Sonic Case Study :: essays research papers

Executive SummaryBeginning with one restaurant, transonic has begin the largest do it chain in the United States. While they are midgeter than their competitors, they are still leading in sales growth, customer verity and customer satisfaction. Sonic restaurants saturate the southern U.S. This gives them the opportunity to expand to somewhat other area. However, Sonic is reluctant due to the colder climates and their basis as a drive-in restaurant. Sonic should look at adding or combining capabilities to its restaurants to accession competitiveness and defend it easier for them to expand into other areas without limiting themselves.Situational AnalysisIn 1953, troy weight Smith, the founder of SONIC and World War II veteran, was live in Shawnee, okeh. Troy dreamed of owning his own restaurant business. In fact, he had already tried twice. Troy first owned a small diner called the Cottage Caf. The income he received was barely enough to make a living for himself and his fa mily. Troy sold the Cottage Caf and bought a larger restaurant. His next business, the Panful of Chicken, was so successful that he tried opening to a greater extent. Unfortunately, heat chicken didnt do well in early 1950s Oklahoma and Troy closed his Panful of Chicken restaurant.Troy then owned a steak house that had a root beer stand attached. This root beer stand, called The Top don proved more profitable and eventually outlasted the steak house.While traveling to lah, Troy saw some homemade intercom speakers in use at a local hamburger stand. He contacted the innovator in Louisiana and asked him to make an intercom for the Top Hat. He then hired some local electronics wizards to install the system. He then added a canopy for cars to jet under and servers to deliver the food right to customers cars. During the first week aft(prenominal) the intercom was installed, the Top Hat took in $1750.With his new partner, Charlie Pappe, four more Top Hats were opened. However, their lawyers informed them that the Top Hat name was copyrighted. They changed the name to Sonic to go along with the restaurant slogan of "Service With the Speed of SoundSM."1In 1973, a group of ten principal franchise owners became the officers of the phoner. Shares were offered to distributively store owner. Because of the amount of stock offered, Sonic became a publicly traded company with 165 stores in the chain.Between 1973 and 1978, Sonic grew tremendously. 800 new stores were opened and a Sonic School that formally trained new managers was established.