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Competitive Strategies Case Study

Case Title:

Jack in the Box: Combating the Breakfast War in US

Publication Year : 2007

Authors: Dorin Parmar, Joel Sarosh Thadamalla

Industry: Food, Diary and Agriculture Products


Case Code: COM0211A

Teaching Note: Available

Structured Assignment: Available

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Jack in the Box was the fifth largest hamburger chain in the US. The company operated in 2100 locations across the US with revenues of $2766 million for the year 2006. But the company had been overshadowed by rivals like McDonald's and Burger King, which were far greater in size. The fast food market of US was in a slump after decades of over expansion. But the breakfast market was emerging as the silver lining, accounting for 8% of the $500 million in restaurant sales in the US. As a result, all the major fast food chains competed for a share of the breakfast market with even speciality coffee chains like Starbucks joining the fray by offering different breakfast products. Jack in the Box also decided to defend its share of the breakfast market and thought of promoting its breakfast products, which it had been serving all day since the last 20 years with help of an advertising campaign. As competition among various fast food chains intensifies with different companies adopting strategies like menu innovation, advertising and better restaurant experience, whether a regional chain like Jack in the Box would be able to fight the goliaths of the fast food market remains to be seen.

Pedagogical Objectives:

  • To understand the drivers of the fast food industry
  • To understand the strategies to be adopted to survive in an over crowded and fragmented fast food market
  • To discuss the various strategies adopted by companies in the fast food segment specifically the breakfast market
  • To analyse the strategies adopted by Jack in the Box to survive in the breakfast market
  • To analyse the challenges faced by Jack in the Box and evaluate the future trends for the fast food industry.

Keywords : Fast Food Industry; Menu Innovation; Advertising; Breakfast Market; Brand Reinvention; Demographic Trends; Competitive Strategies Case Study; Brand Differentiation, Social Networking, McDonalds, Burger King, Reimaged Restaurants, Fast Casual Segment; Drive Thrust; Jack In The Box; Healthier Food Options

Contents : 
The American Lifestyle and Evolution of Fast Food
Jack in the Box: A Brief Profile
Jack in the Box: Competing in the US Fast Food Industry
Breakfast mascot for Jack in the Box
The Future Prospects for Jack in the Box
US Population: Projections for race and ethnicity

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