Subway Company’s Expansion Management Issues Essay

Exclusively available on Available only on IvyPanda® Made by Human No AI

By the time Subway became extremely popular with American customers, the company’s management had already reflected on the idea of international expansion to attract an even bigger target audience. However, once they started the process of expansion, they were primarily focused on introducing Subway restaurants to English-speaking states such as the UK and Canada. Moreover, the company’s management only considered opening the restaurants where they were welcomed at the time. Hence, the first issue they faced during the expansion was the low density of stores across the states, which was inefficient for Subway logistics. To address the problem, the decision was made to negotiate with local management on the matter of opening more restaurants in the area, as the local customers were already familiar with the network’s concept.

After expanding to other English-speaking countries, the company’s management decided to open restaurants in other areas. However, the major issue in terms of the expansion was the notion of cultural diversity, which concerned language and food habits. To deal with the problem, Subway directors decided to expand the core menu of the restaurant with culturally-specific food while retaining the basic product – sandwiches (“Subway international expansion,” n.d.). For the sake of efficiency, the company decided to create a position of regional directors across the globe for them to collect all the necessary data, such as customer surveys and basic information about the area. By hiring regional directors, Subway also managed to resolve the issue of legal differences and supply lines. Finally, after the expansion, the management faced the problem of communication between the restaurants all over the world. To solve this, they introduced a system of training programs for local managers.

Reference

Subway international expansion [Video file]. (n.d.). Web.

More related papers Related Essay Examples
Cite This paper
You're welcome to use this sample in your assignment. Be sure to cite it correctly

Reference

IvyPanda. (2022, July 2). Subway Company's Expansion Management Issues. https://ivypanda.com/essays/subway-companys-expansion-management-issues/

Work Cited

"Subway Company's Expansion Management Issues." IvyPanda, 2 July 2022, ivypanda.com/essays/subway-companys-expansion-management-issues/.

References

IvyPanda. (2022) 'Subway Company's Expansion Management Issues'. 2 July.

References

IvyPanda. 2022. "Subway Company's Expansion Management Issues." July 2, 2022. https://ivypanda.com/essays/subway-companys-expansion-management-issues/.

1. IvyPanda. "Subway Company's Expansion Management Issues." July 2, 2022. https://ivypanda.com/essays/subway-companys-expansion-management-issues/.


Bibliography


IvyPanda. "Subway Company's Expansion Management Issues." July 2, 2022. https://ivypanda.com/essays/subway-companys-expansion-management-issues/.

If, for any reason, you believe that this content should not be published on our website, please request its removal.
Updated:
This academic paper example has been carefully picked, checked and refined by our editorial team.
No AI was involved: only quilified experts contributed.
You are free to use it for the following purposes:
  • To find inspiration for your paper and overcome writer’s block
  • As a source of information (ensure proper referencing)
  • As a template for you assignment
1 / 1