strategic-management

126 JOHN BURBRIDGE AND COLEMAN RICH
Douglas R. Muir
Exec VP and CFO
EXHIBIT 5 Doughnut Sales for Calendar Year 2007
Brand Name
Doughnuts 2007
Top 10 Brands of Doughnuts
(for the 52 weeks ending November 4, 2007)
Dollar Sales Unit Sales
Krispy Kreme $130,409,808 42,774,572
Private Label $ 88,304,008 38,358,984
Entenmann’s $ 85,233,104 25,656,796
Hostess Donettes $ 83,839,496 36,445,068
Entenmann’s Softees $ 33,668,032 10,643,769
Little Debbie $ 30,860,856 24,837,084
Entenmann’s Extreme Pop’ems $ 17,163,728 5,244,544
Hostess $ 17,089,810 5,745,155
Merita $ 13,363,270 6,303,118
Blue Bird $ 11,534,341 8,092,483
Source: Baking Management (January 2008): 10.
stores, mass merchants, and other retail establishments. Dolly Madison, Entenmann’s,
Hostess, and regional brands are competitors of Krispy Kreme in this marketing
channel.
Exhibit 5 shows doughnut sales for calendar year 2007 for Krispy Kreme and
competitors.
Although Krispy Kreme has 20 different doughnut products, the signature offering is
the hot glazed doughnut. From its origins, Krispy Kreme has marketed not only the doughnut
but that eating such a doughnut is a unique experience. Krispy Kreme also enhanced
the experience by providing its customers with the ability of seeing the doughnuts
produced in many stores.
Exhibit 6 shows the organization chart for Krispy Kreme.
Operations
The main operations associated with Krispy Kreme are its stores. For each store, whether
owned by Krispy Kreme or a franchisee, there are uniform specifications and designs.
These specifications and designs include products, appropriate sales channels, packaging,
signage, use of logos and trademarks, marketing and advertising, and the furniture and fixtures.
As can be seen, Krispy Kreme controls the image projected in all stores.
EXHIBIT 6 Krispy Kreme Organizational Chart
Steven A. Lineberger
Sr VP and Pres of US
Store Operations
Darryl R. Marsch
Sr VP General
Counsel and
Asst sec
Adapted based on title of top executives, Krispy Kreme Doughnuts Inc.
http://investor.krispykreme.com/management.cfm
James H. Morgan
President and CEO
Source: Based on information in Krispy Kreme’s 2009 Form 10K.
M. Bradley Wall
Sr VP of Supply
Chain and Off
Premises Sales
Jeffrey B. Welch
Sr VP and Pres of
International Srore
Operations
Kenneth J. Hudson
Sr VP of HR and
Organizational
Development