The mission of ASA, Inc. is to provide students with a more convenient option for food, a reasonably price of the food and delivery services. It would seem to be encouraging students to use the on campus food service as opposed to off campus foods. This mission was seen as a plan to keep business on campus. ASA’s competitive advantage is the location, more than half of the students will still be eating at the ASA facilities. ASA is a specialized food-services operator for university and college, through the surveys to determine customer needs and the market trends. ASA’s core competencies are location of facilities, they could provide a good product quicker and more conveniently than off campus competitors. For example, the pizza service, ASA can provide delivery service quicker and at a lower cost.
Initially, Renee Kershaw chooses to use her pizza operations to compete with off campus eateries base on delivery service and price. The pizza is delivering by the bicycle on-campus. Students would have not only greater variety but also the convenience of having food delivered quickly to their rooms. Kershaw limited the combinations of toppings available to keep costs down and provide fast delivery. Her competitive priorities were delivery speed and price. The on-campus location and limited combinations of toppings make these priorities possible.
The new food court located on-campus, have the same advantage as ASA. The direct competitor, Pizza Hut was providing a limited selection of pizzas on a “walk-up-and-order” basis. Most likely they can also provide product at similar prices, and offering a limited menu. But Pizza Hut has the brand names. However, ASA still maintains its delivery advantage. The new competitive priorities might focus on expending product variety and provide good quality, because the grill’s supervisor had told that the requests for pizza toppings and combinations not on the menu had steadily increased, it show that a customer interest in variety.
An increased in product variety will affect both service and cost. The capacities of existing equipment and space allocated for making and cooking pizzas now were insufficient to meet demand. Kershaw will need to add capacity and to hire additional workers to maintain service.