Case Study: Ruth’S Chris - The High Stakes Of Int

Case Study: Ruths Chris - The High swan on the line of International Expansion EXECUTIVE sum-up Our 2005 Annual Report advised stakeholders more or slight an accelerated get under ones skinment plan for expanding Ruths Chris move step through both company-owned and franchised locations. It is now June 2006 and our Q4 is due at the abate of the month. Our Board of Directors and sh areholders are anticipating plans for expansion. Our five most late franchisees cave in the rights to develop stark naked restaurants, scarce their grosss will non be posted until 2007 Q1. I nutriment developed a collar phase strategy to reassure Wall Street and new shareholders of our growth potential. Failure to develop these plans will result in low revenue growth, bring down stakeholder confidence, decreased share honor and the possibility of non confluence agreed IPO terms. find out ASSUMPTIONS The 2006 recession leaves little money for discretionary spen ding. We lost revenue in 2006 from a temporary restaurant closure in New siege of Orleans due to Hurricane Katrina. High inflation, high commodity costs (specifically beef, honey and seafood) and fluctuating gas prices make it tricky to maintain on-line(prenominal) restaurant pricing which will profess profit and difference statements.

Over 12% of Americans are senior citizens and the cities with highest saturation are San Francisco (14%), Philadelphia (12.7%) and New York (11.9%). Five new franchises have the rights to develop restaurants (in the US market). Many top prospective countries soon do not a llow the importation of US beef. This is bel! ieved to be a political (rather than a cultural) variable and could change speedily due to the orbicular trend towards free trade. Data on how often heap dine out or their family relationship toward US brands is not currently available. The success of other US casual dine restaurants in a target pastoral might be a good indicator of how its citizens sprightliness toward US restaurants. direction OF ISSUES Immediate Issues: There is limited time...If you trust to get a full essay, order it on our website: OrderCustomPaper.com

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