Subway Analysis
Business Organization Selection: Subway has now become the world’s largest fast food chain in the world, overpassing McDonalds with over 39,500 restaurants in 102 countries. I felt that the success of this business and the motivating story behind founder Fred DeLuca, this was a very aspiring business to select. Deluca and a family friend opened up a sandwich shop in 1965 with only a loan for $1,000. DeLuca hoped the tiny sandwich shop would earn enough to put him through college. After struggling through the first few years, the founders changed the company 's name to Subway and began franchising in 1974. Subway earned its success by offering a fresh, healthy alternative to fast-food restaurants.
Rationale for Business Selection: Subway has had much success in the past few decades, but its room expansion continues to be hopeful. The Bloomberg Business reports that about half of Subway’s roughly 200,000 franchise inquiries each year come from North America. However, the company sees most of the growth opportunity overseas. Don Fertman, Subway 's chief development officer, expressed his excitement around new opportunities in sub-Saharan Africa amid ongoing growth in South Africa, Tanzania, and Zambia. Subway shops in Kenya will also open soon. There are still some potential U.S. targets, he says, namely in Philadelphia, New York City’s outer boroughs, and Boston. Subway has been recognized Subway regularly for awards for being the most effective, supportive franchise system. The past 3 years, Subway has been awarded the Number One ranking in the Franchise Direct Top 100 Global Franchises Rankings, which recognized the brand for possessing "a clear business plan, a commitment to training and support, an ability to innovate and sensitivity to environmental issues." Delcua and Fertman both take pride in investing and providing support for its franchisees. These men both have stated that, "It 's because of the franchisees! They 're the heart and soul of
Rationale for Business Selection: Subway has had much success in the past few decades, but its room expansion continues to be hopeful. The Bloomberg Business reports that about half of Subway’s roughly 200,000 franchise inquiries each year come from North America. However, the company sees most of the growth opportunity overseas. Don Fertman, Subway 's chief development officer, expressed his excitement around new opportunities in sub-Saharan Africa amid ongoing growth in South Africa, Tanzania, and Zambia. Subway shops in Kenya will also open soon. There are still some potential U.S. targets, he says, namely in Philadelphia, New York City’s outer boroughs, and Boston. Subway has been recognized Subway regularly for awards for being the most effective, supportive franchise system. The past 3 years, Subway has been awarded the Number One ranking in the Franchise Direct Top 100 Global Franchises Rankings, which recognized the brand for possessing "a clear business plan, a commitment to training and support, an ability to innovate and sensitivity to environmental issues." Delcua and Fertman both take pride in investing and providing support for its franchisees. These men both have stated that, "It 's because of the franchisees! They 're the heart and soul of
Cited: Beesley, C. (n.d.). Retrieved from http://www.sba.gov/community/blogs/community-blogs/small-business-matters/operating-restaurant-within-law-101-complianc SUBWAY® Group. (n.d.). Retrieved from http://www.subway.com/subwayroot/own_a_franchise/FranchiseFAQs.aspx N/A. (n.d.). Retrieved from http://www.franchisedirect.com/directory/subway/ufoc/915/ (n.d.). Retrieved from http://www.prnewswire.com/news-releases/subway-restaurant-chain-recognized-as-number-one-franchise-opportunity-149811525.html Subway. (n.d.). Retrieved from http://www.subwaydevelopmentgroup.com/faq.html The history of Subway. (n.d.). Subway franchise: the history. Retrieved December 19, 2013, from http://www.businessesforsale.com/articles/all-articles/Subway-franchise-the-history