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Dunkin’ Donuts ‐ the birth of a new distribution and franchising concept

Ruth A. Schmidt (Acting Head of Department, Department of Retailing and Marketing, the Manchester Metropolitan University, Manchester, UK)
Brenda M. Oldfield (Research Assistant in the Department of Retailing and Marketing, the Manchester Metropolitan University, Manchester, UK)

British Food Journal

ISSN: 0007-070X

Article publication date: 1 March 1998

2834

Abstract

Dunkin’ Donuts is a global retailer of coffee and bakery products. The company is 99 per cent franchised and has used the franchising system as a route to market entry and expansion worldwide. The original historic roots of the company are in the USA and despite wide international expansion since the 1970s, the US market continues to serve as a testing ground for innovations prior to international roll‐out. Based on observation and key informant interviews with core members of the management team during a visit to Richmond Project in 1994, the case explores the initial phase of the introduction of a central production facility as an innovative route to pre‐eminence in one test market. Strategic and operational issues are discussed, highlighting the differences and efficiency gains of the central production facility cum satellite store approach compared to the traditional stand‐alone on‐site production approach. Implications for future developments are discussed.

Keywords

Citation

Schmidt, R.A. and Oldfield, B.M. (1998), "Dunkin’ Donuts ‐ the birth of a new distribution and franchising concept", British Food Journal, Vol. 100 No. 2, pp. 119-124. https://doi.org/10.1108/00070709810204110

Publisher

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MCB UP Ltd

Copyright © 1998, MCB UP Limited

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