies

Publication Year : 2007

Authors: Shital Vakhariya, Mridu Verma

Industry: Food, Diary and Agriculture Products


Case Code: COM0206P

Teaching Note: Not Available

Structured Assignment: Not Available

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In 2005, $4.8 billion-Dunkin’ Donuts (Dunkin) is one of the largest coffee and baked goods chain in the world serving 2.7 million customers every day. With rising competition, Dunkin had lost its position as a market leader which it had enjoyed all through the 1990s. In March 2006, Dunkin was acquired by a consortium of private equity firms- Capital Partners LLC, The Carlyle Group and Thomas H. Lee Partners LP. The new owners outlined an aggressive growth strategy for Dunkin including tripling its size over the next ten years, entering new markets across the country and expanding the menu offerings beyond breakfast. The case discusses competitive strategies adopted by Dunkin to reposition itself and expand into newer markets.

Pedagogical Objectives:

  • Growth strategies adopted to reposition Dunkin, the largest coffee and baked goods chain in the world
  • Business expansion strategies by entering new markets
  • To discuss the dynamics of the fast food and beverage industry

Keywords : Doughnuts and coffee; Value for money segment; Competition; New owner; Growth strategy; Competitive Strategies Case Study; New markets; Expanding menus; Advertisements; Coffee market; Premium segment; Market survey; Change outlook of stores; Expanded market; Online promotion; Product line; Global Positioning System; Loyal clientele

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