Thursday, March 23, 2017

ARE YOU bREADY FOR MORE???

There are several motivations for investing in Panera bread. Ryan Derousseau, an investment journalist, elaborates on why to invest by announcing that "Panera is riding a wave of health-conscious consumers in order to maintain its edge." I predict that the Panera Bread restaurant that will be opening soon in Yuba City will be successful because, aside from regular orders, they provide catering and online ordering opportunities. Although there are several restaurants in Yuba City to compete with the newly opening Panera, it stands a good chance in the competition due to its healthy menu options.

Panera Bread's success can be accredited to its genius franchise model. This franchise model helps increase profitability by offering a steady stream of revenue in the form of rent and royalty income. Franchsiment of the company is always boosting it further because in order for any company to franchise Panera, the company is required by its partner, Panera, to open at least 15 bakery-cafés within a six-year period in any given market. This means that more successful bakeries are being opened regualarly which is a great boost for Panera's shareholders.

Now, something that may seem to be a barrier for this restaurant will actually put it at an advantage over its competitors- raising of the minimum wage. Raising of the minimum wage will without a doubt raise prices of restaurants. This puts Panera Bread at an advantage over other companies because it has healthy and high quality eating options such as organic and gluten free foods that are worth paying the extra money for; opposed to a competitor whose options are not worth the extra cost.


Panera Bread is also one of the highest in quality fast food places in the United States. Aside from making large strides in its catering business, Panera has better increased the superiority of its restaurant by means of expensive kitchen revamps and technological improvements.

In fact, Panera has been so successful that it became a temporary problem in 2014 known as the "high class dining issue". People would walk in the restuant, see the long line and fancier dining and leave thinking it was too long a wait to linger around a while. Rather than lose customers, Panera acted fast by improving its services by means of more catering options, better technology and more efficient services.

Due to Panera's 15 bakeries a year franchising plan, it has become incredibly widespread with the quality and efficiency to keep up with higher demands and a much larger amount of customers. Plus Panera Bread offers garlic bread in their store, which is the best form of bread. It is beauty. It is grace. I say that not as an opinion, but as a fact. For example, it's about 60 degrees right now, i’m wearing a black shirt and duck pajama pants and garlic bread is the best form of bread known to mankind. These are undeniable facts. It is for all these reasons why you should strike while the iron is hot and invest in Panera. Fun fact: The Ivestopedia stock has been up since I got it.

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