This report is going to be based upon Domino’s Pizza, a franchised organisation derived in Michigan, USA. This report will firstly give a brief overview of the history of Domino’s; it will then establish and explain the micro and macro factors that affect Domino’s and their effects on the business. It will also contain a strategy which would allow Domino’s to adapt and thrive in its ever changing environment; the report will give details explaining which external opportunities Domino’s should take advantage of, and which external threats it should combat. This report will include a PEST analysis, examining the political, economical, social and technological factors that Domino’s is affected by, a SWOT analysis which will observe the strengths and weakness Domino’s has, and also external aspects that will threaten the business or provide opportunities.
In 1960 Tom Monaghan and his brother created ‘DomiNick’s’ Pizza shop, in 1961 Tom bought his brother out of the company and renamed it to the ‘Domino’s’ that we know today. Domino’s is now one of the largest pizza franchises in the world with 9,350 stores in over 70 countries. It employs 175,000 people worldwide and delivers over a million pizzas per day. Tom developed his company using franchising, allowing people to set up their own Domino’s pizza shops, in doing so he eventually made over 1 billion dollars before retiring in 1998. Domino’s is a LLC (limited liability company), merging the characteristics of sole proprietorship and a corporation, meaning that business owners still have control of their business but have limited liability against debt.
This section is going to focus on the macro (external) factors that affect the business using a PEST analysis and the micro (internal) factors such as strengths and weaknesses. Politically, Domino’s is affected by a number of things